Audit Report Summary

Introduction

An audit was conducted on a project after 10 years of activities, including several extensions. The audit identified several issues that need to be addressed.

Key Findings

Contribution Requirements

• After 10 years of project activities, the host Government had only minimally met contribution requirements.

Procurements

• Procurement transactions were correctly recorded in transaction journals and related to project implementation costs.

Taxes on Services

• Service taxes (TCA) totaling F.CFA 67,559 were paid from grant funds, which should be disallowed.
• Recommendation: Disallow the service taxes paid from grant funds.

Non-Expendable Commodities

• Individually identified assets did not carry the A.I.D emblem, as required by the grant agreement.
• Recommendation: Ensure that all individually identified assets are properly labeled with the A.I.D emblem.

Bank Accounts

• Cash disbursements were adequately recorded in bank journals and no exceptions were found in bank reconciliation statements.
• Outstanding bank confirmations should be followed up.
• Recommendation: Follow up on outstanding bank confirmations to ensure accurate records.

Payrolls

• Time sheets and other administrative documents necessary to support salaries claimed by employees were not available.
• A time sheet system should be implemented to substantiate salaries.
• Recommendation: Implement a time sheet system to accurately record employee hours worked and salaries earned.

Management Comments

Management has reviewed the audit report and provided comments on each issue, indicating their agreement or disagreement with the findings and proposed solutions.