[Semiannual Report, October 1998]
[From the U.S. Government Printing Office, www.gpo.gov]

Report No. 10-S-98

Title: Semiannual Report, October 1998

Date:  October 1998




                  **********DISCLAIMER**********

This file contains an ASCII representation of an OIG report.

Subject:  Semiannual Report, October 1998 (No. 10-S-98)

No attempt has been made to display graphic images or illustrations.
Some tables may be included, but may not resemble those in the printed version.

A printed copy of this report may be obtained by referring to the PDF
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                  ******************************






MESSAGE FROM THE INSPECTOR GENERAL

As we mark the 20th anniversary of the Inspector General Act this year, it is
appropriate to reflect upon our accomplishments in achieving the purposes of the
Act.  As an organization whose statutory mission is to prevent and detect  fraud, waste,
and abuse and promote economy, efficiency, and effectiveness in agency operations, we
play a key role in creating an agency that "works better, costs less, and gets results
Americans care about."  We are committed to continually assessing our activities and
focusing our efforts to ensure that, consistent with the Inspector General Act, the vital
task of improving government operations is attained.

I am pleased to report on several accomplishments that exemplify our success in
fulfilling our statutory mission and strategic goals. Our investigative program has been
broad as well as deep, including the discovery and successful prosecution of a criminal
ring stealing laptop computers from the loading dock at the main Department of the
Interior building, the prosecution of misuse of Government Internet access for child
pornography, thefts and embezzlements of Indian tribal funds, and the underpayment of
royalties by major oil companies. On the issue of royalties, this office secured its largest
single recovery   $45 million   resolving allegations of the underpayment of royalties by
a major oil company.  This settlement stemmed from a multiyear investigation
undertaken by the Office of Inspector General in close coordination with the
Department's Minerals Management Service and the Department of Justice.  Many other
investigations of alleged royalty underpayments by oil, gas,  and coal companies are
ongoing, and we anticipate similar dramatic results over the next few years.  In addition,
our investigative unit is  actively participating in a wide variety of  task forces formed by
U.S. Attorneys and other Federal agencies involving issues such as Indian gaming,
environmental crimes, and public corruption in the insular areas.

On the audit side, we are increasingly being asked by the Congress, by Departmental
managers, and by governments in the insular areas  to initiate reviews of  programs and
operations.  Our activities have covered a wide range of topics, befitting the breadth of
the Department, including land management issues in a national park, assessing bureau
progress in addressing "Year 2000" computer issues, and assisting insular area
governments on specific problems. For example, regarding insular area governments, our
Director of Insular Area Audits testified at public hearings before the Legislature of the
Virgin Islands on a proposed extension of a tax incentive agreement between the
Government of the Virgin Islands and Hess Oil Virgin Islands Corporation.  Because the
Corporation is the largest private sector employer in the Virgin Islands, the proposed
extension of the tax incentive agreement would have a significant impact on the economy
of the Virgin Islands.  In addition to specific audits and other reviews we performed on
request based on available resources, we performed a wide variety of mandated audits
encompassing, among others, financial issues, Bureau of Indian Affairs schools, and
Superfund issues.  We also audit each bureau's financial statements, as well as the
Department's consolidated statements, which is a very important use of our resources.

We are committed to continuing our efforts and working with the Department to improve
operations for the benefit of the American taxpayer, now and for generations to come.




                                                    Richard N. Reback
                                                    Acting Inspector General






                            CONTENTS

                                                             Page

Statistical Highlights . . . . . . . . . . . . . . . . . . . . iv
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . .1
 Department Profile. . . . . . . . . . . . . . . . . . . . . . .1
 OIG Organization. . . . . . . . . . . . . . . . . . . . . . . .2
Audit and Investigative Activities . . . . . . . . . . . . . . .4
 Summary of Audit Results. . . . . . . . . . . . . . . . . . . .4
 Investigative Matters . . . . . . . . . . . . . . . . . . . . .4
Congressional Hearings . . . . . . . . . . . . . . . . . . . . .5
Legislative Reviews. . . . . . . . . . . . . . . . . . . . . . .8
Significant Audits and Investigations. . . . . . . . . . . . . 10
 Department of the Interior Consolidated Principal Financial
  Statements Audits for Fiscal Years 1996 and 1997 . . . . . . 10
 Bureau Financial Statements Audits. . . . . . . . . . . . . . 11
 Bureau of Indian Affairs. . . . . . . . . . . . . . . . . . . 12
 Bureau of Land Management . . . . . . . . . . . . . . . . . . 17
 Bureau of Reclamation . . . . . . . . . . . . . . . . . . . . 21
 Insular Areas . . . . . . . . . . . . . . . . . . . . . . . . 22
 Minerals Management Service . . . . . . . . . . . . . . . . . 26
 Multi-Office. . . . . . . . . . . . . . . . . . . . . . . . . 27
 Office of the Secretary . . . . . . . . . . . . . . . . . . . 29
 National Park Service . . . . . . . . . . . . . . . . . . . . 29
 U.S. Fish and Wildlife Service  . . . . . . . . . . . . . . . 32
 U.S. Geological Survey. . . . . . . . . . . . . . . . . . . . 32

Appendices

1 - Summary of Audit Activities From April 1, 1998, Through
     September 30, 1998. . . . . . . . . . . . . . . . . . . . . . . 34
2 - Audit Reports Issued or Processed and Indirect Cost Proposals
     Negotiated During the 6-Month Period EndedSeptember 30, 1998. . 35
    - Internal Audits. . . . . . . . . . . . . . . . . . . . . . . . 35
    - Contract and Grant Audits. . . . . . . . . . . . . . . . . . . 37
    - Single Audits. . . . . . . . . . . . . . . . . . . . . . . . . 39
    - Indirect Cost Proposals. . . . . . . . . . . . . . . . . . . . 45
3 - Monetary Impact of Audit Activities From April 1, 1998,
      Through September 30, 1998 . . . . . . . . . . . . . . . . . . 51
4 - Non-Federal Funding Included in Monetary Impact of Audit
    Activities During the 6-Month Period Ended September 30, 1998. . 52
5 - Audit Resolution Activities. . . . . . . . . . . . . . . . . . . 53
  - Table I - Inspector General Audit Reports With Questioned Costs. 53
  - Table II - Inspector General Audit Reports With
     Recommendations That Funds Be Put To Better Use . . . . . . . . 54
  - Table III - Inspector General Audit Reports With Lost or
     Potential Additional Revenues . . . . . . . . . . . . . . . . . 55
6 - Summary of Audit Reports Over 6 Months Old Pending
     Management Decisions  . . . . . . . . . . . . . . . . . . . . . 56
    - Internal Audits. . . . . . . . . . . . . . . . . . . . . . . . 56
    - Contract and Grant Audits. . . . . . . . . . . . . . . . . . . 59
    - Single Audits. . . . . . . . . . . . . . . . . . . . . . . . . 60
7 - Summary of Internal Audit Reports Over 6 Months Old Pending
     Corrective Action . . . . . . . . . . . . . . . . . . . . . . . 64
8 - Statutory and Administrative Responsibilities. . . . . . . . . . 69
9 - Cross-References to the Inspector General Act. . . . . . . . . . 70


STATISTICAL HIGHLIGHTS


Audit Activities

 Audit Reports Issued or Processed . . . . . . . . . . . . .  208
  - Internal Audits. . . . . . . . . . . . . . . . . . . . . . 39
  - Contract and Grant Audits. . . . . . . . . . . . . . . . . 22
  - Single Audits. . . . . . . . . . . . . . . . . . . . . .  147
 Indirect Cost Proposals Negotiated. . . . . . . . . . . . .  117

Impact of Audit Activities - (Dollar Amounts in Millions)
 Total Monetary Impact . . . . . . . . . . . . . . . . . . $230.9
  - Questioned Costs . . . . . . . . . . . . . . . . .     $132.5
  - Recommendations That Funds Be Put To Better Use. .      $51.1
  - Lost or Potential Additional Revenues. . . . . . .      $47.3
 Internal Audit Recommendations Made . . . . . . . . . . . . .143
 Internal Audit Recommendations Resolved . . . . . . . . . . . 90

Investigative Activities
 Total Reports Issued. . . . . . . . . . . . . . . . . . . . . 88
 Cases Closed. . . . . . . . . . . . . . . . . . . . . . . . . 71
 Cases Opened. . . . . . . . . . . . . . . . . . . . . . . . . 50
 Cases Pending . . . . . . . . . . . . . . . . . . . . . . . .431
 Hotline Complaints Received . . . . . . . . . . . . . . . . . 41
 Hotline Complaint Matters Opened  . . . . . . . . . . . . . . .0
 Hotline Complaint Matters  Closed . . . . . . . . . . . . . . 13
 Hotline Complaint Matters Pending . . . . . . . . . . . . . . 27
 General Information Matters Received. . . . . . . . . . . . .116

Impact of Investigative Activities
 Indictments/Informations. . . . . . . . . . . . . . . . . . . 11
 Convictions . . . . . . . . . . . . . . . . . . . . . . . . . .7
 Sentencings . . . . . . . . . . . . . . . . . . . . . . . . . 14
 - Jail. . . . . . . . . . . . . . . . . . . . . . . .  89 months
 - Probation . . . . . . . . . . . . . . . . . . . . . 708 months
 - Community Service . . . . . . . . . . . . . . . . . .450 hours
 - Criminal Judgments/Restitutions . . . . . . . . . . . $236,632
 Cases Pending Prosecutive Action as of April 1, 1998. . . . .136
 Cases Referred for Prosecution This Period. . . . . . . . . . .9
 Cases Declined. . . . . . . . . . . . . . . . . . . . . . . . .5
 Cases Pending Prosecutive Action as of September 30, 1998 . .120
 Administrative Actions. . . . . . . . . . . . . . . . . . . . 20
 Civil Referrals . . . . . . . . . . . . . . . . . . . . . . . .3
 Civil Declinations. . . . . . . . . . . . . . . . . . . . . . .0
 Civil Settlements (4) . . . . . . . . . . . . . . . .$45,287,501
 Cases Pending Civil Action as of September 30, 1998 . . . . . 37

Administrative Actions Taken by Bureaus
 Matters Referred for Administrative Action. . . . . . . . . . 21
 Matters Referred for Information . . . . . . . . . . . . . . . 5
 Removals/Resignations . . . . . . . . . . . . . . . . . . . . .4
 Employee Suspensions (Totaling 37 days) . . . . . . . . . . . .2
 Reprimands/Counseling . . . . . . . . . . . . . . . . . . . . .8
 Other Personnel Action. . . . . . . . . . . . . . . . . . . . .1
 Administrative Recoveries/Restitutions (Totaling $7,816). . . .1
 General Policy Actions. . . . . . . . . . . . . . . . . . . . .4




INTRODUCTION


Department Profile

The Congress created the Department of
the Interior (DOI) on March 3, 1849, to
manage the Nation's internal affairs.  As
the Nation's principal conservation agency,
DOI's mission is to encourage and provide
for the appropriate management,
preservation, and operation of the Nation's
public lands and natural resources for use
and enjoyment both now and in the future;
to carry out related scientific research and
investigations in support of these objectives;
to develop and use resources in an
environmentally sound manner and provide
an equitable return on these resources to the
American taxpayer; and to carry out trust
responsibilities of the U.S. Government with
respect to American Indians and Alaska
Natives and support for the U.S. Territories
and insular areas.

In fiscal year 1998, DOI had about
68,000 employees based in over
2,000 locations, spent about $10 billion, and
collected revenues of about $9 billion.  The
jurisdiction of DOI includes the following:

     Administering over 500 million acres of
Federal lands and over 56 million acres of
Indian trust lands.

     Managing, developing, and protecting
water and related resources in an
environmentally and economically sound
manner.

     Managing mineral resources on the
Outer Continental Shelf and on Federal and
Indian lands and collecting, verifying, and
distributing revenues from these lands in a
timely manner.

     Conserving, protecting, and enhancing
fish and wildlife and their habitats.

     Preserving the natural and cultural
resources and values of the national park
system.

     Sustaining the health, diversity, and
productivity of the Nation's public lands.

     Fulfilling trust responsibilities and
promoting self-determination on behalf of
tribal governments, American Indians, and
Alaska Natives.

     Providing the Nation with reliable
scientific information to describe and
understand the earth.

     Reclaiming abandoned mine sites and
enforcing regulations to ensure that coal
mines are operated in a manner that protects
citizens and the environment.
OIG Organization

To cover DOI's many and varied
activities, the Office of Inspector
General (OIG) has a budget of $24.5 million
and has 243 full-time employees.
Employees are under the direction of the
Assistant Inspectors General for Audits,
Investigations, and Management and Policy
and are assigned to the headquarters offices
in Washington, D.C., and field offices in
Tamuning, Guam; Rapid City, South
Dakota; Albuquerque, New Mexico;
Sacramento, California; Arlington, Virginia;
St. Paul, Minnesota; Billings, Montana;
St. Thomas, U.S. Virgin Islands; Lakewood,
Colorado; Tulsa, Oklahoma; New Orleans,
Louisiana; and Phoenix, Arizona.

OIG provides policy direction for and
conducts, supervises, and coordinates
audits, investigations, and other activities in
DOI to promote economy, efficiency, and
effectiveness and to prevent and detect
fraud, waste, abuse, and mismanagement.
OIG is DOI's focal point for independent
and objective reviews of the integrity of DOI
operations and is the central authority
concerned with the quality, coverage, and
coordination of the audit and investigative
services between DOI and other Federal,
state, and local governmental agencies.  The
Inspector General reports directly to the
Secretary of the Interior on these matters and
is required to keep the Secretary and the
Congress fully and currently informed about
problems and deficiencies relating to the
administration of DOI programs and
operations and the necessity for corrective
actions.

In addition to the Inspector General's
requirement for semiannual reporting to the
Secretary of the Interior and the Congress in
accordance with the Inspector General Act
of 1978 (Public Law 95-452), as amended,
OIG's mission encompasses a wide array of
statutory and administrative audit and
investigative responsibilities.  These
responsibilities include OIG's review of
various programs and activities within DOI
in accordance with numerous public laws,
Office of Management and Budget (OMB)
circulars, and criminal and civil
investigative authorities (see Appendix 8).
The semiannual reporting requirements of
the Inspector General Act are
cross-referenced to applicable portions of
this report in Appendix 9.

In the insular areas of Guam, American
Samoa, the U.S. Virgin Islands, and the
Commonwealth of the Northern Mariana
Islands, OIG is responsible for "establishing
an organization which will maintain a
satisfactory level of independent audit
oversight" for these insular areas in
accordance with the Insular Areas Act of
1982 (48 U.S.C. 1422).  OIG has additional
audit responsibilities in the  Federated States
of Micronesia, the Republic of the Marshall
Islands, and the Republic of Palau pursuant
to the Compact of Free Association Act of
1985 (Public Law 99-239).  OIG's
organizational chart is presented on page 3.




AUDIT AND INVESTIGATIVE ACTIVITIES


Summary of Audit Results

OIG auditors issued or processed
208 audit reports during the 6-month
period ended September 30, 1998.
Appendix 1 summarizes audit activities,
and Appendix 2 lists the audit reports
issued or processed and the 117 indirect
cost proposals negotiated.  Monetary
findings in the audit reports and indirect
cost proposals totaled $231 million, which
was composed of questioned costs, funds to
be put to better use, and lost or potential
additional revenues, as summarized in
Appendix 3.  Appendix 4 identifies the
non-Federal funds (from audits of insular
area governments) included in the monetary
impact of audit activities.  During this
6-month period, OIG resolved
$151.8 million of monetary findings from
prior and current reporting periods.
Appendix 5 provides summary information
on the resolution of the monetary impact,
Appendix 6 provides a listing of audit
reports over 6 months old pending
management decisions on
recommendations and/or monetary impact,
and Appendix 7 provides a summary of
resolved internal audits over 6 months old
pending final action by management
(implementation) on recommendations and
on monetary impacts.

Investigative Matters

During the past 6 months, the Office of
Investigations conducted investigations
that resulted in 11 indictments/informations,
7 convictions, criminal judgments/restitutions
of $236,632, and civil judgments of
$45,287,501.

During this semiannual period, an
investigation of allegations of the
underpayment of royalties by a major oil
company, performed jointly with the
Department of Justice and the Minerals
Management Service (MMS), resulted in a
settlement of $45 million.  This was the
largest recovery ever to result from an
investigation by DOI's OIG.  Cases involving
similar allegations against other oil
companies are currently being investigated.
In addition, OIG investigators continued to
participate in task forces involving Indian
gaming, environmental crimes, and public
corruption in the insular areas.


CONGRESSIONAL HEARINGS

Testimony on Ten Key Management Issues in DOI

On April 22, 1998, the then Acting
Inspector General testified before the
Committee on Resources, U.S. House of
Representatives, on 10 key management
issues facing DOI.  The testimony included a
discussion of three DOI cross-cutting issues:
facilities maintenance, waste management,
and revenue collection.  It also included a
discussion of  seven other management
issues related to bureau-specific deficiencies
that were identified by the bureaus as
material weaknesses or by our  audits.
These 10 key management areas were also
previously provided to members of the
Congress who had initially requested this
information.

Regarding the cross-cutting issues, the
Acting Inspector General discussed audits of
bureau maintenance activities and testimony
on maintenance backlogs previously
provided to the Subcommittee on Interior
and  Related Agencies, Committee on
Appropriations, U.S. House of
Representatives, at a February 1998
Congressional hearing.  Specifically, the
Acting Inspector General cited  reports that
identified Bureau of Indian Affairs (BIA)
quarters, educational facilities, detention
centers, and irrigation projects which were
in poor condition, in part, because of
insufficient funding and inadequate
administrative and supervisory controls over
maintenance activities; National Park Service
(NPS) concessioners that had not fully
assumed responsibility for maintenance of
their park facilities; U.S. Fish and Wildlife
Service (FWS) funds spent unnecessarily to
maintain Government quarters which  were
vacant and not needed; and Bureau of Land
Management (BLM) maintenance funds spent
on nonmaintenance activities.  In the
February 1998 testimony, OIG had reported
on inaccuracies and inconsistencies in the
maintenance backlogs reported by FWS and
BLM. The Acting Inspector General
concluded that the deferred maintenance
backlogs reported by these two bureaus were
overstated and that, in general, these bureaus
did not have sufficient documentation to
determine whether their data on the backlogs
were complete and accurate.

