Summary: Pursuant to a congressional request, GAO reviewed the Agency for International Development's (AID) management of funds provided during the third phase of humanitarian assistance to the Nicaraguan Resistance, focusing on whether AID: (1) provided only authorized assistance; and (2) established adequate procedures to administer procurements and monitor deliveries of goods, services, and payments.
GAO found that: (1) AID and its contractors generally provided only authorized types of assistance and established controls to administer procurement and monitor deliveries; (2) AID adjusted food deliveries to establish a system for maintaining reserve food supplies; (3) AID contracted for additional air support to facilitate deliveries; (4) AID and its medical contractor improved medical facilities; (5) the AID training contractor established maternal and child health care centers and expanded its training program; (6) the Resistance distributed food rations to 18 people who were ineligible for assistance; (7) the medical contractor failed to maintain adequate vaccination records; (8) AID procured some inappropriate medicines from the United States; (9) AID and its medical contractor lacked required documentation for medicines and other items purchased in Costa Rica; and (10) some Resistance members received unauthorized medical treatment.