Audit of the Community Mental Health Centers Construction Grant Program - Phase I

This final report presents the results of our audit of Community Mental Health Centers (CMHC) construction grant reviews performed by a contractor, Continuing Medical Education, Inc. (CME), for the National of Institute of Mental Health, (NIMH) Alcohol, Drug Abuse and Mental Health Administration. We found CME generally identified and reported areas of grantee noncompliance for the grantees we reviewed except for the provision of a reasonable volume of below-cost or free services to persons unable to pay. However, CME reports generally contained sufficient information for NIMH to take actions to bring the grantees back into compliance, initiate recovery or extend the service obligation date. However, NIMH did not adequately monitor or resolve reported deficiencies.