The Acting Inspector General stated in his
written testimony to the Committee on
Resources that DOI's land management
agencies "face a major challenge in cleaning
up sites contaminated by hazardous materials,
oil and gas wells, leaking underground
storage tanks and pipelines, illegal dumping,
as well as abandoned mine sites."  The
Acting Inspector  General further stated that
DOI recognized a cleanup liability of
$225 million for sites which it had created or
contributed to the hazard and that DOI's total
contingent liability for environmental cleanup
may be at least $315 million.

Regarding bureau revenue collection
activities, the Acting Inspector General cited
findings in audit reports, including the
following: (1) BLM had not recovered the
costs of conducting mineral validity
examinations or effectively used its
authority to designate special  recreation
areas and collect fees at those areas;
(2) MMS had not adequately documented its
royalty settlements or implemented
measures to ensure accurate reporting of
production and sales of oil and gas from
Federal and Indian leases; (3)  NPS had not
established adequate controls over its
reservation system contractor to ensure that
reservation fees were properly remitted to
the Government; and (4) the Office of
Surface Mining Reclamation and
Enforcement (OSM) and the Office of the
Solicitor, despite progress in streamlining
operations and reducing the backlogs of debt
cases, needed to further reduce operational
costs and to fully implement Federal debt
collection regulations.

The testimony addressed other bureau-
specific issues, including BLM programs
and activities in which deficiencies had been
identified in the inspection and enforcement
of regulations involving the development,
production, and abandonment of oil and gas
onshore leases; the monitoring of rangeland
conditions; management of the Wild Horse
and Burro Program, including accounting for
Program funds; and compliance with
established standards and procedures for
land exchanges.  In addition, OIG had
rendered a qualified opinion on BIA's
financial statements because BIA did not
provide adequate documentation or reliable
accounting information to substantiate the
amounts in the statements for eight accounts
(accounts receivable, related allowance for
doubtful accounts, bad debt expense,
revenue, equipment, related accumulated
depreciation, depreciation expense, and
construction-in-progress) and did not have
sufficient internal controls.  Further, an
independent public accountant had rendered a
qualified opinion on the financial statements
of trust funds managed by the Office of the
Special Trustee for American Indians.
Finally, the testimony discussed factors that
contributed to the high cost of NPS employee
housing at Grand Canyon and Yosemite
National Parks, a matter that had been
discussed at an October 1997 Congressional
hearing before the House Subcommittee on
Interior and Related Agencies on the NPS
construction program.

Legislative Hearings on Hess Oil Virgin Islands Corporation

On May 12, 1998, OIG's Director for
Insular Area Audits testified at public
hearings before the Legislature of the Virgin
Islands on a proposed extension of the tax
incentive agreement between the Government
of the Virgin Islands and Hess Oil Virgin
Islands Corporation.  The extent of OIG's
participation in the legislative hearings was to
make a formal presentation and to respond to
questions concerning the February 1992 OIG
audit report "Hess Oil Virgin Islands
Corporation's Impact on the Virgin Islands
Economy"  (No. 92-I-384).  OIG testified that
because the cost-benefit ratio and other
analyses contained in the report were based
on data and economic projections which were
more than 6 years old, the conclusions in the
audit report related to the Corporation's
ability to pay additional taxes should not be
used as a basis for decisions on the proposed
extension of the agreement.  However, OIG
testified that  its recommendations for a
greater level of Government oversight of the
Corporation's operations in the Virgin
Islands and the Corporation's compliance
with the terms and conditions of its tax
incentive agreement were still valid.  The
proposed extension agreement would ratify
the purchase of a 50 percent interest of the
Corporation by a petroleum company of the
national government of Venezuela that has
major interests in oil companies worldwide.
The proposed agreement would also extend
the Corporation's tax incentives to the new
joint venture company through the year
2020.  The Corporation stated that it has
incurred cumulative operating losses of
about $1.2 billion since 1990 and could not
continue in operation without the joint
venture and certain other benefits of the
proposed agreement, such as extending tax
exemptions to the joint venture.

The Corporation employs about 2,000
residents on St. Croix and is the largest
private sector employer in the Virgin
Islands.


LEGISLATIVE REVIEWS

During this reporting period, OIG
reviewed a number of legislative items
and, where appropriate, provided
comments.  OIG performed these reviews
to monitor legislative proposals and
evaluate their potential for promoting
economy and efficiency and preventing
fraud, waste, and mismanagement in the
programs and operations of DOI, as
required by Section 4(a)(2) of the Inspector
General Act of 1978, as amended.

OIG provided comments on S. 2167, the
Inspector General Act Amendments of
1998.  These amendments would (1)
establish a 9-year renewable term for the
appointment of an Inspector General; ( 2)
require an external review of OIG every
3 years by the General Accounting Office,
a disinterested OIG, or an appropriate
private entity; (3) reduce the semiannual
reporting requirement to an annual
requirement and streamline the information
to be included in the report; (4) increase
the Inspector General's annual salary from
Executive Level 4 to Executive Level 3;
and (5) transfer OIG functions from a
number of designated Federal entities to
OIGs in larger agencies.

While OIG supported the requirement for
an external review, OIG recommended that
the language of the bill be changed so as to
clarify the scope of the review and to
specify that the review is to be conducted
in conformance with standards included in
the General Accounting Office's "Yellow
Book."  In addition, OIG suggested that
the bill limit to 6 years the period in which
an Inspector General who arranges for a
review with a disinterested Inspector
General is barred from conducting a
review of that Inspector General's
establishment or entity.  OIG commented
that a 6-year rather than a permanent bar
would ensure an impartial and objective
review while at the same time maximize
the availability of OIG resources to
conduct such reviews.

OIG also supported the change to an
annual rather than a semiannual report.
With respect to the  information to be
included in the report, OIG noted that the
bill's language would not promote
uniformity and consistency in reporting
information because discretion was left to
each OIG as to whether to include certain
categories of information.  OIG therefore
recommended that standard categories of
information be developed which would be
utilized in all OIG annual reports.  In
addition, OIG recommended that the bill
not require certain other types of
information to be included because this
information could be obtained more easily
from the agency rather than OIG.  Finally,
OIG suggested a number of other changes
to the bill that it believes would further
streamline the content of the annual
reports.

OIG concurred with the bill's proposed
increase in the salaries of the Inspectors
General but suggested that the salaries be
raised to Executive Salary Level 2 rather
than Executive Salary Level 3 in order to
better redress the inequity of Deputy
Inspectors General and Assistant Inspectors
General sometimes receiving a higher
income than the Inspectors General.  In
regard to the transfer of OIG functions
from smaller entities to larger agencies,
OIG recommended that the transfer be
studied in order to ensure that the agencies
to which these entities are assigned are the
most appropriate agencies to handle the
additional responsibilities.


SIGNIFICANT AUDITS AND INVESTIGATIONS

Department of the Interior Consolidated Principal
Financial Statements Audits for Fiscal Years 1996 and 1997

We concluded that DOI's consolidated
principal financial statements for fiscal
years 1996 and 1997 are presented fairly
except that BIA could not provide adequate
documentation or reliable accounting
information to support the amounts of
$170 million for other structures and
facilities, $17 million in accounts receivable,
$136 million of revenues, and $19 million of
bad debt expenses for fiscal year 1996.  OIG
also concluded that the  internal accounting
control structure of DOI's 10 operating
entities met  the established internal control
objectives except for the controls relating to
BIA.  Specifically, BIA's accounts receivable
were not timely recorded and collected;
property transactions were not properly
recorded and adequately supported; and
effective and periodic information integrity
reviews were not made of the financial
information contained in the general ledger
control accounts and their related subsidiary
ledgers, listings, and reconciliations.  In
addition, we noted certain matters involving
BIA's general controls over its automated
information system at its Operations Service
Center that we considered to be reportable
conditions under the standards stated in
OMB Bulletin 93-06.  Specifically, the
system contained weaknesses in the areas of
system security (which involves
safeguarding computer hardware),
application use, segregation of duties,
system software controls, and continuing
computer operations in the event of system
failure.

We also noted that general controls in the
automated information system of  the
Royalty Management Program within MMS
were not adequate.  Specifically, the
Program did not (1) identify and address all
risks affecting proprietary and financial data
in the automated information system, have
adequate security-related personnel policies
and procedures, and have security awareness
statements on file for all employees who
used the automated information system; (2)
have adequate logical access controls in the
areas of resource classification, default
settings, commercial off-the-shelf software
access controls, and access levels granted to
users; (3) have controls to ensure that
client/server application software changes
were authorized, approved, and tested before
they were moved into production; (4)
separate the duties of the client/server
application programmers from the duties of
the users and separate the duties of
client/server security administrators from
reviewers; (5) use mainframe security
software that was supported by the vendor
and use available mainframe computer
system  audit  tools  to  ensure  integrity  over
system processing  and  data;  and (6) include
local area networks and personal computers
which maintain proprietary and financial data
in the Program's disaster recovery plans.

Finally, DOI's 10 operating entities have
complied in all material respects with
applicable laws and regulations except that
BIA did not comply with all of the
requirements of the Debt Collection
Improvement Act of 1996, the Prompt Pay
Act, and the Credit Reform Act of 1990.  In
addition, the ineffective general controls over
the automated information systems used  by
BIA and MMS are significant departures
from certain requirements of OMB Circulars
A-127 and A-130. These departures are
instances of substantial noncompliance with
the requirements of  Federal financial
management systems under the Federal
Financial Management Improvement Act.

Bureau Financial Statements Audits

During this semiannual period, OIG
audited and issued audit reports on the
fiscal year 1997 financial statements of 4 of
DOI's 10 bureaus and offices.

We expressed a qualified opinion on BIA's
financial statements for fiscal year 1997
and rendered unqualified opinions on the
fiscal year 1997 financial statements of the
U.S. Geological Survey (USGS), FWS, and
NPS.

A qualified opinion was expressed on BIA's
financial statements because BIA could not
provide adequate documentation or reliable
accounting information to support the
balances reported in the fiscal year 1997
financial statements for eight accounts
(accounts receivable, related allowance for
doubtful accounts, bad debt expense,
revenue, equipment, related accumulated
depreciation, depreciation expense, and
construction-in-progress) and the effect that
these accounts had on the overall net
position.  BIA's internal control structure
also was not sufficient to provide reasonable
assurance that (1) accounts receivable were
timely recorded and collected; (2) property
transactions were properly recorded and
adequately supported; and (3) effective and
periodic information integrity reviews were
made of the financial information contained
in the general ledger control accounts and
their related subsidiary ledgers, listings, and
reconciliations.  In addition, we noted
certain matters involving BIA's  general
controls over its automated information
systems at its Operations Service Center that
we consider to be reportable conditions
under the standards stated in OMB Bulletin
93-06.  The ineffective general controls over
the automated information systems are
significant departures from certain
requirements of OMB Circulars A-127 and
A-130 and are therefore instances of
substantial noncompliance with the Federal
financial management systems requirements
under the Federal Financial Management
Improvement Act.

Although OIG was able to issue unqualified
opinions on the financial statements of
USGS, FWS, and NPS, OIG reported
conditions that affected the internal control
structures of USGS and NPS as follows:

     - USGS's internal controls were not
sufficient to provide reasonable assurance
that (1) the amounts reported in three general
ledger accounts (advances from others,
accounts receivable unbilled, and accounts
payable) were properly supported by
subsidiary ledgers; (2) costs related to the
Federal-State Cooperative Projects were
reported accurately and in accordance with
applicable  agreements; (3) delinquent
accounts receivable were collected in a timely
manner; and (4)  monies were disbursed from
the investment plan, a component of the
working capital fund, in accordance with
established policies. These conditions are
considered to be reportable weaknesses in
USGS's internal control structure that need to
be corrected.  In addition, system integrity
weaknesses existed in the general controls of
the Federal Financial System at the Reston
General Purpose Computer Center.  We
believe that the actions planned by USGS
should be sufficient to correct the
deficiencies identified.

     - NPS's internal controls were not
sufficient to provide reasonable assurance
that (1) the property and equipment
subsidiary ledgers were maintained in
agreement with the related general ledger
control account; (2) delinquent accounts
receivable were collected in a timely manner;
(3) completed projects in the construction-in-
progress account would be timely and
appropriately transferred to the buildings and
the other structures and facilities accounts;
and (4) effective and periodic financial
information integrity reviews were made of
the financial information contained in the
general ledger control accounts and in their
related subsidiary ledgers, listings, and
reconciliations.  In addition, NPS had not
established an adequate process to allow it
to obtain, in a timely manner, reliable
information on  the number of the "special
concession accounts" and their balances or
on the financial activities in these accounts.
These conditions are considered to be
reportable weaknesses in NPS's internal
control structure that need to be corrected.


Bureau of Indian Affairs

Weaknesses in General Controls Identified

In a June 1998 followup report, we found
that deficiencies in the general controls
over BIA's automated information systems
at its Operations Service Center  identified
in our April 1997 audit report "General
Controls Over Automated Information
Systems, Operations Service Center, Bureau
of Indian Affairs" (No. 97-I-771) still
existed.  For the 13 recommendations
contained in the April 1997 report, we found
that 2 recommendations were partially
implemented, 10 recommendations were not
implemented, and 1 recommendation was no
longer applicable as follows:

     - BIA partially implemented one
recommendation by  developing policies and
procedures to ensure personnel security.
However, BIA did not initiate required
security clearance paperwork for employees
who were not assigned  to the Service Center
but were performing automated data
processing (ADP) sensitive and critical
functions.  Also, BIA management did not
provide required monthly reports identifying
terminated or transferred employees to the
security staff.

     - BIA partially implemented a second
recommendation by developing and testing a
contingency plan to transfer its data
processing functions to USGS's host
computer.  However, BIA did not fully
implement the recommendation because it
continued to control, operate, and maintain its
computer operating system and security
software and to schedule production runs
manually rather than use USGS's host
computer operating system and automated
job scheduling system.  Furthermore,
applications of BIA and the Office of the
Special Trustee for American Indians that
were operated on BIA's Unisys mainframe
computer were not transferred to USGS's
host computer.

     - We determined that one
recommendation which requested that higher
priority be given to moving the applications
which reside on BIA's Unisys mainframe to
USGS's IBM mainframe was no longer
applicable because the Unisys applications
could not be converted cost effectively to the
IBM mainframe.  The contractor estimated
the cost to convert the applications to be
more than $1 million.

Our followup report contained eight new
recommendations to safeguard information
resources.   BIA agreed with all of the
recommendations and advised that it had
developed a plan for implementing seven
recommendations.  We requested additional
information for the remaining
recommendation.  The 12 unimplemented
recommendations in the April 1997  report
and the 8 unimplemented recommendations
in the June 1998 report have been referred to
the Departmental Audit Followup Official
for tracking of implementation.

Probate Data Not Submitted Timely

In two audits, we found that agency offices
were not  processing probate data
efficiently.  Specifically, we found that the
Yakama, Puget Sound, and Minnesota
Agencies did not promptly report all Indian
deaths and did not timely submit all the
required probate data for Indians whose
deaths were reported during fiscal years
1995 and 1996 to the administrative law
judge.  The required information was not
submitted to the administrative law judge
timely because the agencies assigned a low
priority to processing probates and did not
assign a sufficient number of or adequately
trained staff to collect and submit probate
data.  Further, officials at the Yakama
Agency told us that they were unable to
 meet the established 90-day time
requirement because they were emphasizing
the processing of their older cases, for which
more time was needed to obtain family
histories.  At the Minnesota Agency, we
found that required information was not
submitted timely to the administrative law
judge because the Agency instructed
employees to emphasize probates involving
land and did not assign a sufficient number of
adequately trained staff to collect and submit
probate data.  Because the agencies did not
forward the probate data to the administrative
law judge in a timely manner, probate
hearings were delayed, and estate assets and
subsequent income associated with inherited
lands were not distributed to the heirs in a
timely manner.  Our reports contained
10 recommendations to improve the reporting
of Indian deaths and the processing of
probate data.  BIA agreed with the
10 recommendations.  Of the five
recommendations in our report on the
Yakama and the Puget Sound Agencies, we
considered one recommendation resolved and
implemented and four recommendations
resolved but not implemented.  Of the five
recommendations  in our audit report on the
Minnesota Agency, we considered one
recommendation resolved and implemented
and three recommendations resolved but not
implemented and requested additional
information for the remaining
recommendation.

Leasing Adequately Managed, Improvements in Other Areas Needed

We found that BIA's Fort Peck Agency
generally managed agricultural and
pasture leases on the Fort Peck Indian
Reservation in accordance with applicable
regulatory, lease, and permit requirements.
Specifically, the Agency (1) identified lands
that were suitable for leasing; (2) advertised,
using sealed bidding procedures, those lands
that were available for leasing; (3) ensured
that fair annual rents were realized based on
competitive bids and negotiations;
(4) generally made timely distributions of
rents collected to Indian landowners;
(5) assessed interest when rents were paid
late; and (6) enforced bonding requirements
stipulated in the leases.  However, we also
found that new leases were not usually
approved or granted by their effective date
and that lease rents and grazing fees totaling
$164,000 which were deposited into special
deposit accounts in the 1970s and 1980s had
not been distributed to landowners.  We
made three recommendations to improve the
leasing and grazing activities.  Based on the
responses from BIA and the Office of the
Special Trustee for American Indians, we
revised one recommendation and requested a
response to this recommendation and
considered the remaining two
recommendations resolved but not
implemented.

