Public Assistance Grants Audited by OIG

Public Assistance funding is on a reimbursement basis, however, there is risk of funding deobligation (return) for ineligible spending or non-compliance with federal requirements, like procurement, environmental compliance or documentation.FEMA requires applicants to follow specific grant and federal requirements associated with grant funding.

Some of the most common OIG audit findings include poor contracting practices, unsupported costs, poor project accounting, duplication of benefits/application of insurance proceeds, excessive equipment charges, and excessive labor & benefit charges.DHS OIG can  recommend to FEMA that deobligations be made.

Good documentation facilitates proper project formulation, validation, approval, and funding processes. The Office of the Inspector General (“OIG”) of the Department of Homeland Security performs audits of FEMA grant awards. If partial costs are unsupported or ineligible per the grant requirements, the full project or contract may be disallowed.

Some of the most common OIG audit findings include poor contracting practices, unsupported costs, poor project accounting, duplication of benefits/application of insurance proceeds, excessive equipment charges, and excessive labor & benefit charges.DHS OIG can  recommend to FEMA that deobligations be made.