Summary: In response to a congressional request, GAO evaluated the operations and activities of the African Development Foundation (ADF) to determine its management capability and its capacity to efficiently use additional funding.
GAO found that, although ADF authorizing legislation was passed in 1980, its Board of Directors was not nominated until 1983. ADF operations began in fiscal year (FY) 1984, but its first president and vice president resigned because of internal conflict. ADF efforts were hampered by a lack of: (1) sufficient full-time staff; (2) procedures and controls; (3) a long-term strategy for program direction; (4) a plan for coordination with other development efforts in Africa; and (5) an advisory council. GAO found that ADF has made progress in establishing an organizational structure to manage a modest program of assistance in Africa, but should not significantly expand its program as planned. As of November 1984, the 5-year program plan had not been completed, and several related program policy issues needed to be addressed as part of the formal planning process. Furthermore, the projects funded in FY 1984 had not been implemented, and their viability had not been demonstrated. Because ADF has projected doubling its budget each year through FY 1990, GAO believes that an analysis of those projections is important in answering questions concerning its capability to utilize more funds.