Improvements in Emergency Feed Grain Program Needed

We found that BIA's Blackfeet Agency,
Chippewa Cree Tribe of the Rocky
Boy's Reservation, and Assiniboine and
Sioux Tribes at the Fort Peck Indian
Reservation did not ensure that emergency
feed grains were distributed only to eligible
applicants in accordance with the
requirements of the joint DOI and
Department of Agriculture 1978
Memorandum of Understanding Number 5
and applicable Billings Area Office
instructions.  This occurred because neither
BIA Headquarters nor Billings Area Office
officials issued supplemental guidance to the
Agency or tribal officials adequately defining
"principal source of income," which resulted
in inconsistent determinations of eligibility.
In addition, Agency and tribal officials did
not provide the monitoring necessary to
ensure compliance with the Program.  As a
result, 232,735 pounds of grain, valued at
$12,400, were provided to 16 participants of
the Indian Acute Distress Donation Program
who did not have any agricultural income
required to be eligible for the grain, and
336,000 pounds of grain, valued at $18,000,
were provided to an additional 14 Program
participants who received grain in excess of
their entitlement.  We did not make any
recommendations to correct the deficiencies
in Program criteria because the Indian Acute
Distress Donation Program will be replaced
by the American Indian Livestock Feed
Program.  The latter program will be
administered directly by tribal governments
through the Department of Agriculture's
Commodity Credit Corporation and will not
involve BIA.

Tribal Gaming Machine Technicians Convicted of Theft

Two tribal employees who were electronic
slot machine technicians for a tribally
owned casino in the Midwest were
convicted of stealing $18,000 from gaming
machines.  The employees took small
denomination currency from bill acceptors
on the machines and then exchanged the
smaller denomination currency  in the casino
gift shop for larger denomination currency,
which they retained for personal use.

On December 11, 1997, one technician pled
guilty to one count of theft in state court.  He
was subsequently sentenced to 15 days of
imprisonment and 2 years of probation and
was ordered to make restitution of $1,000
and to pay a fine of $200 and court fees of
$70.  The second technician was convicted
following a trial in state court.  He was
sentenced to 1 year of imprisonment and 2
years of probation and was ordered to make
restitution of $3,000 and to pay fines of
$270.

Former Employees Sentenced in Fraud Scheme

On May 15, 1998, two former BIA
employees were sentenced in U.S.
District Court for the Eastern District of
Virginia following their arrest on charges of
theft and conspiracy.  The employees had
devised a scheme to falsify agency
performance award documents so that each
could receive an award of $2,000.  The
performance award program is intended to
recognize the exemplary efforts of
employees in carrying out the mission of the
agency.

The employees were sentenced to a total of
30 days of imprisonment and 5 years of
probation and were ordered to make
restitution of $4,558, to perform 100 hours of
community service, and to pay a special
assessment of $200.  Both employees were
terminated from Federal service as a result of
their actions.

Former Tribal Official Sentenced for Embezzlement

On April 3, 1998, the former executive
director of the housing authority of a
Midwestern Indian tribe pled guilty to four
counts of theft and embezzlement of  Federal
funds.  On June 12, 1998, the employee was
sentenced to 21 months of imprisonment and
3  years of supervised  probation.  The
employee was also ordered to make
restitution of $46,654 and to pay a special
assessment of $200.  This was a joint
investigation with the U.S. Department of
Housing and Urban Development's OIG.

Former Tribal Employee Sentenced for Theft

The former office manager of a tribal
business enterprise in the Southwest was
indicted on eight counts of embezzlement and
theft of tribal business funds of
approximately $215,799.  Investigation
disclosed that the employee used the business
enterprise's credit card and checking
accounts for personal purchases such as for a
boat that cost $14,000 and for heavy
equipment for a personal business.  The
subject also stole approximately $53,777 in
cash.  The individual pled guilty to three
counts of theft or embezzlement from an
Indian tribal organization.  On April 6, 1998,
the employee was sentenced to 10 months of
house arrest with electronic monitoring, to
be followed by 5 years of probation.  He was
also ordered to make restitution of $161,000
and to pay a special assessment of $300.

Employee Resigns in Fraud Case

A BIA employee in New Mexico falsified
her time and attendance records during
a 4-year period in order to obtain unearned
overtime compensation of more than
$36,000.  In May 1997, a Federal grand jury
in Albuquerque, New Mexico, charged the
individual with filing false claims and mail
fraud.  In September 1997, the employee
pled guilty to the false claims charge and, in
April 1998, was sentenced to 5 years of
supervised  probation and was ordered to
perform 100 hours of community service.
The employee resigned during the course of
the investigation.  The BIA office in which
the employee worked subsequently instituted
an electronic time and attendance processing
system that precludes similar falsification of
records.

Former Superintendent Convicted of Misapplication of Funds

An OIG investigation disclosed that the
former superintendent of a BIA agency
in the Northwest participated in a scheme in
which Indian Business Development Grant
funds and tribal funds totaling $415,000
were misapplied.  The superintendent was
the approving official for a transaction in
which BIA and tribal funds were used to
purchase 207 acres of land for nearly four
times its appraised value.  Following a trial in
March 1998, the former superintendent was
found guilty on charges of conspiracy to
convert Federal funds, conversion of Federal
grant funds, and post-employment conflict of
interest.  On July 17, 1998, the former
employee was sentenced to 6 months of home
confinement and 5 years of  probation and
was ordered to pay a fine of $6,000.

Individuals Convicted of Defrauding Federal Programs

An OIG investigation disclosed that the
former Federal programs coordinator for
a Northwest Indian tribe and a relative had
created a fictitious firm that purportedly
conducted evaluations of Federal programs.
The two individuals subsequently created
false documents and generated payments to
the firm, which they then converted to their
personal use.  On December 17, 1997, the
two individuals were charged with theft or
bribery concerning programs receiving
Federal funds and making false statements.
Both individuals pled guilty, and on May 12,
1998, they were sentenced to a total of
48 months of probation and 150 hours of
community service.  They were also ordered
to make restitution of $10,000 and to pay
special assessments of $125.

Affirmative Civil Enforcement Investigation Yields Settlement

The U.S. Attorney's Office for the District
of South Dakota requested that OIG
participate with the Defense Criminal
Investigative Service in an Affirmative Civil
Enforcement investigation.  The
investigation related to allegations of a
possible conspiracy involving price fixing,
bid rigging, and allocating customers with
respect to publicly bid contracts for the sale
of dairy products to schools in South Dakota
(including schools funded by BIA).  The
vendors in the sales were South Dakota
dairies.  After the investigation, on May 1,
1998, one of the dairies entered into a civil
settlement with the U.S. Government and
made a payment of $72,500.52.  On June 24,
1998, a second dairy entered into a civil
settlement and agreed to pay the
Government $184,000.


Bureau of Land Management

Timber Sales Conducted Timely

Our audit of BLM's Salvage Timber
Program concluded that BLM  had
conducted timber sales in a timely manner
and had effectively used the Forest
Ecosystem Health and Recovery Fund to
eliminate the backlog of salvage timber
projects.  We also found that  timber thefts
did not appear to be a significant problem on
lands administered by BLM.  We noted that
BLM was depositing 100 percent of the
proceeds from salvage timber sales into the
Forest Ecosystem Health and Recovery Fund
instead of only the Federal share, as specified
by the Congress in Public Law 102-381.
However, BLM requested and obtained an
opinion from the Office of the Solicitor
which stated that BLM's retention of these
funds was proper.  Based on the results of our
review and the Solicitor's opinion, we did not
include any recommendations in the report.

Adopt-A-Horse Program Managed Inadequately

We determined that the three BLM
Adopt-A-Horse Program offices
reviewed were not adequately screening
prospective adopters, performing inspections
of adopters' facilities and adopted animals,
and issuing titles for eligible adopted
animals.  This occurred because BLM
management did not perform oversight
reviews to ensure that established procedures
were complied with or that other effective
procedures were established by all Program
offices, BLM  management of at least one
office reviewed had focused their efforts on
placing excess animals into private care
instead of fully complying with existing
procedures, and the Wild Horse and Burro
Information System did not contain adequate
information on the eligibility of adopters and
was difficult to use.  BLM agreed with the
report's five recommendations.  BLM
officials advised  that they had implemented
one recommendation by developing and
implementing  procedures to contact adopters
of untitled horses or burros to issue titles and
by contacting slaughterhouses that process
horses for human consumption to ensure that
untitled animals are not slaughtered.  They
also advised that they had developed plans
to address the four remaining
recommendations.  Based on the response,
we considered one recommendation
resolved and implemented and four
recommendations resolved but not
implemented.

Nevada Land Exchange Control Weaknesses Continue

In a September 1998 followup audit, we
found that weaknesses in BLM's Nevada
land exchanges identified in our July 1996
audit report "Nevada Land Exchange
Activities" (No. 96-I-1025) continued.  We
found that BLM had fully implemented three
recommendations and had partially
implemented one recommendation but had
not implemented one recommendation as
follows:

     -  BLM fully implemented three
recommendations by issuing directives
which stated that all easements on Federal
lands proposed for disposal should be
reviewed to verify grantee needs and that
actions should be taken to remove any
easements which are not needed before
Federal lands are exchanged or sold, ensured
that the accounting reports of income and
expenditures required by Section 2(e) of the
Santini-Burton Act are prepared and
submitted to BLM officials for submission
to the appropriate Congressional oversight
committees, and ensured that the Nevada
State Office used the land sales process
when disposing of Santini-Burton Act lands.

     -  BLM partially implemented one
recommendation by developing a strategy to
incorporate competitive procedures
(competitive sale or exchange) into the land
disposal process.  This required BLM to
initiate an evaluation of different approaches,
select  an option, and develop and test a pilot
project.  Although an option was selected, a
pilot project was not developed and tested.

     -  Regarding the unimplemented
recommendation, we concluded that BLM's
efforts to establish and follow controls to
ensure that Nevada land exchanges were
processed in full accordance with applicable
laws, regulations, and procedures were
generally unsuccessful.  As a result of these
inadequate implementation efforts, BLM
continued to experience significant monetary
losses in its Nevada land exchanges.
Specifically, we concluded that (1) about
$5.9 million was lost on the Deer Creek
exchange because the Nevada State Office
did not comply with the established
delegation of authority requirements
associated with land valuation; (2) about
$12.3 million was lost because the private
lands included in the Cashman and
Dreyfus/Zephyr Cove exchanges were not, in
our opinion, appraised in full accordance
with the "Uniform Appraisal Standards for
Federal Land Acquisitions"; and (3) about
$3.4 million could have been put to better use
if BLM had not acquired three parcels of land
which were not in conformance with the
current land use plan and did not have a
discernible mission-related purpose.

Our followup report contained five new
recommendations to improve the
management of Federal land exchanges.
BLM agreed with four recommendations and
advised that it had developed a plan to
implement three of the recommendations.
We requested additional information for the
fourth recommendation, with which BLM
agreed.  We requested that BLM reconsider
the recommendation, with which it
expressed disagreement, to establish a
temporary moratorium on new and/or
expanded Nevada land exchange activities
until a National Land Exchange Evaluation
and Assistance Team is established and
available to assist BLM's Nevada State
Director.

Amounts Collected for Reimbursable Firefighting Activities Insufficient

We determined that the eight BLM
district offices reviewed did not
recover sufficient amounts to cover costs for
reimbursable firefighting activities
associated with human-caused fires and that
BLM's California  State Office, the one state
office reviewed, did not adequately classify
assistance-type fires as to reimbursability, as
provided for by Federal laws.  More
specifically, the Reciprocal Fire Protection
Agreement Act of 1955 (42 U.S.C. 1856)
provides authority for mutual aid in fire
protection and allows BLM to seek
reimbursement for costs incurred for
fighting fires on non-Federal lands, and the
Federal Land Policy and Management Act of
1976 (43 U.S.C. 1735) authorizes the
collection of money to settle claims
involving damage to public lands. The
district offices did not recover sufficient
amounts because they did not (1) give
sufficient priority to fire investigations; (2)
adequately document fire investigations,
their status, and their results; or (3) properly
classify human-caused fires as reimbursable
when an initial determination of
responsibility was made.  The California
State Office did not fully recover
reimbursable costs from the State of
California because it did not adequately
identify and document whether assistance
provided during specific fires was
reimbursable.  As a result, the district offices
did not recover costs of  up to $6 million
associated with 153 human-caused fires that
occurred from 1993 through 1996, and the
California State Office did not recover costs
of $480,000 associated with reimbursable
assistance-type fires.  In addition, even when
fires were determined to be reimbursable,
9 of the 12 state and district  BLM offices
reviewed did not always determine the
appropriate amounts to be billed or properly
record, bill, or collect reimbursable
firefighting costs.

As a result of not adequately accounting for
reimbursable firefighting costs, reimbursable
costs of at least $137,000 were not billed or
recovered, and Government financing costs
of about $47,000 were incurred because of
delays in billing costs totaling $765,000 and
in depositing reimbursements of $351,000.

BLM agreed with the report's eight
recommendations and advised that it had
developed a plan for implementing two of the
recommendations concerning cost recovery
and firefighting assistance.  We requested
additional information for the six remaining
recommendations.Resource Advisory Councils
Effective

We concluded that, overall, the Resource
Advisory Councils worked effectively
with BLM  in (1) developing standards and
guidelines for rangeland health, (2)
representing and reaching consensus among
diverse public interest groups, and (3)
advising BLM concerning land use
decisions.  However, we noted that all
Council members had not received training
in the management of rangelands, as
required by the grazing regulations, which
would enhance the members' ability to
develop standards and guidelines.  In
addition, representatives from other Federal
agencies that had land within the authorized
boundaries of the Councils were not
involved in the process except in Oregon
and Washington, and the Wyoming Council
has not been rechartered since 1996.   As a
result, there was no forum available for
people in Wyoming to participate in BLM's
land use policy decisions other than to
respond to environmental impact statements
and environmental assessments, which
require notices to be published in local
newspapers and the "Federal Register."
Since the report did not contain any
recommendations, a response was not
required.

Skeletal Remains Trafficked

On August 18, 1998, an employee of
BLM entered into a pretrial diversion
agreement with the U.S. Attorney's Office
for the District of Montana.  The employee
accepted responsibility for trafficking in
Native American skeletal remains and was
placed in a deferred prosecution program
under the supervision of the U.S. Probation
Office for  12 months.  The individual was
ordered to pay $750 to the Clerk of the
Courts for reburial of the remains and
surrendered all rights to evidentiary property
that OIG had taken custody of in connection
with the investigation.

Credit Card Misuse Cited

A joint investigation was initiated with
BLM law enforcement officials based on
allegations that a BLM employee in Arizona
had misused a BLM credit card by making
personal purchases.  Analysis of charge card
records revealed that the employee had made
purchases for personal use from convenience
stores and drug stores.  On March 19, 1998,
the employee admitted using the credit  card
to purchase personal items such as pet food,
videotapes, clothing, food, and medicine.
After receiving a letter from BLM proposing
to remove him from Federal service, the
individual retired.  The U.S. Attorney's
Office declined prosecution in favor of
administrative remedies.  On September 22,
1998, BLM issued the individual a bill for
collection in the amount of $7,816.13.


Bureau of Reclamation

General Controls Over Computer Center Management Still Need Improvement

In an August 1998 followup audit, we found
that the Bureau of Reclamation's (BOR)
general control weaknesses identified in our
March 1997 audit report "Mainframe
Computer Policies and Procedures,
Administrative Service Center, Bureau of
Reclamation" (No. 97-I-683) still needed to
be improved.  Of the 24 recommendations
contained in the March report, we found that
BOR had partially implemented
3 recommendations and had fully
implemented 21 recommendations.  The
three partially implemented
recommendations are as follows:

     -  BOR partially implemented one
recommendation by developing procedures
to ensure  that NetWare servers will be
configured to require encrypted passwords
when all Service Center NetWare file
servers have been migrated to NetWare
Directory Services.

     -  BOR partially implemented a second
recommendation by issuing a memorandum
to system owners to evaluate the Resource
Access Control Facility (RACF) password
change intervals and revocation settings.
BOR has reduced RACF password
expirations and the allowance period of
inactivity of a user identification (ID)
from180 days to 90 days.  Also, procedures
have been developed to remove inactive user
IDs from the system more timely.  However,
BOR did not fully implement the
recommendation because procedures for
removing inactive users of the Social
Security Administration had not been
developed and implemented.

     -  BOR partially implemented a third
recommendation by identifying critical
datasets and requiring periodic reviews of
reports auditing the critical datasets to
evaluate user access levels.  However, BOR
needed to compare the critical dataset
reports with approved user authorizations.

In our followup report, we made
14 recommendations for improving the
general controls at the Service Center.  BOR
agreed with all of the recommendations and
told us that it had developed a plan for
implementing the recommendations.  We
considered 2 recommendations resolved and
implemented and 12 recommendations
resolved but not implemented.  The three
unimplemented recommendations in the
March 1997 report have been referred to the
Departmental Audit  Followup Official for
tracking of implementation.

Weaknesses in Award and Administration of Contracts Noted

We determined that BOR generally
awarded and administered contracts for
the programmatic environmental impact
statement for implementation of the Central
Valley Project Improvement Act  in
accordance with the Federal Acquisition
Regulation and that it planned to capitalize
the associated costs in accordance with
Reclamation laws.   However, BOR did not
ensure that all contract award and
administration requirements of the Federal
Acquisition Regulation were followed.  For
example, BOR had not developed a well-
defined statement of work, it accelerated the
contract award in an effort to meet the
mandated completion date for the
programmatic statement, and it did not
always have experienced or sufficient staff to
adequately administer the contract.  We also
noted that BOR had to modify the contract
because of State of California and DOI
decisions which affected environmental
alternatives in the programmatic statement
after the contract was awarded.  As a result,
estimated contract costs escalated from
$20 million to about $29.3 million, and the
estimated completion date for the
programmatic statement was extended by
2 years.  The extension will delay
implementation of critical provisions of the
Act, such as renegotiating more than
200 long-term water contracts, collecting
additional restoration revenues, and
completing fish and wildlife enhancement
activities.  BOR agreed with the report's
10 recommendations to improve contract
administration and advised that it had
developed a plan for implementing the
recommendations.  Based on the response,
we considered two recommendations
resolved and  implemented and eight
recommendations resolved but not
implemented.


