Department of Health

Health Research, Incorporated: Disbursement of Grant Funds (Follow-Up Report)

Health Research, Inc. (HRI) is a not-for-profit corporation that administers funding which supports or extends the programs and research activities of the Department of Health. The majority of HRI funds are provided by federal grants. In audit report 2002-S-39, we examined HRIís controls over disbursements made from grant funds and found that improvements were needed in the controls over funds disbursed to subcontractors. In particular, some of the expenses claimed by subcontractors were not adequately documented or were not allowable under the terms of the grant agreements. We recommended that the undocumented and inappropriate expenses be recovered by the Department of Health, and the Departmentís controls be strengthened. When we followed up on our audit recommendations, we found that they had, for the most part, been implemented.

For a complete copy of Report 2005-F-15 click here.