Semiannual Reports

The objective of this review was to perform an independent assessment of the Peace Corps’ information security program, including testing the effectiveness of security controls for a subset of systems as required, for FY 2018. Our results demonstrate that the Peace Corps lacks an effective information security program. We found problems relating to people, processes, and technology. Furthermore, OIG found weaknesses across all the FISMA reportable areas. To ensure the agency’s information, operations, and assets are protected, it is critical that the Peace Corps achieve full compliance with FISMA and other Federal laws and regulations that apply to managing its IT security infrastructure.

This evaluation focused on the appropriateness of programming, training, and evaluation; the adequacy of Volunteer support; and the effectiveness of post leadership and management. This report contains 24 recommendations, which, if implemented, should strengthen post operations and correct the deficiencies detailed in the report.

These challenges illustrate the most significant areas the Office of Inspector General (OIG) believes need improvement for the Peace Corps to effectively manage its resources and minimize the potential for fraud, waste, and abuse occurring in its operations. Addressing the issues related to these challenge areas will enable the agency to increase operational efficiencies and improve mission effectiveness.

Our review found that the Peace Corps did not fully comply with applicable Federal requirements relating to cooperative agreements and lacked internal controls in making the award to Seed Global Health Services. Specifically, the Peace Corps did not have sufficient documentation to justify awarding the cooperative agreement without competition. This made the Peace Corps vulnerable to the perception of favoritism by obligating a total of approximately $7.5 million in Department of State funding to Seed Global Health Services. We found several weaknesses caused by insufficient controls: the lack of segregation of duties for a senior agency official, the lack of key policies governing cooperative agreements, poor file management and failure to obtain the necessary anti-lobbying certifications from Seed Global Health Services. This report makes five recommendations to help enhance controls over cooperative agreements.

This evaluation focused on the appropriateness of programming, training, and evaluation; the adequacy of Volunteer support; and the effectiveness of post leadership and management. This report contains 12 recommendations, which, if implemented, should strengthen post operations and correct the deficiencies detailed in the report.

We found that the post’s financial and administrative operations required improvement to comply with agency policies and applicable Federal laws and regulations. Our report contains 15 recommendations directed to the post and headquarters. For the post, our recommendations included that the post store and dispose of medical waste and controlled substances according to policy; that the post strengthen its controls for managing imprest funds and collecting overpayments; and that the post ensure bills of collection are issued in a timely manner.

We found that inadequate controls resulted in non-compliance with agency policies and guidance from the Office of Management and Budget. To reduce the risk of fraudulent behavior and financial abuse, the agency needs to improve its policies and procedures, training, and oversight provided to the purchase card program. By not maintaining sufficient controls to assure compliance with Peace Corps and Federal requirements, the Peace Corps put itself at risk for fraudulent behavior and financial abuse. We found several weaknesses caused by insufficient controls: inadequate policies and procedures, lack of required training, inadequate oversight, and inadequate use of the available data analytic tools. This report makes six recommendations to help enhance controls over purchase card transactions.

The objective of this Management Advisory Report was to determine the agency's rationale for maintaining a full staff at the Peace Corps/Kenya post following its suspension in July 2014 and to determine if resources were unnecessarily expended to operate the fully-staffed post for almost 3 years after the suspension. Our results demonstrate that the agency did not deliberately and effectively assess necessary staffing levels throughout the suspension of Peace Corps/Kenya, does not have dedicated policies or procedures governing post suspensions, and did not maintain adequate documentation of key decisions concerning the suspension. This report contains two recommendations.

We found that the post’s financial and administrative operations required significant improvement to comply with agency policies and applicable Federal laws and regulations. Our report contains 25 recommendations directed to both the post and headquarters. At the post, our recommendations included strengthening controls over managing imprest funds, bills of collections, security certifications, and Volunteer payments; ensuring collection of all necessary receipts to claim value added tax refunds; and ensuring proper management oversight of grants, vouchers, and credit cards. Management concurred with all 25 recommendations.

The objective of this Management Advisory Report was to create an understanding of how drug use among Volunteers has affected the agency and its Volunteers since 2015, and how challenges in enforcement and data gathering have impeded agency efforts to address the problem. This report included six recommendations.