Insular Areas

AMERICAN SAMOA

Management of Legislature Renovation Project Inadequate

The Legislature of American Samoa did
not use funds appropriated for a building
renovation project effectively and efficiently
and in accordance with applicable laws and
regulations. Specifically, the Legislature did
not procure contractor services and materials
competitively for the initial repair of the roof
on the Senate and House Chambers, and it
significantly expanded the scope of the
renovation project through the issuance of
eight change orders.  In addition, the
Legislature did not verify the accuracy or
reasonableness of labor and material costs
claimed on contractor invoices and did not
ensure that the renovation work was
inspected for compliance with the American
Samoa Building Code.  These conditions
occurred because the Legislature did not have
adequate written procedures for procuring
contractor services in accordance with the
American Samoa Code Annotated and for
planning and managing construction projects.
As a result, the Legislature (1) had little
assurance that it received full value for the
approximate $1 million paid for contractor
services, construction materials, and
equipment; (2) paid at least $20,036 more for
roofing materials than was necessary; (3)
overspent project appropriations by at least
$211,025; and (4) had little assurance that the
renovated Legislature buildings were in full
compliance with Building Code
requirements.  Our report contained five
recommendations to ensure that  funds are
efficiently and effectively appropriated for
the renovation project.  The Legislature
concurred with three of the recommendations
and suggested alternate corrective actions for
the remaining two recommendations, which
we accepted as meeting the intent of the
original recommendations.  Based on the
response, we considered three
recommendations resolved but not
implemented and requested additional
information for the two remaining
recommendations.

GUAM

Controls for Delinquent Gross Receipts Taxes Insufficient

We determined that Guam's Department
of Revenue and Taxation did not
ensure that all delinquent gross receipts taxes
were collected and that it did not use
available sources of information to identify
businesses (taxpayers) which had not filed
gross receipts tax returns.  These conditions
occurred because the Department (1)
transferred Collection Branch personnel to
other divisions, which prevented the
Collection Branch from initiating timely
enforcement actions to collect delinquent
gross receipts taxes; (2) had not developed
written procedures for conducting an
effective nonfiler identification program; (3)
had not assigned a program coordinator and
personnel to conduct a nonfiler
identification program; and (4) had not
entered income tax information into the
Department's automated income tax system
to provide a method of comparing income
reported on income tax returns with income
shown on gross receipts tax returns.  As a
result, the Government of Guam lost gross
receipts taxes of $724,149 and risks losing
additional taxes of at least $1.3 million if
timely enforcement actions are not taken.  In
addition, based on our limited testing of
taxpayer information sources on Guam, we
identified 47 nonfilers who may have owed
the Government of Guam at least $972,486
in gross receipts taxes and related penalties
and interest.  Our report contained five
recommendations to improve the assessment
and collection of gross receipts taxes.  The
response from the Acting Governor of Guam
concurred with all five recommendations
and advised that one recommendation had
been implemented by the issuance of a
directive to personnel requiring them to
follow established collection procedures
and, as warranted, to utilize seizures and
sales of property to collect delinquent taxes.
Based on the response, we considered one
recommendation resolved and implemented
and one recommendation resolved but not
implemented and requested additional
information for the three remaining
recommendations.

Bank Account Managed Inadequately

The financing of routine operations of
Guam's Department of Education was
disrupted in May 1997.  This occurred
because the Department of Administration, as
part of the legally mandated transition of
Education's primary funding source from
General Fund appropriations to annual gross
receipts tax collections, transferred
$5.6 million from two Education bank
accounts to a General Fund bank account
without Education's knowledge or approval
and, as of February 28, 1998, had not
returned unused funds of $4 million or
provided Education with an accounting of
expended funds of $1.6 million.  These
conditions occurred because (1) the
implementing public laws did not identify
which funds Education should retain and did
not provide for a transition period to
implement the mandated changes, (2)
Administration and Education did not
cooperate effectively during the transition
process, and (3) Administration did not have
adequate written procedures for closing bank
accounts.  As a result, Education did not have
access to previously available funds of more
than $4 million and was unable to determine
what financial resources would be available
for fiscal year 1997.  In addition, Education
had to pay, from its new funding source,
expenses of at least $2.8 million that were
incurred prior to the April 1997 transition
date.  To correct the conditions noted, we
recommended that (1) the Guam Legislature
revise the Standing Rules to ensure that any
future legislation which changes the method
of funding a governmental entity includes
language on the disposition of existing
funding and requires a transition period, (2)
the Director of Administration implement
procedures to prevent the closing of agency
bank accounts until affected agencies have
cleared all outstanding transactions, and (3)
the Director of Education request the return
of the unused $4 million and an accounting
of the expended funds of $1.6 million
transferred from Education's accounts.  The
Speaker of the Legislature and the Governor
of Guam concurred with the
recommendations addressed to each of them,
and we considered both recommendations
resolved but not implemented.  The Board of
Education did not comment on the
recommendation addressed to it; therefore,
that recommendation is unresolved.

VIRGIN ISLANDS

Bureau of Corrections Deficiencies Continue

Based on our followup review of
45 recommendations made in four prior
audit reports on the Virgin Islands Bureau of
Corrections, Department of Justice, we
found that 7 recommendations were fully
implemented, 22 recommendations were
partially implemented, and
16 recommendations were not implemented.
Specifically, the Bureau had taken actions to
(1) develop a plan to correct building
deficiencies,  (2) develop maintenance plans
to meet the grant requirements of the Federal
agencies that provided funds for the repair of
correctional facilities, (3) institute a formal
system for classifying inmates  as  to  level
of  risk,  (4)  provide  uniforms  to
corrections  officers  and  inmates,
(5) provide inmates with medical and dental
care, (6)  transfer  the  Youth  Rehabilitation
Center  to  the  Department  of  Human
Services, (7) provide a training facility on
St. Croix  for  corrections  officers,  and (8)
develop "post orders" (descriptions of
required duties) for all corrections officers
positions.  However, we found that
deficiencies disclosed in the prior reports still
existed.  Specifically,  physical security at the
correctional facilities continued to be
compromised, repair and maintenance
problems existed, prison facilities were
overcrowded, rehabilitative programs for
inmates were not fully effective, and
deficiencies related to staffing and training
existed within the Bureau.  These
deficiencies continued  because (1) the
Bureau did not have a permanent
management team to ensure that corrective
actions were initiated and completed, (2)
prison facilities on St. Thomas and
St. Croix  did  not  have  standard  operating
procedures  and  only  the St. Thomas
facilities had  a  comprehensive  procedures
manual, (3) corrections personnel did not
always follow established procedures, and (4)
the recommendations were not always
implemented consistently on the two islands.
Although we made six recommendations to
the Governor of the Virgin Islands to address
the deficiencies, we did not receive a
response to our draft report.  Therefore, the
six recommendations are unresolved.

Improvements in Court's Administrative Functions Needed

Our review of the administrative functions
of the Territorial Court of the Virgin
Islands disclosed that the Court had made
improvements since a 1990 audit report in
carrying out its administrative functions,
primarily with regard to controlling overtime.
However, additional improvements were
needed in the areas of revenue collections,
procurement, expenditure control, and
property management.  Specifically,
differences between collections and deposits
were not reconciled, funds held in trust for
bail bonds were not disbursed in a timely
manner, expenditures from internal checking
accounts were not controlled, procurements
were not made competitively, employees did
not account for travel advances, personal
long-distance telephone calls were made but
not paid for, and equipment was not
adequately controlled.  These deficiencies
occurred because the Court did not provide
sufficient oversight of its employees and did
not implement adequate procedures or
enforce existing procedures for processing
collections.  As a result, bail bonds of
$130,000 had not been disbursed to the
appropriate third parties, and funds of
$70,752 in internal checking accounts and
regular operating funds of $8,590 were used
for improper purposes.  In addition, there
was little assurance that the Court received
the best prices for goods and services
purchased; the Court was not reimbursed for
an undetermined amount for personal
telephone calls and for travel advances of
$13,100; and the potential existed for
property to be lost, stolen, or otherwise
unaccounted for.  We made eight
recommendations to address these
conditions.  The response from the Presiding
Judge of the Territorial Court expressed
overall disagreement with the findings and
the eight recommendations.  Based on the
response, we considered one
recommendation resolved and implemented
because the Court enforced established
policies and procedures for revenue
collection and six recommendations
unresolved.  We also requested additional
information for the remaining
recommendation.

Improvements in Financial Management Needed

Our audit of interfund loans and Federal
grant balances of the Government of the
Virgin Islands disclosed that the Government,
as of September 30, 1998, had outstanding
operations-related obligations (excluding
bonded debt) totaling $588 million, which
included $120 million for unauthorized and
unrecorded interfund loans that may include
Federal funds.  Also, although the Virgin
Islands Office of Management and Budget
maintained a tracking system for Federal
grants received by the Government, this
system relied on information provided by
individual operating agencies of the
Government and was not current or reliable,
and the Department of Public Works did not
fully use Federal grants of about
$38.1 million it had received during the
period of 1984 to 1997.  Further,  the
Government, although it had made some
improvements in its operations, continued to
have problems in the areas of overall
financial management, expenditure control,
revenue collection, and program operations.
We  made 20 recommendations, which,
although they will not solve the
Government's immediate financial crisis,
could provide a basis for the Government to
initiate long-term improvements in its daily
operations and in its overall financial
condition.  Based on the response from the
Governor of the Virgin Islands, we
considered 6 recommendations resolved and
implemented and 3 recommendations
unresolved and requested additional
information for the 11 remaining
recommendations.


Minerals Management Service

$45 Million Settlement Paid in Royalty Case

On August 27, 1998, the Department of
Justice announced that a major oil
company had paid $45 million to resolve
claims that it underpaid the Government
royalties for oil produced on Federal and
Indian land in California, the Rocky
Mountains, and the Gulf of Mexico under an
agreement reached with the Department of
Justice and representatives of two Indian
tribes.  The settlement was handled by the
U.S. Attorney's Office in the Eastern
District of Texas and the Department of
Justice's Civil Division, with investigative
assistance provided by OIG and other
assistance provided by MMS.

The settlement resolved allegations that the
oil company had systematically
underreported the value of oil it produced
from Federal and Indian lands.  The
Government alleged that the company
underreported the value of oil it produced on
land in California from January 1, 1980, to
December 31, 1997, and elsewhere from
January 1, 1988, to December 31, 1997,
which  resulted in the company's  paying
less royalties than it owed.  Federal leases in
which royalties are collected  by MMS
require oil companies to report the amount
and value of oil produced and sold on
Federal and Indian leases each month.
Royalties are paid based upon the value of
the oil a company reports, subject to audit.

Quality Control Review Shows Audit Work Generally
in Compliance With Regulations

Based on our external quality control
review of 19 audits conducted by
MMS's Audit Divisions,  we concluded that
audit work performed by the divisions during
October 1995 through May 1997 was
generally in compliance with the
"Government Auditing Standards" and
MMS's Audit Procedures Manual.
Specifically, the audits were conducted in a
professional manner; audit conclusions were
adequately supported by the working papers;
and, with few exceptions, auditors were
current in their continuing education
requirements.  We found minor weaknesses
in the areas of compliance with laws and
regulations, internal quality controls, audit
supervision, timeliness or report production,
and working paper quality.  However, these
findings did not adversely impact the results
of the audits.  Since the report did not contain
any recommendations, a response was not
required.

Additional Royalties Not Identified Accurately

We determined that MMS did not
accurately identify the additional
royalties that were allegedly owed the Federal
Government for undervalued California crude
oil, which has adversely affected MMS's
ability to collect the royalties.  Specifically,
MMS's work that covered the integrated
companies with transactions which occurred
during January 1980 through February 1988
was not adequately planned, supporting
evidence was not always accurately prepared,
due professional care was not always
exercised in performing analyses, and quality
control procedures were not adequate to
ensure the accuracy of MMS's conclusions.
MMS officials informed us that MMS did
not intend to audit the integrated companies
for that period and that therefore
professional standards did not apply.
However, in that regard, MMS did not
establish alternative procedures to use in
accomplishing its work to ensure the
accuracy and quality of the work.  As a
result, 19 bills for collection were misstated
by at least $185.6 million.  Although MMS
took prompt action to correct the errors
when informed by the companies, we
believe that the revised bills were still
overstated because MMS did not make
adjustments for transportation costs and
differences in crude oil quality (sulfur
content).  We made two recommendations to
 improve planning and performance
processes for special projects.  MMS
disagreed with the recommendations.  Based
on MMS's response, we considered both
recommendations unresolved.


Multi-Office

Year 2000 Readiness Reviewed

DOI's Chief Information Officer (CIO)
requested OIG assistance in monitoring
the progress of DOI offices in ensuring year
2000 (Y2K) readiness, implementing Y2K
compliant systems, and validating the
accuracy of the information reported by
DOI's bureaus to the CIO.  Specifically, the
CIO requested that we determine whether
the bureaus (1) inventoried their automated
information systems and identified those
systems that were mission critical and were
not Y2K compliant; (2) developed auditable
cost estimates for renovating systems to be
Y2K compliant; (3) identified, by name,
individuals  responsible for ensuring that the
bureaus were Y2K compliant; (4) ensured
that responsible individuals' personnel
performance evaluation plans included
critical elements related to identifying and
remedying Y2K problems; (5) developed a
credible plan that included milestones and a
critical path to ensure that the bureaus were
Y2K compliant; and (6) developed a
contingency plan that would address the
failure of any part of the systems that were
not Y2K complaint.

During this semiannual reporting period, we
evaluated Y2K readiness at BIA, NPS, and
FWS.  Although BIA had begun to identify
systems and had developed a master plan for
remedying Y2K problems, it had not
completed any of the six objectives.   NPS
had recently taken more aggressive actions to
address Y2K problems, but it had not
completed five of the six objectives.  FWS
had completed all six objectives.  Since we
issued these reports to notify the CIO of the
status and accuracy of the information
provided by the DOI offices, we did not make
any recommendations to BIA and NPS but
we did encourage them to ensure that
sufficient resources are made available to
meet the required milestone dates.

Royalty Management Improvements Continue

In accordance with Section 302(b) of the
Federal Oil and Gas Royalty Management
Act of 1982, OIG issued its biennial report
on the Royalty Management System for
fiscal years 1996 and 1997, which is the
seventh biennial report issued.  The report
was prepared based on the results of eight
audit reports, one evaluation report, and one
investigative initiative completed by OIG
and one audit report issued by the General
Accounting Office.  The 10 reports
summarized in the biennial report had
monetary impacts totaling about
$218 million on various aspects of the
System.  OIG concluded that MMS and
BLM had made improvements in the System
which should increase mineral lease
collections and enhance payor/producer
compliance with existing regulations.
However, the biennial report stated that
further improvements were needed to
enhance oil and gas collections.  The
biennial report did not contain any new
recommendations, stating that DOI has
generally been responsive to the
33 recommendations made in the 10 reports
cited.


Office of the Secretary

Overall Administration Adequate,
Improvements in Funds Management
Needed by Utah Commission

For fiscal years 1996 and 1997, we found
that the Utah Reclamation Mitigation
and Conservation Commission received,
expended, and awarded mitigation and
conservation funds ($58.5 million) in
compliance with Titles II, III, and IV of the
Central Utah Project Completion Act.
However, in administering funds
($5.5 million) awarded to the Central Utah
Water Conservancy District under certain
cooperative agreements, the Commission did
not (1) obtain copies of single audit reports or
sufficient documentation on the Federal
funds expended by the District to substantiate
that the funds were used for their intended
purposes; (2) limit cash advances to
immediate disbursement needs; and (3)
collect interest earned on the funds advanced,
as required by the Single Audit Act and the
Department of the Treasury's Financial
Manual.  In addition, the Commission did not
meet the reporting requirements of the
Central Utah Project Completion Act.  These
conditions occurred primarily because
Commission officials were not fully aware of
all of the Single Audit Act requirements,
received differing interpretations from DOI
personnel as to the applicability of the
Treasury Manual requirements, and had what
they considered to be higher priorities which
precluded the Commission from meeting the
annual reporting requirement.  As a result, the
Commission did not ensure that District
expenditures totaling about $1.7 million were
made in accordance with the terms and
conditions of the cooperative agreements,
that funds advanced to the District were
limited to immediate disbursement needs,
and that interest of about $55,000 earned on
excess advances was recovered.  In addition,
the Congress and other Federal and State of
Utah officials may not be aware of the
mitigation and conservation measures
planned and implemented or of the
effectiveness of these measures because the
annual reporting requirements of the Act
were not met.  Our report contained seven
recommendations to improve the receipt and
expenditure of mitigation and conservation
funds.  In its response, the Commission
agreed with and said that it had developed
plans to implement the seven
recommendations.  Based on the response,
we considered all of the recommendations
resolved but not implemented.


National Park Service

Utility Systems Costs Not Recovered

In an April 1998 followup audit, we found
that NPS had not implemented the
recommendations contained in our January
1991 audit report "Utility Rates Imposed by
the National Park Service" (No. 91-I-133),
which discussed measures needed to ensure
that concessioners and other non-
Governmental users of park utility systems
reimbursed NPS for the operational and
capital costs of these systems.   Specifically,
the April 1998 audit found that NPS had not
revised its procedures to include specific
guidelines for recovering the capital
investment costs of utility systems from
non-Governmental users, provided adequate
oversight to ensure compliance with NPS
utility systems cost recovery guidance,
ensured that training was provided to NPS
employees who were responsible for
establishing utility rates, or ensured that
adequate internal controls were implemented
on the receipt and deposit of utility systems
cost reimbursements.  We recommended
that NPS revise its guidelines to allow the
parks to recover capital investment costs
through the monthly billing process and
clarify the guidelines regarding the retention
and use of utility cost reimbursements.
Based on analyses of  utility costs at 15
parks, we concluded that NPS did not seek
recovery of utility systems capital
investment and operational costs totaling
$6.3 million for the period of January 1991
through August 1997 and may not recover
additional capital investment costs of as
much as $31.3 million unless it corrects
deficiencies in its guidance, training, and
oversight.  Based on NPS's response, we
considered the report's six recommendations
resolved but not implemented.

