Use of Recipient Capability Audits by the Public Health Service During Fiscal Year 1989

EXECUTIVE SUMMARY:

This final audit report presents the results of our review of the use of recipient capability audits (RCAs) by the Public Health Service during Fiscal Year 1989. We performed 66 RCAs covering proposed grant awards of $9.9 million. Based on the results of the RCAs, the Centers for Disease Control denied funding to six organizations and instead awarded over $1 million to other, more capable organizations. We recommended that the Public Health Service perform a greater number of financial evaluations of organizations that are applying for grant funds and do not have prior experience in managing Federal projects, and establish uniform policies and procedures for conducting such evaluations.