Safety Improvements at Park Intersection Needed

Based on a February 25, 1998,  request
from a member of the Congress, we
evaluated selected management activities at
Manassas National Battlefield Park in
Manassas, Virginia.  Specifically, we were
requested to "evaluate the park's resource
management and land use practices,
specifically with an eye towards
administrative abuses, inconsistencies, and
public safety deficiencies."   Consistent with
the request, the objective of our evaluation
was to determine whether Park officials (1)
took any actions to improve safety at the
intersection of Routes U.S. 20 and VA 234,
(2) properly planned to include land
surrounding the Park in the National Register
of Historic Places, and (3) executed land use
practices that were in accordance with
applicable requirements.  Based on our
limited review, we determined that Park
officials and Virginia Department of
Transportation (Virginia DOT) officials
independently determined that the
intersection of Routes U.S. 29 and VA 234
was a "high accident location."  However, the
Park and Virginia DOT had made little
progress in working together to improve
safety at the intersection.  More importantly,
we noted that Park officials had not
completed a transportation study regarding
the relocation of Routes U.S. 29 and VA 234,
as required by Public Law 100-647,
Manassas National Battlefield Park
Amendments, enacted on November 10,
1988.  We believe that the inability of NPS
and Virginia DOT to agree on a plan of
action contributed to a lack of significant
safety improvements being made at the
intersection and prevented viable
alternatives from being identified to enable
the two routes that form the intersection to
be closed.  We also determined that an NPS
contractor had not notified all landowners
who could be affected by a study to identify
property surrounding the Park for
nomination to the National Register of
Historic Places.  Our report contained five
recommendations.  NPS agreed with two
recommendations, and we requested
additional information for  these
recommendations.  We also asked NPS to
reconsider its responses to the three
remaining recommendations, with which it
disagreed.

Costs of $911,702 for Renovation of Utilities at
Historical Location Questioned

In 1994, NPS awarded a contract for the
renovation of utilities at a historic
location.  After modifications, the contract
totaled $14.8 million.  Of the $12.1 million
billed by the contractor during fiscal years
1995 and 1996, we questioned overhead
costs of $911,702.  The questioned costs
consisted of $821,135, which resulted from
the difference between the provisional
overhead rates and the audited overhead
rates, and overhead costs of $90,567, which
were applicable to subcontractor-questioned
costs of $391,803 identified in six other
audits.  In its response to the report, NPS
sustained the questioned costs of $911,702
and said that it had collected $57,464.   The
remaining funds of $854,238 were referred to
DOI for tracking of collection.

Costs of $622,492 for Construction
Project Questioned

NPS awarded a $3.7 million firm-fixed-
price contract in September 1994 for
construction of 23 residential homes for NPS
employees at Grand Canyon National Park.
In October 1996, NPS notified the contractor
that it had elected to accept the project as a
nonconforming product and that it would
complete the project using other contractors.
At that time, the contract totaled $4,043,675
after eight modifications.  In October 1997,
the contractor submitted a request for
equitable adjustment in the amount of
$2,689,662, alleging that it had incurred
additional costs resulting from changes made
by the Government.  Of the $2,689,662
claimed by the contractor, we questioned
costs of $622,492 for excess general and
administrative expenses, profit,  sales tax,
and bonding costs.  The contracting officer
settled the claim for $1.4 million using the
results of our review.  Therefore, a response
to the report was not required.

Former Employee Sentenced for
Theft, Embezzlement

A former NPS employee was sentenced in
U.S. District Court for the District of
Columbia on July 27, 1998, following a
guilty plea to theft and embezzlement of
Federal funds.  The former employee pled
guilty to submitting 253 fraudulent claims for
reimbursement to NPS in the names of
coworkers and  to subsequently  receiving
checks and cash totaling $5,380.89.  The
former employee said that she used the
monies to purchase illegal drugs.  The
employee  was sentenced to 4 months of
home detention and 3 years of probation and
was ordered to make restitution of
$5,380.89, to pay an  assessment of $25, and
to continue in a court-ordered drug treatment
program.  After  receipt of a notice of
proposed removal from her Federal position,
the employee  resigned from NPS.


U.S. Fish and Wildlife Service

Costs of $270,517 for Dam Questioned

In 1995, FWS awarded a firm-fixed-price
contract to construct a new concrete intake
structure, fish ladder, fish trap, and drain
piping system at Foghorn Dam of the
Methow River, Winthrop National Fish
Hatchery, Winthrop, Washington.  After
modifications, the contract totaled $685,823.
In February 1996, the contractor submitted a
request for equitable adjustment for
additional costs of $270,517, which the
contractor claimed were incurred because it
had to remove more water than it anticipated
from the construction site (dewatering) and
because of Government-caused delays.  We
questioned the entire $270,517 claimed by
the contractor because the contract did not
provide for an amount of dewatering that, if
exceeded, would entitle the contractor to
additional payments, and the contractor did
not demonstrate that the Government caused
the delays in the project.  FWS's response to
the report was not due during this semiannual
reporting period.

Former Law Enforcement Officer Makes False Statements,
Destroys Evidence

On September 19, 1998, one day after
resigning from Federal service, a former
law enforcement officer with  FWS pled
guilty in U.S. District Court for the Middle
District of Pennsylvania to a four-count
indictment charging him with making false
statements and destroying evidence to
prevent its seizure.  Investigation disclosed
that in January and February 1993, the
former FWS special agent provided
paramilitary training to individuals at his
rural residence, including six individuals
who were subsequently convicted in the
U.S. District Court for the Southern District
of New York for engaging in a seditious
conspiracy to commit acts of urban
terrorism, including the bombing of the
World Trade Center in New York City.  In
his guilty plea, the former law enforcement
officer admitted that on three separate
occasions between February and June 1993,
he made false statements to investigators
that he provided "Boy Scout"-type training
in various wilderness survival skills to the
individuals.  He also admitted to disposing
of semiautomatic assault rifles owned by the
individuals to prevent the weapons' seizure
by Federal law enforcement officials.
Sentencing was pending during our
semiannual review.  This was a joint
investigation with the Federal Bureau of
Investigation (FBI).


U.S. Geological Survey

Employee Resigns Following Child Pornography Investigation

As reported in our last semiannual report,
a USGS employee in Texas used a
Government computer during office hours to
access Internet sites that contained adult and
child pornography.  A joint investigation by
OIG and the FBI disclosed that the employee
used the Government computer while on
duty to obtain and store pornographic
material, including pictures of children
under the age of 12.  Subsequent to being
interviewed by an OIG special agent, the
employee resigned from Federal service.

On February 24, 1998, the former employee
pled guilty to possession of child
pornography involving the sexual
exploitation of minors.  On September 22,
1998, the former employee was sentenced to
27 months of imprisonment to be followed by
24 months of supervised probation.  He was
also ordered to pay a special assessment of
$100.

Center Expenditures Acceptable,
But Improvements in Cooperative
Agreements Needed

During fiscal years 1995, 1996, and 1997,
USGS's Environmental Management
Technical Center expended $8.2 million for
authorized activities (for example, to study
rehabilitation and enhancement of fish and
wildlife habitat)  conducted under the
Environmental Management Program.  We
found that (1) funds provided by the U.S.
Army Corps of Engineers were used for their
intended purposes, within the time frames
specified, and in the amounts authorized; (2)
reported Program expenditures, including
overhead, were accurately supported by the
accounting system; and (3) acquisitions were
awarded and administered in accordance with
applicable regulations.  However, cooperative
agreements with the various states and
universities involved in the Program did not
always specify the tasks, including
deliverables, to be performed, and  property
was not properly accounted for in accordance
with applicable regulations.  As a result, the
specific tasks to be accomplished with
Program funds of $1.1 million of the
$8.2 million were not defined, and the costs
incurred by the cooperators were not
adequately monitored.  USGS agreed with
the report's three recommendations, stating
that it had implemented two
recommendations by requiring future
amendments to cooperative agreements with
universities and colleges to provide  more
detail to support the long-term resources
monitoring program and by  reviewing
single audit reports of cooperators to ensure
that reported deficiencies which have an
impact on the Program have been corrected.
USGS developed plans for implementation
of the third recommendation, which was to
conduct an inventory of equipment.  Based
on USGS's response, we considered two
recommendations resolved and implemented
and one recommendation resolved but not
implemented.


                           APPENDIX 1

                SUMMARY OF AUDIT ACTIVITIES FROM
           APRIL 1, 1998, THROUGH SEPTEMBER 30, 1998

                      AUDITS PERFORMED BY:

OIG STAFF OTHER FEDERAL AUDITORS
(With Review and Processing by OIG Staff)

NON-FEDERAL AUDITORS (With Review and Processing by OIG Staff)


Internal and Contract Audits Contract and
Grant Audits

Single Audits

TOTAL

REPORTS ISSUED TO:


Department/Office of theSecretary
6
0
0
6

Fish and Wildlife and Parks
10
7
4
21

Indian Affairs
8
1
123
132

Insular Areas
6
0
17
23


Land and Minerals Management
9
6
0
15

Water and Science
4
4
3
11

Subtotal
43
18
147
208


INDIRECT COST PROPOSALS NEGOTIATED FOR:

Indian Tribes and Organizations
86
0
0
86

Insular Areas
11
0
0
11

State Agencies
20
0
0
20

Subtotal
117
0
0
117

TOTAL
160
18
147
325

                           APPENDIX 2

      AUDIT REPORTS ISSUED OR PROCESSED AND INDIRECT COST
      PROPOSALS NEGOTIATED DURING THE 6-MONTH PERIOD ENDED
                      SEPTEMBER  30, 1998

This listing includes all internal, contract, and single audit reports
issued and indirect cost agreements negotiated during the 6-month period
ended September 30, 1998.  It provides report number, title, issue date,
and monetary amounts identified in each report (*funds to be put to
better use, **questioned costs, ***unsupported costs [unsupported costs
are included in questioned costs],
and ****lost or potential additional revenues).


INTERNAL AUDITS

BUREAU OF INDIAN AFFAIRS

98-I-407  BUREAU OF
INDIAN AFFAIRS
PRINCIPAL  FINANCIAL
STATEMENTS FOR FISCAL
YEARS 1996 AND  1997
(4/8/98)

98-I-479   YEAR 2000
READINESS OF
AUTOMATED
INFORMATION SYSTEMS
AT  THE BUREAU OF
INDIAN  AFFAIRS  (6/5/98)

98-I-483   FOLLOWUP OF
GENERAL CONTROLS
OVER AUTOMATED
INFORMATION  SYSTEMS,
OPERATIONS  SERVICE
CENTER, BUREAU OF
INDIAN AFFAIRS (6/10/98)

98-I-587   INDIAN PROBATE
PROCESS AT THE YAKAMA
AND  PUGET SOUND
AGENCIES, PORTLAND
AREA OFFICE, BUREAU OF
INDIAN AFFAIRS (7/29/98)

98-I-672   INDIAN PROBATE
PROCESS  AT THE
MINNESOTA AREA OFFICE,
BUREAU OF INDIAN
AFFAIRS (9/23/98)

98-I-703   AGRICULTURAL
LEASING AND GRAZING
ACTIVITIES, FORT PECK
AGENCY, BUREAU OF
INDIAN  AFFAIRS (9/30/98)

98-I-704   INDIAN ACUTE
DISTRESS DONATION
PROGRAM FOR SELECTED
RESERVATIONS UNDER
THE  JURISDICTION OF THE
BILLINGS AREA OFFICE,
BUREAU OF  INDIAN
AFFAIRS (9/30/98)

98-E-490 PROPOSED
SETTLEMENT FOR
UNDERRECOVERY OF
INDIRECT COSTS BY THE
CONFEDERATED TRIBES OF
THE SILETZ INDIANS
(6/2/98) *$330,771


BUREAU OF LAND MANAGEMENT

98-I-399   SALVAGE TIMBER
PROGRAM, BUREAU OF
LAND  MANAGEMENT
(4/2/98)

98-I-419   THE ADOPT-A-
HORSE  PROGRAM,
BUREAU OF LAND
MANAGEMENT (4/30/98)

98-I-551  REIMBURSEMENT
OF FIREFIGHTING COSTS,
BUREAU OF LAND
MANAGEMENT (7/27/98)
*$47,000 &  ****$6,622,000

98-I-646   RESOURCE
ADVISORY COUNCILS,
RANGELAND
MANAGEMENT
PROGRAM, BUREAU OF
LAND MANAGEMENT
(9/21/98)

98-I-689   FOLLOWUP OF
NEVADA LAND
EXCHANGE ACTIVITIES,
BUREAU OF LAND
MANAGEMENT (9/30/98)

98-I-714   WORKING
CAPITAL FUND, BUREAU
OF LAND MANAGEMENT
(9/30/98)


BUREAU OF RECLAMATION

98-I-623   FOLLOWUP OF
MAINFRAME COMPUTER
POLICIES AND
PROCEDURES,
ADMINISTRATIVE SERVICE
CENTER, BUREAU OF
RECLAMATION (8/20/98)

98-I-630   AWARD AND
ADMINISTRATION OF
CONTRACTS FOR THE
PROGRAMMATIC
ENVIRONMENTAL IMPACT
STATEMENT FOR
IMPLEMENTATION OF THE
CENTRAL VALLEY
PROJECT IMPROVEMENT
ACT,  BUREAU OF
RECLAMATION (8/31/98)
**$57,486

INSULAR AREAS

American Samoa

98-I-653   LEGISLATURE
RENOVATION PROJECT,
LEGISLATURE OF
AMERICAN  SAMOA,
AMERICAN SAMOA
GOVERNMENT (8/28/98)
*$1,232,699

Guam

98-I-570  ASSESSMENT AND
COLLECTION OF GROSS
RECEIPTS TAXES,
DEPARTMENT OF
REVENUE AND TAXATION,
GOVERNMENT OF GUAM
(7/17/98) ****$3,024,512

98-I-643 OPERATIONAL
FUNDING STATUS,
DEPARTMENT OF
EDUCATION,
GOVERNMENT OF GUAM
(8/28/98) *$4,009,331

U.S. Virgin Islands

98-I-468  FOLLOWUP OF
RECOMMENDATIONS
RELATING TO THE BUREAU
OF CORRECTIONS,
DEPARTMENT OF JUSTICE,
GOVERNMENT OF THE
VIRGIN ISLANDS (5/29/98)

 98-I-669   ADMINISTRATIVE
FUNCTIONS, TERRITORIAL
COURT OF THE VIRGIN
ISLANDS (9/9/98) *$143,100 &
**$79,342

98-I-670   INTERFUND
LOANS AND FEDERAL
GRANT  BALANCES,
GOVERNMENT OF THE
VIRGIN ISLANDS (9/9/98)
*$38,100,000 &
**$120,000,000


MINERALS MANAGEMENT SERVICE

98-I-398   EXTERNAL
QUALITY CONTROL
REVIEW OF  THE AUDIT
DIVISIONS,  MINERALS
MANAGEMENT  SERVICE
(4/2/98)

98-I-484   MINERALS
MANAGEMENT SERVICE'S
WORK  REGARDING
UNDERPRICING OF
CALIFORNIA CRUDE OIL
(6/10/98)

MULTI-OFFICE

98-I-442   DEPARTMENT OF
THE INTERIOR
CONSOLIDATED
FINANCIAL STATEMENTS
FOR FISCAL YEAR 1997
(4/30/98)

98-T-469   TESTIMONY ON
TEN KEY MANAGEMENT
ISSUES (5/20/98)

98-I-648   SELECTED
TELECOMMUNICATIONS
CHARGES, DEPARTMENT
OF THE INTERIOR (9/10/98)
*$46,300

98-I-708   BIENNIAL
REPORT ON THE FEDERAL
ROYALTY MANAGEMENT
SYSTEM  FOR FISCAL
YEARS 1996 AND  1997
(9/30/98)

NATIONAL PARK SERVICE

98-I-406   FOLLOWUP OF
RECOMMENDATIONS
CONCERNING UTILITY
RATES IMPOSED BY THE
NATIONAL PARK SERVICE
(4/15/98)  ****$37,607,684

98-I-415   NATIONAL PARK
SERVICE FINANCIAL
STATEMENTS FOR FISCAL
YEARS 1996 AND 1997
(4/16/98)

98-I-498   YEAR 2000
READINESS OF
AUTOMATED
INFORMATION SYSTEMS
AT THE NATIONAL PARK
SERVICE (6/19/98)


98-I-686   SELECTED
MANAGEMENT ACTIVITIES
AT MANASSAS NATIONAL
BATTLEFIELD PARK,
NATIONAL PARK SERVICE
(9/21/98)

98-I-690   UTILITY
SERVICES ACQUISITIONS,
NATIONAL PARK SERVICE
(9/30/98)

OFFICE OF THE SECRETARY

98-I-711   MANAGEMENT
ISSUES RELATING TO THE
AUDIT OF THE UTAH
RECLAMATION
MITIGATION AND
CONSERVATION
COMMISSION FOR FISCAL
YEARS 1996 AND  1997
(9/30/98) ****$50,000

98-I-712   RECEIPT AND
EXPENDITURE OF FUNDS
BY  THE UTAH
RECLAMATION
MITIGATION AND
CONSERVATION
COMMISSION  FOR FISCAL
YEARS 1996 AND 1997
(9/30/98) *$55,000

U.S. FISH AND WILDLIFE SERVICE

98-I-404   U.S. FISH AND
WILDLIFE SERVICE
FINANCIAL STATEMENTS
FOR FISCAL YEARS 1996
AND 1997 (4/7/98)

98-I-701   YEAR 2000
READINESS OF
AUTOMATED
INFORMATION SYSTEMS
AT THE U.S. FISH AND
WILDLIFE SERVICE (9/28/98)

U.S. GEOLOGICAL SURVEY

98-I-401   U.S. GEOLOGICAL
SURVEY FINANCIAL
STATEMENTS FOR  FISCAL
YEARS 1996 AND 1997
(4/7/98)

98-I-580   SELECTED
ACTIVITIES OF THE UPPER
MISSISSIPPI  RIVER
SYSTEM ENVIRONMENTAL
MANAGEMENT PROGRAM,
U.S. GEOLOGICAL  SURVEY
(7/27/98)


CONTRACT AND GRANT AUDITS

BUREAU OF INDIAN AFFAIRS

98-E-709 BOMAR, INC.,
REQUEST FOR EQUITABLE
ADJUSTMENT SUBMITTED
UNDER BUREAU OF INDIAN
AFFAIRS CONTRACT
NO. 1450CBH002116 (9/30/98)
*$2,169,615

BUREAU OF LAND MANAGEMENT

98-E-408   INFOTEC
DEVELOPMENT, INC.,
FEDERAL SYSTEMS
DIVISION, COSTS
INCURRED FOR 15 MONTHS
ENDED DECEMBER 31, 1995
(4/8/98)

98-E-555   CODIAK
CONSTRUCTION, REQUEST
FOR  EQUITABLE
ADJUSTMENT SUBMITTED
UNDER BUREAU OF LAND
MANAGEMENT CONTRACT
NO.  1422-N670-C96-0046
(7/1/98) *$149,241

98-E-675   PACER/INFOTEC,
INC., FINAL COSTS
SUBMITTED UNDER
BUREAU OF  LAND
MANAGEMENT CONTRACT
NO. N-652-C-3-0001 (9/14/98)

98-E-676   PACER/INFOTEC,
INC., FINAL COSTS
SUBMITTED UNDER
BUREAU OF  LAND
MANAGEMENT CONTRACT
NO. OR952-CT9-1007
(9/14/98)

98-E-685   DYNAMIC
CONCEPTS, INC., COSTS
BILLED FOR EIGHT FISCAL
YEARS  ENDED
DECEMBER 31,1996,
UNDER BUREAU OF LAND
MANAGEMENT CONTRACT
NO. AA852-CT9-37 (9/24/98)

98-E-702   BROWN & ROOT,
INC., BROWN & ROOT
ENVIRONMENTAL
BUSINESS  UNIT, COSTS
INCURRED FOR  FISCAL
YEAR ENDED
DECEMBER 31, 1994
(9/29/98)
BUREAU OF
RECLAMATION

98-E-554   SCIENCE
APPLICATIONS
INTERNATIONAL
CORPORATION, FINAL
COSTS SUBMITTED UNDER
BUREAU OF
RECLAMATION
COOPERATIVE
AGREEMENT NO. CO289001
(7/1/98)

98-E-618   HAGLER BAILLY
CONSULTING, INC., FINAL
COSTS SUBMITTED UNDER
BUREAU OF
RECLAMATION CONTRACT

NO. 0-CS-40-0908 (8/7/98)

98-E-624   BURNS AND ROE
SERVICES CORPORATION,
COMPLIANCE WITH COST
ACCOUNTING STANDARD
406  (8/7/98)

MINERALS
MANAGEMENT
SERVICE

98-E-679   MAR, INC., COSTS
INCURRED FOR 1994 AND
1995 (9/16/98)

NATIONAL PARK SERVICE

98-E-405   J.C.M. CONTROL
SYSTEMS, INC., COSTS
BILLED FOR TWO FISCAL
YEARS ENDED
DECEMBER 31, 1996,
UNDER NATIONAL PARK
SERVICE CONTRACT
NO. 1443CX300094906
(4/9/98) **$911,702

98-E-633   RODRIGUEZ
GENERAL CONTRACTORS
COMPANY, CLAIMS
SUBMITTED UNDER
NATIONAL PARK SERVICE
CONTRACT
NO. 1443CX800094906
(8/13/98) *$622,492

U.S. FISH AND WILDLIFE SERVICE

98-E-396   GREENHORNE &
O'MARA, INC., REQUEST
FOR  EQUITABLE
ADJUSTMENT FOR  STOP
WORK ORDER UNDER U.S.
FISH AND WILDLIFE
SERVICE  CONTRACT
NO. 14-48-0009-96-001
(4/2/98) *$75,472

98-E-429   GEOCAL, INC.,
COST PROPOSAL
SUBMITTED  TO U.S. FISH
AND WILDLIFE  SERVICE
UNDER REQUEST FOR
PROPOSAL
NO. 60181-8-R206 (4/23/98)

98-E-538   LP&H
MECHANICAL COMPANY,
REQUEST FOR EQUITABLE
ADJUSTMENT CLAIM
SUBMITTED UNDER U.S.
FISH AND WILDLIFE
SERVICE UNDER
CONTRACT
NO. 14-48-0001-95039(LFG)
(6/29/98) *$270,517

98-E-598   U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
INDIANA DEPARTMENT OF
NATURAL RESOURCES
FOR THREE  FISCAL YEARS
ENDED JUNE 30, 1996
(7/27/98) **$880,789

98-E-673   GREENHORNE &
O'MARA, INC., EQUITABLE
ADJUSTMENT PROPOSAL
SUBMITTED UNDER U.S.
FISH AND WILDLIFE
SERVICE  CONTRACT
NO. 14-48-0009-96-002
(9/10/98) *$64,314

98-E-674   U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
WISCONSIN  DEPARTMENT
OF NATURAL  RESOURCES
FOR TWO FISCAL  YEARS
ENDED JUNE 30, 1996
(9/10/98)  **$5,067,771

98-E-681   U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
NEW YORK DEPARTMENT
OF  ENVIRONMENTAL
CONSERVATION FOR TWO
FISCAL YEARS ENDED
MARCH 31, 1996 (9/17/98)
**$2,175,118

98-E-705   U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
RHODE ISLAND
DEPARTMENT OF
ENVIRONMENTAL
MANAGEMENT, DIVISION
OF FISH AND WILDLIFE,
FOR TWO FISCAL YEARS
ENDED JUNE 30, 1996
(9/30/98)  **$1,104,906

U.S. GEOLOGICAL SURVEY

98-E-700   WOODS HOLE
OCEANOGRAPHIC
INSTITUTION, COSTS
INCURRED FOR FISCAL
YEAR ENDED
DECEMBER 31, 1997 (9/29/98)

SINGLE AUDITS

BUREAU OF INDIAN AFFAIRS

98-A-392   COLUSA INDIAN
COMMUNITY COUNCIL,
FISCAL  YEAR ENDED
DECEMBER 31,  1993 (4/2/98)

98-A-393   COLUSA INDIAN
COMMUNITY COUNCIL,
FISCAL YEAR ENDED
DECEMBER 31,  1994 (4/2/98)

98-A-394   COLUSA INDIAN
COMMUNITY COUNCIL,
FISCAL YEAR ENDED
DECEMBER 31,  1995 (4/2/98)

98-A-395   COLUSA INDIAN
COMMUNITY COUNCIL,
FISCAL YEAR ENDED
DECEMBER 31, 1996 (4/2/98)

98-A-409   SOBOBA BAND
OF  MISSION INDIANS,
FISCAL YEAR ENDED
DECEMBER 31, 1996 (4/10/98)

98-A-410   LA POSTA BAND
OF MISSION INDIANS,
FISCAL YEAR ENDED
DECEMBER 31, 1995 (4/10/98)

98-A-411   LA POSTA BAND
OF MISSION INDIANS,
FISCAL YEAR ENDED
DECEMBER 31, 1996
(4/10/98)

98-A-412   COAST INDIAN
COMMUNITY OF THE
RESIGHINI RANCHERIA,
FISCAL YEAR ENDED
DECEMBER 31, 1996
(4/10/98) **$5,658

98-A-422   PONCA TRIBE OF
NEBRASKA, FISCAL YEAR
ENDED SEPTEMBER 30,
1997  (4/23/98) **$13,400

98-A-423   NORTHERN
CHEYENNE TRIBE, FISCAL
YEAR ENDED
SEPTEMBER 30, 1996
(4/23/98)

98-A-424   NISQUALLY
INDIAN TRIBE, FISCAL
YEAR  ENDED
DECEMBER 31, 1994
(4/24/98)

98-A-425   NISQUALLY
INDIAN TRIBE, FISCAL
YEAR  ENDED
DECEMBER 31, 1995
(4/24/98)

98-A-426   JAMESTOWN
S'KLALLAM TRIBE, FISCAL
YEAR ENDED
SEPTEMBER 30, 1996
(4/24/98)

98-A-427   MANZANITA
BAND  OF MISSION
INDIANS,  FISCAL YEAR
ENDED DECEMBER 31, 1996
(4/24/98)


98-A-428   GUIDIVILLE
BAND OF POMO INDIANS,
FISCAL YEAR ENDED
JULY  31, 1996 (4/24/98)
**$2,486

98-A-430   GILA RIVER
INDIAN COMMUNITY,
FISCAL  YEAR ENDED
SEPTEMBER 30,  1994
(4/23/98)

98-A-431   GILA RIVER
INDIAN COMMUNITY,
FISCAL  YEAR ENDED
MARCH 31, 1996 (4/23/98)

98-A-432   GILA RIVER
INDIAN COMMUNITY,
FISCAL  YEAR ENDED
MARCH 31, 1997 (4/23/98)

98-A-444   FLANDREAU
SANTEE SIOUX TRIBE,
FISCAL YEAR ENDED
DECEMBER 31, 1995 (5/8/98)

98-A-445   INTERTRIBAL
AGRICULTURE COUNCIL,
FISCAL YEAR ENDED
DECEMBER 31, 1996 (5/8/98)

98-A-446   OGLALA SIOUX
TRIBAL PUBLIC SAFETY
COMMISSION, FISCAL
YEAR ENDED
SEPTEMBER 30, 1996 (5/8/98)
**$26,116

98-A-447   LAC COURTE
OREILLES BAND OF LAKE
SUPERIOR CHIPPEWA
INDIANS  OF WISCONSIN,
FISCAL YEAR  ENDED
SEPTEMBER 30, 1996 (5/8/98)

98-A-448   NATIVE VILLAGE
OF KOTZEBUE, FISCAL
YEAR  ENDED
DECEMBER 31, 1996 (5/7/98)

98-A-449   NATIVE VILLAGE
OF FORT YUKON, FISCAL
YEAR ENDED
DECEMBER 31,  1996 (5/8/98)

98-A-450   KICKAPOO TRIBE
OF OKLAHOMA, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1996 (5/8/98)

98-A-451   REDDING
RANCHERIA, FISCAL YEAR
ENDED DECEMBER 31, 1995
(5/8/98)

98-A-452   REDDING
RANCHERIA, FISCAL YEAR
ENDED DECEMBER 31, 1996
(5/8/98)

98-A-453   IOWA TRIBE OF
OKLAHOMA, FISCAL YEAR
ENDED DECEMBER 31, 1996
(5/8/98)

98-A-454   EASTERN
SHOSHONE TRIBE OF THE
WIND RIVER
RESERVATION,  FISCAL
YEAR ENDED
DECEMBER 31, 1996 (5/8/98)

98-A-460   NORTHWESTERN
BAND OF THE SHOSHONI
NATION, FISCAL YEAR
ENDED DECEMBER 31, 1995
(5/15/98) **$7,082

98-A-461   NATIVE VILLAGE
OF GAMBELL, FISCAL
YEAR  ENDED
DECEMBER 31, 1996 (5/15/98)

98-A-462   TONKAWA TRIBE
OF OKLAHOMA, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1993
(5/15/98)

98-A-463   TONKAWA
TRIBE OF OKLAHOMA,
FISCAL YEAR  ENDED
SEPTEMBER 30, 1994
(5/15/98) **$5,649

98-A-470   PAWNEE TRIBE
OF OKLAHOMA, FISCAL
YEAR  ENDED
DECEMBER 31, 1995
(5/22/98)

98-A-471   COQUILLE
INDIAN TRIBE, FISCAL
YEAR  ENDED
DECEMBER 31, 1996
(5/22/98)

98-A-472   ESTOM YUMEKA
MAIDU OF ENTERPRISE
RANCHERIA, FISCAL YEAR
ENDED DECEMBER 31, 1996
(5/22/98)

98-A-473   QUILEUTE
TRIBAL COUNCIL, FISCAL
YEAR ENDED
SEPTEMBER 30,  1996
(5/22/98) **$7,542

98-A-474   QUILEUTE
TRIBAL SCHOOL, FISCAL
YEAR ENDED JUNE 30, 1995
(5/22/98) **$14,396

98-A-475   CRAZY HORSE
SCHOOL, FISCAL YEAR
ENDED  JUNE 30, 1997
(5/22/98)

98-A-476   SANTA YSABEL
BAND OF MISSION
INDIANS, TWO FISCAL
YEARS ENDED
DECEMBER 31, 1994
(5/22/98)

98-A-477   SANTA YSABEL
BAND OF MISSION
INDIANS,  TWO FISCAL
YEARS ENDED
DECEMBER 31, 1996
(5/22/98)

98-A-485   SANTEE SIOUX
TRIBE OF NEBRASKA,
FISCAL  YEAR ENDED
SEPTEMBER 30,  1995
(5/28/98) **$4,680

98-A-486   WASHOE TRIBE
OF NEVADA AND
CALIFORNIA,  FISCAL
YEAR ENDED
DECEMBER 31, 1994
(5/28/98)

98-A-487   UTE INDIAN
TRIBE, FISCAL YEAR
ENDED SEPTEMBER 30,
1995  (5/28/98)

98-A-488   BAD RIVER
BAND  OF LAKE SUPERIOR
TRIBE OF  CHIPPEWA
INDIANS, FISCAL YEAR
ENDED SEPTEMBER 30,
1996 (5/28/98) **$78,656

98-A-489   HOPI TRIBE,
FISCAL YEAR ENDED
NOVEMBER 30, 1995
(5/28/98)

98-A-508   TUNICA-BILOXI
INDIANS, FISCAL YEAR
ENDED DECEMBER 31, 1996
(6/12/98) **$84,688

98-A-509   RED CLIFF BAND
OF LAKE SUPERIOR
CHIPPEWA  INDIANS,
FISCAL YEAR  ENDED
SEPTEMBER 30, 1996
(6/12/98)

98-A-521   PRAIRIE BAND
OF POTAWATOMI INDIANS,
FISCAL YEAR ENDED
DECEMBER 31, 1995 (6/19/98)
**$5,011

98-A-522   PRAIRIE BAND
OF POTAWATOMI
INDIANS, FISCAL YEAR
ENDED DECEMBER 31, 1996
(6/19/98)

98-A-523   CONFEDERATED
TRIBES AND BANDS OF
THE  YAKAMA INDIAN
NATION,  FISCAL YEAR
ENDED SEPTEMBER 30,
1996  (6/19/98) **$20,349

98-A-524   TULALIP TRIBES
OF WASHINGTON, FISCAL
YEAR ENDED
DECEMBER 31, 1996
(6/19/98)

98-A-525   BURNS-PAIUTE
INDIAN TRIBE, FISCAL
YEAR  ENDED
DECEMBER 31, 1994
(6/19/98)

98-A-526   BURNS-PAIUTE
INDIAN TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1995
(6/19/98)

98-A-527   BURNS-PAIUTE
INDIAN TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1996
(6/19/98)

98-A-528   PIERRE INDIAN
LEARNING CENTER,
FISCAL YEAR ENDED
JUNE 30, 1996 (6/19/98)

98-A-529   NORTHERN
CHEYENNE TRIBAL
SCHOOLS,  FISCAL YEAR
ENDED JUNE  30, 1996
(6/19/98)

98-A-530   PUYALLUP TRIBE
OF INDIANS, FISCAL YEAR
ENDED SEPTEMBER 30,
1995  (6/19/98)

98-A-531   PUYALLUP TRIBE
OF INDIANS, FISCAL YEAR
ENDED SEPTEMBER 30,
1996  (6/19/98)

98-A-532   PUEBLO DE SAN
FELIPE, FISCAL YEAR
ENDED DECEMBER 31, 1996
(6/19/98)

98-A-545   NEBRASKA
INDIAN COMMUNITY
COLLEGE,  FISCAL YEAR
ENDED JUNE  30, 1994
(6/30/98)  **$1,453

98-A-546   NEBRASKA
INDIAN COMMUNITY
COLLEGE,  FISCAL YEAR
ENDED JUNE  30, 1995
(6/30/98)

98-A-556   WALKER RIVER
PAIUTE TRIBE, FISCAL
YEAR  ENDED
DECEMBER 31, 1996 (7/2/98)

98-A-557   COLORADO
RIVER INDIAN TRIBE,
FISCAL YEAR ENDED
DECEMBER 31, 1996 (7/2/98)

98-A-558   QUECHAN
INDIAN TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1995  (7/2/98)

98-A-559 APACHE TRIBE OF
OKLAHOMA, FISCAL YEAR
ENDED  DECEMBER 31, 1995
(7/2/98)

98-A-560   PUEBLO DE SAN
ILDEFONSO, FISCAL YEAR
ENDED DECEMBER 31, 1993
(7/2/98)

98-A-561   LITTLE WOUND
SCHOOL BOARD, INC.,
FISCAL YEAR ENDED
JUNE  30, 1997 (7/2/98)

98-A-562   SITKA TRIBE OF
ALASKA, FISCAL YEAR
ENDED DECEMBER 31, 1995
(7/2/98)

98-A-563   SITKA TRIBE OF
ALASKA, FISCAL YEAR
ENDED DECEMBER 31, 1996
(7/2/98)

98-A-564   FORT SILL
APACHE TRIBE OF
OKLAHOMA, FISCAL YEAR
ENDED DECEMBER 31, 1996
(7/2/98)

98-A-565   KALISPEL TRIBE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1997 (7/2/98)

98-A-566   CANONCITO
COMMUNITY SCHOOL
BOARD OF  EDUCATION,
INC., FISCAL  YEAR ENDED
JUNE 30, 1996 (7/2/98)

98-A-567   HAVASUPAI
TRIBE, FISCAL YEAR
ENDED SEPTEMBER 30, 1993
(7/2/98) **$1,665,535

98-A-568   TURTLE
MOUNTAIN BAND OF
CHIPPEWA INDIANS,
FISCAL YEAR  ENDED
SEPTEMBER 30, 1996 (7/2/98)


98-A-571   YOMBA
SHOSHONE  TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1996 (7/9/98)

98-A-588   JICARILLA
APACHE TRIBE, FISCAL
YEAR  ENDED JUNE 30,
1996 (7/17/98)

98-A-589   LITTLE BIG
HORN COLLEGE, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1996
(7/16/98)

98-A-590   SEMINOLE
NATION OF OKLAHOMA,
FISCAL YEAR ENDED
SEPTEMBER 30, 1994
(7/17/98)

98-A-591   CHUGACHMIUT,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(7/16/98)

98-A-592   PUEBLO OF
ACOMA, FISCAL YEAR
ENDED  DECEMBER 31,
1996 (7/16/98) **$83,287

98-A-593   BLACKFEET
TRIBE OF THE BLACKFEET
INDIAN RESERVATION,
FISCAL YEAR ENDED
SEPTEMBER 30, 1995
(716/98)

98-A-594   BLACKFEET
TRIBE OF THE BLACKFEET
INDIAN RESERVATION,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(7/16/98)

98-A-599   GILA RIVER
INDIAN COMMUNITY,
FISCAL  YEAR ENDED
SEPTEMBER 30, 1993
(7/31/98)98-A-600   HUALAPAI TRIBE,
FISCAL YEAR ENDED
DECEMBER 31, 1996 (7/31/98)
**$6,775

98-A-611   ALL INDIAN
PUEBLO COUNCIL, INC.,
FISCAL YEAR ENDED
JUNE 30, 1995 (8/7/98)

98-A-612   ALL INDIAN
PUEBLO COUNCIL, INC.,
FISCAL YEAR ENDED
JUNE 30, 1996 (8/7/98)
**$155,628

 98-A-613   PUEBLO OF SAN
JUAN, FISCAL YEAR ENDED
DECEMBER 31, 1995 (8/7/98)

98-A-614   SINTE GLESKA
UNIVERSITY, FISCAL YEAR
ENDED SEPTEMBER 30, 1995
(8/7/98)

98-A-615   SINTE GLESKA
UNIVERSITY, FISCAL YEAR
ENDED SEPTEMBER 30, 1996
(8/7/98)

98-A-616   LOCAL INDIAN
EDUCATION, INC., FISCAL
YEAR ENDED
SEPTEMBER 30, 1996 (8/7/98)
**$2,831

98-A-617   SHOSHONE-
BANNOCK TRIBE, FISCAL
YEAR ENDED
SEPTEMBER 30, 1996  (8/7/98)

98-A-619   SANTO DOMINGO
TRIBE, FISCAL YEAR
ENDED  SEPTEMBER 30,
1996  (8/7/98)

98-A-625   WINNEBAGO
TRIBE OF NEBRASKA,
FISCAL YEAR ENDED
SEPTEMBER 30,  1996 (8/6/98)98-A-634
OJIBWA INDIAN SCHOOL, FISCAL YEAR
ENDED  JUNE 30, 1996
(8/14/98)

98-A-635   COLLEGE OF THE
MENOMINEE NATION,
FISCAL YEAR ENDED
SEPTEMBER 30,  1994
(8/14/98)

98-A-636   COLLEGE OF THE
MENOMINEE NATION,
FISCAL  YEAR ENDED
SEPTEMBER 30,  1995
(8/14/98)

98-I-637  COLLEGE OF THE
MENOMINEE NATION,
FISCAL YEAR ENDED
JUNE 30, 1996 (8/14/98)

98-I-638  THREE
AFFILIATED TRIBES,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(8/14/98) **$2,404

98-A-639   FORT BELKNAP
COLLEGE, INC., FISCAL
YEAR ENDED AUGUST 31,
1996 (8/14/98)

98-A-640   NISQUALLY
INDIAN TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1996
(8/14/98)

98-A-641   TURTLE
MOUNTAIN COMMUNITY
COLLEGE, FISCAL YEAR
ENDED JUNE 30, 1997
(8/14/98)

98-A-642   STILLAGUAMISH
TRIBE OF INDIANS, FISCAL
YEAR ENDED
SEPTEMBER 30,1997
(8/14/98)
98-A-649   HOPI TRIBE,
FISCAL YEAR ENDED
NOVEMBER 30, 1996
(8/20/98)

98-A-657   FALLON
PAIUTE-SHOSHONE TRIBE,
FISCAL YEAR ENDED
DECEMBER 31, 1996
(8/26/98) **$22,796

98-A-658   TOHONO
O'ODHAM  NATION,
FISCAL YEAR ENDED
SEPTEMBER 30, 1993
(8/26/98)

98-A-659   QUAPAW TRIBE
OF OKLAHOMA, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1993
(8/28/98)

98-A-660   KIALEGEE
TRIBAL TOWN, FISCAL
YEAR ENDED
SEPTEMBER 30, 1994
(8/28/98)

98-A-661   KIALEGEE
TRIBAL TOWN, FISCAL
YEAR ENDED
SEPTEMBER 30, 1995
(8/28/98)

98-A-662   KIALEGEE
TRIBAL TOWN, FISCAL
YEAR ENDED
SEPTEMBER 30, 1996
(8/28/98)

98-A-663   TIOSPA ZINA
TRIBAL SCHOOL, FISCAL
YEAR ENDED JUNE 30, 1997
(8/28/98)

98-A-664   PORT GRAHAM
VILLAGE COUNCIL, FISCAL
YEAR ENDED
DECEMBER 31, 1994 (8/28/98)

98-A-665   PUEBLO OF
TESUQUE, FISCAL YEAR
ENDED DECEMBER 31, 1996
(8/28/98)

98-A-682   FLANDREAU
SANTEE SIOUX TRIBE,
FISCAL YEAR ENDED
DECEMBER 31, 1996
(9/17/98) **$2,380

98-A-683   MILLE LACS
BAND OF CHIPPEWA
INDIANS,  FISCAL
YEAR ENDED
SEPTEMBER 30, 1996
(9/17/98) **$1,047

98-A-692   NOME ESKIMO
COMMUNITY, FISCAL YEAR
ENDED  DECEMBER 31, 1996
(9/25/98)

98-A-693   FORT BIDWELL
INDIAN RESERVATION
COMMUNITY, FISCAL YEAR
ENDED  SEPTEMBER 30,
1995  (9/25/98)

98-A-694   HOPI DAY
SCHOOL, FISCAL YEAR
ENDED  JUNE 30, 1996
(9/25/98)

98-A-695   NATIVE VILLAGE
OF TANANA, FISCAL YEAR
ENDED SEPTEMBER 30, 1997
(9/25/98)

98-A-696   NOATAK IRA
COUNCIL, FISCAL YEAR
ENDED SEPTEMBER 30, 1995
(9/25/98)

98-A-697   KNIK TRIBAL
COUNCIL, FISCAL YEAR
ENDED JUNE 30, 1998
(9/25/98) **$5,755

98-A-698   NULATO TRIBAL
COUNCIL, FISCAL YEAR
ENDED SEPTEMBER 30,
1996  (9/25/98)

98-A-706   KIOWA TRIBE OF
OKLAHOMA, FISCAL YEAR
ENDED DECEMBER 31, 1995
(9/28/98)

BUREAU OF RECLAMATION

98-A-626 CENTRAL BASIN
MUNICIPAL WATER
DISTRICT, FISCAL YEAR
ENDED JUNE 30, 1997
(8/6/98)

98-A-651 GREATER
WENATCHEE IRRIGATION
DISTRICT, TWO FISCAL
YEARS ENDED
DECEMBER 31, 1996
(8/20/98)

INSULAR AREAS

Commonwealth of the
Northern Mariana
Islands

98-A-496
COMMONWEALTH PORTS
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1997 (6/8/98)

98-A-503
COMMONWEALTH
DEVELOPMENT
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1997 (6/10/98)

Guam

98-A-420   GUAM
TELEPHONE  AUTHORITY,
FISCAL YEAR  ENDED
SEPTEMBER 30, 1997
(4/22/98)

98-A-443   GUAM
INTERNATIONAL AIRPORT
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30, 1997
(5/5/98)

98-A-504   UNIVERSITY OF
GUAM, FISCAL YEAR
ENDED SEPTEMBER 30, 1997
(6/12/98)

98-A-515   GUAM
COMMUNITY COLLEGE,
FISCAL YEAR  ENDED
SEPTEMBER 30, 1995
(6/15/98)

98-A-519   GUAM
COMMUNITY COLLEGE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(6/16/98)

98-A-535   GUAM
COMMUNITY  COLLEGE
FOUNDATION, FISCAL
YEAR ENDED
SEPTEMBER 30, 1992
(6/24/98)

98-A-536   GUAM
COMMUNITY COLLEGE
FOUNDATION, TWO
FISCAL YEARS ENDED
SEPTEMBER 30, 1994
(6/24/98)

98-A-553   GUAM
COMMUNITY COLLEGE
FOUNDATION, TWO
FISCAL YEARS ENDED
SEPTEMBER 30, 1996
(7/1/98)

98-A-680   SANCTUARY,
INCORPORATED, FISCAL
YEAR ENDED
SEPTEMBER 30, 1997
(9/16/98)

Republic of the Marshall Islands

98-A-645 COLLEGE OF THE
MARSHALL ISLANDS,
FISCAL YEAR ENDED
SEPTEMBER 30, 1995
(8/20/98)

Pohnpei

98-A-666   POHNPEI
FAMILY HEAD START
PROGRAM,  FISCAL YEAR
ENDED MARCH 31, 1997
(9/4/98)

U.S. Virgin Islands

98-A-482   VIRGIN ISLANDS
PORT AUTHORITY, FISCAL
YEAR ENDED
SEPTEMBER 30, 1997
(5/26/98)

American Samoa

98-A-520   AMERICAN
SAMOA GOVERNMENT,
FISCAL YEAR ENDED
SEPTEMBER 30, 1992
(6/17/98) **$9,208

98-A-533   AMERICAN
SAMOA GOVERNMENT,
FISCAL YEAR ENDED
SEPTEMBER 30, 1993
(6/22/98) **$40,495

NATIONAL BIOLOGICAL SERVICE

98-A-650   CADDO LAKE
INSTITUTE, INC., FISCAL
YEAR ENDED JUNE 30, 1995
(8/20/98)

NATIONAL PARK SERVICE

98-A-421   ACCOKEEK
FOUNDATION, INC., FISCAL
YEAR ENDED
SEPTEMBER 30, 1996
(4/23/98)

98-A-510   NATIONAL
TRUST FOR HISTORIC
PRESERVATION IN THE
UNITED STATES, FISCAL
YEAR ENDED
SEPTEMBER 30, 1997
(6/12/98)

98-A-627   SOUTH
CAROLINA DEPARTMENT
OF PARKS, RECREATION
AND TOURISM, FISCAL
YEAR ENDED JUNE 30, 1996
(8/6/98)

98-A-687   NATIONAL
CONFERENCE OF STATE
HISTORIC PRESERVATION
OFFICERS, FISCAL YEAR
ENDED DECEMBER 31, 1997
(9/25/98)

NON-DEPARTMENT OF THE INTERIOR

98-A-413  OFFICE OF YOUTH
AFFAIRS,
COMMONWEALTH OF
PUERTO RICO, FISCAL
YEAR ENDED JUNE 30, 1996
(4/14/98)

INDIRECT COST PROPOSALS

BUREAU OF INDIAN AFFAIRS

98-P-400   SISSETON-
WAHPETON SIOUX TRIBE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998 (4/6/98)

98-P-402   QUECHAN INDIAN
TRIBE, FISCAL YEAR
ENDED
DECEMBER 31, 1997 (4/7/98)
*$37,170

98-P-403   QUECHAN INDIAN
TRIBE, FISCAL YEAR
ENDED
DECEMBER 31, 1998 (4/7/98)

98-P-416   CHICKASAW
NATION, FISCAL YEAR
ENDED SEPTEMBER 30, 1997
(4/20/98) *$1,428,235

98-P-417   SANTA CLARA
INDIAN PUEBLO, FISCAL
YEAR ENDED
DECEMBER 31,  1996
(4/21/98)

98-P-436   PUEBLO OF
ACOMA, FISCAL YEAR
ENDED DECEMBER 31, 1997
(4/27/98) *$19,940

98-P-437   CONFEDERATED
SALISH AND KOOTENAI
TRIBES OF THE FLATHEAD
RESERVATION, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1998
(4/27/98) *$39,709

98-P-438   SHOSHONE-
PAIUTE TRIBES OF  THE
DUCK VALLEY
RESERVATION, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1997
(4/27/98) *$26,622

98-P-439   SHOSHONE-
PAIUTE TRIBES OF  THE
DUCK VALLEY
RESERVATION, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1998
(4/27/98) *$30,661

98-P-440   DUCKWATER
SHOSHONE TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1995
(4/27/98)

98-P-441   KLAMATH
TRIBES, FISCAL YEAR
ENDED DECEMBER 31, 1997
(4/28/98)

98-P-455   SINTE GLESKA
UNIVERSITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1997  (5/11/98)

98-P-456   SINTE GLESKA
UNIVERSITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1998  (5/11/98)

98-P-457   UNITED TRIBES
TECHNICAL COLLEGE,
FISCAL YEAR ENDED
JUNE 30, 1997 (5/13/98) *$253

98-P-459   SAN PASCUAL
BAND OF MISSION
INDIANS,  FISCAL YEAR
ENDED  DECEMBER 31, 1997
(5/14/98) *$2,512

98-P-464   PUEBLO OF
SANDIA, FISCAL YEAR
ENDED DECEMBER 31, 1997
(5/18/98) *$20,659

98-P-465   PUEBLO OF
SANDIA, FISCAL YEAR
ENDED  DECEMBER 31, 1998
(5/18/98)

98-P-466   SHOSHONE-
BANNOCK TRIBES, FISCAL
YEAR ENDED
SEPTEMBER 30, 1997
(5/19/98) *$134,370

98-P-467   MECHOOPDA
TRIBE OF CHICO
RANCHERIA,  FISCAL YEAR
ENDED DECEMBER 31, 1998
(5/19/98)

98-P-481   FORT BELKNAP
COMMUNITY COUNCIL,
FISCAL YEAR ENDED
SEPTEMBER 30,  1997
(5/26/98)

98-P-491   SOUTHERN UTE
COMMUNITY ACTION
PROGRAMS, INC.,  FISCAL
YEAR ENDED
DECEMBER 31, 1998 (5/28/98)

98-P-492   PUEBLO DE
COCHITI, FISCAL YEAR
ENDED DECEMBER 31, 1997
(5/28/98) *$793

98-P-493   ONEIDA TRIBE OF
INDIANS OF WISCONSIN,
FISCAL YEAR ENDED
SEPTEMBER 30, 1997
(5/29/98)

98-P-494   CHEROKEE BOYS
CLUB, INC., FISCAL YEAR
ENDED JUNE 30, 1998
(5/29/98)98-P-495   GREAT LAKES
INTER-TRIBAL COUNCIL,
FISCAL YEAR ENDED
JUNE 30, 1998 (5/29/98)

98-P-501   CLOVERDALE
RANCHERIA OF POMO
INDIANS OF CALIFORNIA,
FISCAL YEAR  ENDED
DECEMBER 31, 1998 (6/8/98)

98-P-505   KIPNUK
TRADITIONAL COUNCIL,
FISCAL YEAR ENDED
DECEMBER 31, 1997
(6/11/98)

98-P-506   PASCUA YAQUI
TRIBE OF ARIZONA,
FISCAL YEAR ENDED
SEPTEMBER 30, 1997
(6/11/98) *$170,699

98-P-507   PASCUA YAQUI
TRIBE OF ARIZONA,
FISCAL YEAR ENDED
SEPTEMBER 30,  1996
(6/11/98) *$216,362

98-P-511   BAY MILLS
COMMUNITY COLLEGE,
FISCAL YEAR ENDED
JUNE 30, 1998 (6/11/98)

98-P-512   LAC COURTE
OREILLES TRIBAL
GOVERNING  BOARD,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(6/11/98)

98-P-513   FOREST COUNTY
POTAWATOMI
COMMUNITY,  FISCAL
YEAR ENDED
SEPTEMBER 30, 1998
(6/11/98)

98-P-514   FORT BELKNAP
COLLEGE, FISCAL YEAR
ENDED SEPTEMBER 30,
1998  (6/13/98)

98-P-518   PONCA TRIBE OF
OKLAHOMA, FISCAL YEAR
ENDED SEPTEMBER 30,
1998 (6/15/98) *$32,812

98-P-539   CHICKEN RANCH
RANCHERIA OF ME-WUK
INDIANS OF CALIFORNIA,
FISCAL YEAR  ENDED
DECEMBER 31, 1997
(6/30/98)

98-P-540   CHICKEN RANCH
RANCHERIA OF ME-WUK
INDIANS OF CALIFORNIA,
FISCAL YEAR  ENDED
DECEMBER 31, 1998
(6/30/98) *$40,757

98-P-541   APACHE TRIBE
OF OKLAHOMA, FISCAL
YEAR ENDED
DECEMBER 31, 1998
(6/30/98)

98-P-542   GILA RIVER
INDIAN COMMUNITY,
FISCAL YEAR ENDED
MARCH 31, 1998 (6/30/98)

 98-P-543   KAW NATION,
FISCAL YEAR ENDED
DECEMBER 31, 1997
(6/30/98) *$90,414

98-P-544   FORT SILL
APACHE TRIBE, 8 MONTHS
 ENDED AUGUST 31, 1998
(6/30/98)

98-P-549   NORTHWESTERN
BAND OF THE SHOSHONE
NATION,  FISCAL YEAR
ENDED DECEMBER 31, 1997
(6/30/98) *$117,796

98-P-550   CONFEDERATED
TRIBES OF COOS, LOWER
UMPQUA, AND SIUSLAW
INDIANS, FISCAL YEAR
ENDED SEPTEMBER 30,
1997 (6/30/98)

98-P-569   DELAWARE
TRIBE  OF WESTERN
OKLAHOMA, FISCAL YEAR
ENDED SEPTEMBER 30,
1998  (7/6/98)

98-P-572   TRINIDAD
RANCHERIA, FISCAL YEAR
ENDED DECEMBER 31, 1998
(7/9/98)

98-P-573   CONFEDERATED
TRIBES OF THE GOSHUTE
RESERVATION, FISCAL
YEAR ENDED
SEPTEMBER 30, 1997
(7/9/98)

98-P-574   GREENVILLE
INDIAN  RANCHERIA,
FISCAL YEAR  ENDED
DECEMBER 31, 1997 (7/9/98)

98-P-575   GREENVILLE
INDIAN  RANCHERIA,
FISCAL YEAR ENDED
DECEMBER 31, 1998 (7/9/98)

98-P-576   SAN JUAN
SOUTHERN PAIUTE TRIBE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(7/9/98)

98-P-577   SAN JUAN
SOUTHERN PAIUTE TRIBE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(7/9/98)

98-P-578   IOWA TRIBE OF
OKLAHOMA, FISCAL YEAR
ENDED DECEMBER 31, 1997
(7/9/98) *$8,003

98-P-579   CHEYENNE RIVER
SIOUX TRIBE, FISCAL YEAR
ENDED SEPTEMBER 30,1997
(7/10/98)

98-P-581   PUEBLO OF ZUNI,
FISCAL YEAR ENDED
DECEMBER 31, 1996 (7/13/98)

98-P-582   PUEBLO OF ZUNI,
FISCAL YEAR ENDED
DECEMBER 31, 1997 (7/13/98)

98-P-583   PUEBLO OF ZUNI,
FISCAL YEAR ENDED
DECEMBER 31, 1998 (7/13/98)

98-P-585   PUEBLO OF
LAGUNA, FISCAL YEAR
ENDED  FEBRUARY 28, 1997
(7/14/98) *$17,834

98-P-586   PUEBLO OF
LAGUNA, FISCAL YEAR
ENDED FEBRUARY 28, 1998
(7/14/98)

98-P-595   BOIS FORTE
RESERVATION TRIBAL
COUNCIL, FISCAL YEAR
ENDED SEPTEMBER 30, 1998
(7/17/98)

98-P-596   MOORETOWN
RANCHERIA OF MAIDU
INDIANS, FISCAL YEAR
ENDED DECEMBER 31, 1998
(7/21/98)

98-P-597   TABLE BLUFF
RESERVATION, FISCAL
YEAR ENDED
DECEMBER 31, 1998
(7/23/98)

98-P-601   BLACKFEET
NATION TRIBE, FISCAL
YEAR ENDED
SEPTEMBER 30, 1997
(7/31/98)

98-P-602   BLACKFEET
NATION  TRIBE, FISCAL
YEAR ENDED
SEPTEMBER 30, 1998
(7/31/98) *$16,216

98-P-603   BISHOP PAIUTE
TRIBE,  FISCAL YEAR
ENDED DECEMBER 31, 1998
(7/30/98)

98-P-604   TE-MOAK TRIBE
OF WESTERN SHOSHONE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(7/30/98) *$35,749

98-P-605   ROUND VALLEY
INDIAN TRIBES, FISCAL
YEAR ENDED
DECEMBER 31, 1998
(7/31/98)

98-P-606   NORTHWEST
INDIAN FISHERIES
COMMISSION, FISCAL
YEAR  ENDED
SEPTEMBER 30, 1998
(7/31/98) *$60,681

98-P-607   MENOMINEE
INDIAN TRIBE OF
WISCONSIN, FISCAL YEAR
ENDED SEPTEMBER 30,
1998  (8/4/98)

98-P-620   POINT NO POINT
TREATY COUNCIL, FISCAL
YEAR ENDED
DECEMBER 31,  1996 (8/6/98)

98-P-621   POINT NO POINT
TREATY COUNCIL, FISCAL
YEAR ENDED
DECEMBER 31, 1998 (8/6/98)

98-P-628   MUCKLESHOOT
INDIAN TRIBE, FISCAL
YEAR ENDED
DECEMBER 31, 1998 (8/7/98)

98-P-629   FOND DU LAC
RESERVATION, FISCAL
YEAR ENDED
SEPTEMBER 30, 1998
(8/10/98)

98-P-631   NEZ PERCE
TRIBE, FISCAL YEAR
ENDED SEPTEMBER 30,
1998 (8/11/98) *$322,783

98-P-632   PONCA TRIBE OF
NEBRASKA, FISCAL YEAR
ENDED SEPTEMBER 30,1998
(8/13/98) *$10,652

98-P-644   SAULT STE.
MARIE TRIBE OF
CHIPPEWA  INDIANS,
FISCAL YEAR  ENDED
DECEMBER 31, 1998
(8/19/98)

98-P-647   HANNAHVILLE
INDIAN COMMUNITY,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(8/20/98)

98-P-652   PINOLEVILLE
BAND OF POMO INDIANS,
FISCAL YEAR ENDED
DECEMBER 31, 1998
(8/21/98) *$5,423

98-P-654   CHITIMACHA
TRIBE OF LOUISIANA,
FISCAL YEAR ENDED
DECEMBER 31, 1998
(8/24/98)

98-P-655   YUROK TRIBE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(8/25/98) *$7,81198-P-656
PUEBLO OF PICURIS, FISCAL YEAR
ENDED DECEMBER 31, 1997
(8/25/98) *$16,344

98-P-671   SKY PEOPLE
EDUCATION COMMITTEE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(9/8/98) *$1,662

98-P-677   MENOMINEE
TRIBAL ENTERPRISES,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(9/15/98)

98-P-678   BAY MILLS
INDIAN COMMUNITY,
FISCAL YEAR ENDED
DECEMBER 31, 1998
(9/15/98)

98-P-684   POARCH BAND
OF CREEK INDIANS,
FISCAL YEAR ENDED
DECEMBER 31, 1998
(9/18/98)

98-P-688   KEWEENAW BAY
INDIAN COMMUNITY,
FISCAL YEAR ENDED
SEPTEMBER 30, 1998
(9/22/98)

98-P-699   COLUMBIA
RIVER INTER-TRIBAL FISH
COMMISSION, FISCAL
YEAR ENDED
DECEMBER 31, 1998
(9/25/98)

98-P-707   BAD RIVER
BAND OF LAKE SUPERIOR
TRIBE OF  CHIPPEWA
INDIANS, FISCAL YEAR
ENDED SEPTEMBER 30,
1998 (9/29/98)


98-P- 716   PUEBLO OF
ZUNI, FISCAL YEAR ENDED
DECEMBER 31, 1994
(7/13/98)

INSULAR AREAS

Commonwealth of the
Northern Mariana
Islands

98-P-433
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS PUBLIC SCHOOL
SYSTEM, INDIRECT COST
PROPOSAL FOR FISCAL
YEAR ENDED
SEPTEMBER 30, 1999
(4/27/98) *$63,618

98-P-497
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS, INDIRECT COST
PROPOSAL FOR FISCAL
YEAR ENDED
SEPTEMBER 30, 1999
(6/8/98)

Guam

98-P-537   UNIVERSITY OF
GUAM, INDIRECT COST
PROPOSAL FOR FISCAL
YEAR ENDED
SEPTEMBER 30, 1999
(6/24/98)

98-P-710   GOVERNMENT OF
GUAM, INDIRECT COST
PROPOSAL FOR FISCAL
YEAR ENDED
SEPTEMBER 30, 1999
(9/30/98)

Republic of Palau

98-P-414   REPUBLIC OF
PALAU, INDIRECT COST
PROPOSAL FOR FISCAL
YEAR ENDED
SEPTEMBER 30, 1998
(4/10/98)

U.S. Virgin Islands

98-P-391   GOVERNMENT OF
THE VIRGIN ISLANDS
DEPARTMENT OF HUMAN
SERVICES FOR THREE
FISCAL YEARS ENDED
SEPTEMBER 30, 1999 (4/1/98)

98-P-418   GOVERNMENT OF
THE VIRGIN ISLANDS
DEPARTMENT OF
ECONOMIC DEVELOPMENT
AND AGRICULTURE FOR
THREE FISCAL YEARS
ENDED SEPTEMBER 30, 1999
(4/16/98)

American Samoa

98-P-434 AMERICAN SAMOA
GOVERNMENT, INDIRECT
COST PROPOSAL FOR
FISCAL YEAR ENDED
SEPTEMBER 30, 1994
(4/27/98) *$498,692

98-P-435 AMERICAN SAMOA
GOVERNMENT, INDIRECT
COST PROPOSAL FOR
FISCAL YEAR ENDED
SEPTEMBER 30, 1995
(4/27/98) *$282,772

98-P-516   AMERICAN
SAMOA GOVERNMENT,
INDIRECT COST PROPOSAL
FOR FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(6/15/98)

98-P-517   AMERICAN
SAMOA GOVERNMENT,
INDIRECT COST PROPOSAL
FOR FISCAL YEAR ENDED
SEPTEMBER 30, 1997
(6/15/98) *$39,189

MULTI-OFFICE

98-P-502   IDAHO
DEPARTMENT OF PARKS
AND RECREATION, FISCAL
YEAR ENDED JUNE 30, 1998
(6/8/98)

NATIONAL PARK SERVICE

98-P-500   KANSAS STATE
HISTORICAL SOCIETY,
FISCAL YEAR ENDED
JUNE 30, 1999 (6/8/98)

98-P-667   MISSISSIPPI
DEPARTMENT OF
ARCHIVES AND HISTORY,
FISCAL YEAR ENDED
JUNE 30, 1999 (8/3/98)

98-P-668   PENNSYLVANIA
HISTORICAL AND
MUSEUM COMMISSION,
FISCAL YEAR ENDED
JUNE 30, 1999 (9/30/98)

98-P-713  OHIO
HISTORICAL SOCIETY,
FISCAL YEAR ENDED
JUNE 30, 1999 (9/30/98)


OFFICE OF SURFACE MINING
RECLAMATION AND ENFORCEMENT

98-P-499   OKLAHOMA
CONSERVATION
COMMISSION,  FISCAL
YEAR ENDED JUNE 30, 2000
(6/8/98)

98-P-534   VIRGINIA
DEPARTMENT OF MINES,
MINERALS AND ENERGY,
FISCAL YEAR ENDED
JUNE 30, 1999 (6/22/98)

98-P-609   VIRGINIA
DEPARTMENT OF
CONSERVATION AND
RECREATION, FISCAL
YEAR  ENDED JUNE 30, 1999
(8/5/98)

98-P-691   WEST VIRGINIA
DIVISION OF
ENVIRONMENTAL
PROTECTION, FISCAL
YEAR  ENDED JUNE 30, 1999
(9/24/98)

U.S. FISH AND
WILDLIFE SERVICE

98-P-397   MASSACHUSETTS
FISHERIES, WILDLIFE AND
ENVIRONMENTAL LAW
ENFORCEMENT, FISCAL
YEAR  ENDED JUNE 30, 1999
(4/3/98)

98-P-458   COLORADO
DEPARTMENT OF
NATURAL RESOURCES,
FISCAL YEAR ENDED
JUNE 30, 1998 (5/13/98)

98-P-478   ILLINOIS
DEPARTMENT OF
NATURAL RESOURCES,
FISCAL YEAR  ENDED
JUNE 30, 1998 (5/21/98)

98-P-547   WEST VIRGINIA
DIVISION OF NATURAL
RESOURCES, FISCAL YEAR
ENDED JUNE 30, 1998
(6/29/98)

98-P-548   WEST VIRGINIA
DIVISION OF NATURAL
RESOURCES, FISCAL YEAR
ENDED JUNE 30, 1999
(6/30/98)

98-P-552   PENNSYLVANIA
FISH AND BOAT
COMMISSION,  FISCAL
YEAR ENDED JUNE 30, 1999
(6/30/98)

98-P-584   OKLAHOMA
DEPARTMENT OF WILDLIFE
CONSERVATION, FISCAL
YEAR ENDED JUNE 30, 1999
(7/13/98)

98-P-608   MARYLAND
DEPARTMENT OF
NATURAL RESOURCES,
FISCAL YEAR ENDED
JUNE 30, 1998 (8/4/98)

98-P-610   MISSISSIPPI
DEPARTMENT OF
WILDLIFE, FISHERIES AND
PARKS, FISCAL YEAR
ENDED JUNE 30, 1999
(8/6/98)

98-P-622   PENNSYLVANIA
GAME COMMISSION,
FISCAL YEAR ENDED
JUNE 30, 1997 (8/6/98)

U.S. GEOLOGICAL
SURVEY

98-P-480 KANSAS STATE
WATER OFFICE, FISCAL
YEAR ENDED JUNE 30, 1999
(5/26/98)




APPENDIX 3

MONETARY IMPACT OF AUDIT ACTIVITIES FROM
APRIL 1, 1998, THROUGH SEPTEMBER 30, 1998


ACTIVITY

QUESTIONED COSTS FUNDS TO
BE PUT TO BETTER USE*

REVENUES**

TOTAL


Bureau of Indian Affairs

$2,225,604
$5,413,308
0
$7,638,912


Bureau of Land Managment
0
196,241
6,622,000
6,818,241


Bureau of Reclamation
57,486
0
0
57,486


Insular Areas: ***






- American Samoa
49,703
2,053,352
0
2,103,055


- Commonwealth of the Northern
   Mariana Islands
0
63,618
0
63,618


-    Guam
0
4,009,331
3,024,512
7,033,843


-    U.S. Virgin Islands
120,079,342
38,243,100
0
158,322,442


Multi-Office
0
46,300
0
46,300


National Park Service
911,702
622,492
37,607,684
39,141,878


Office of the Secretary
0
55,000
50,000
105,000


U.S. Fish and Wildlife Service
9,228,584
410,303
0
9,638,887


Total
$132,552,421
$51,113,045
$47,304,196
$230,969,662


* Includes monetary impact of indirect cost proposals negotiated.
** Represents lost or potential additional revenues.
*** Includes monetary impact of non-Federal funds ( see Appendix 4).



                              APPENDIX 4

                 NON-FEDERAL FUNDING INCLUDED IN
               MONETARY IMPACT OF AUDIT ACTIVITIES
                 DURING THE 6-MONTH PERIOD ENDED
                       SEPTEMBER 30, 1998


No. 98-I-570 - "Assessment and Collection of Gross Receipts Taxes, Department of Revenue
and Taxation, Government of Guam," dated July 1998.  All of the $3,024,512 reported as
monetary impact represents insular area funds.

No. 98-I-643 - "Operational Funding Status, Department of Education, Government of
Guam," dated August 1998.  All of the $4,009,331 reported as monetary impact represents
insular area funds.

No. 98-I-653 - "Legislature Renovation Project, Legislature of American Samoa, American
Samoa," dated August 1998.  All of the $1,232,699 reported as monetary impact represents
insular area funds.

No. 98-I-669 - "Administrative Functions, Territorial Court of the Virgin Islands," dated
September 1998.  All of the $222,442 reported as monetary impact represents insular area
funds.

No. 98-I-670 - "Interfund Loans and Federal Grant Balances, Government of the Virgin
Islands," dated September 1998.  All of the $120 million reported as monetary impact  for
interfund loans represents a commingling of Federal and insular area funds.  Therefore,
individual insular area funds could not be determined.


                           APPENDIX 5
                             Table I

                 INSPECTOR GENERAL AUDIT REPORTS
                      WITH QUESTIONED COSTS


  No. of Reports* Questioned Costs
  Unsupported Costs**

  A. For which no
  management decision had
  been made by the
  commencement of the
  reporting period
    70
    $50,144,460
    $1,160,199

  B. Which were issued
  during the reporting
  period
      34
      132,552,421
      0

    Total (A+B)
    104
    $182,696,881
    $1,160,199

    C. For which a
    management decision was
    made during the reporting
    period
    34
    $4,490,312
    0

       (i) dollar value of disallowed costs
    25
    $3,779,865
    0

       (ii) dollar value of costs not disallowed
    12
    $710,447
    0

  D. For which no management decision had
  been made by the end of the reporting period
    70
    $178,206,569
    $1,160,199

  E. For which no management decision was
  made within 6 months of issuance
    48
    $46,886,225
    $1,160,199

  * Report totals cannot be reconciled because some reports
  have dollar amounts in both the allowed and disallowed categories.
  ** Unsupported costs are included in questioned costs.

                         APPENDIX 5
                          Table II

            INSPECTOR GENERAL AUDIT REPORTS WITH
      RECOMMENDATIONS THAT FUNDS BE PUT TO BETTER USE

                                            No. of Reports*

                                             Dollar Value**

      A. For which no management decision had  been made by
                   the commencement of the reporting period

                                                         28

     $223,600,741

  B. Which were issued during the reporting period
46
      51,113,045***

       Total (A+B)
74
     $274,713,786

  C. For which a management decision was made during the
  reporting period

38

     $5,394,373

       (i) dollar value of  recommendations  that were agreed
            to by management

38

     $5,324,343***


      (ii) dollar value of recommendations that were not
            agreed to by management

3

     $70,030


  D. For which no management decision had  been made by
  the end of the reporting period

36

     $269,319,413


  E.  For which no management decision was made within
  6 months of issuance

25

     $222,756,525


  *   Report totals cannot be reconciled because some reports
      have dollar amounts in both the agreed and disagreed categories.
  **  Amounts include preaward audits.
  *** Amounts include indirect cost proposals negotiated.


                         APPENDIX 5
                         Table III

        INSPECTOR GENERAL AUDIT REPORTS WITH LOST OR
               POTENTIAL ADDITIONAL REVENUES






                                             No. of Reports

                                               Dollar Value


          A. For which no management decision had been made
                by the commencement of the reporting period

14

     $165,294,144


  B. Which were issued during the reporting period
   4
      47,304,196


        Total (A+B)
18
     $212,598,340


  C. For which a management decision was made during
  the reporting period

    5

      $141,878,196


       (i) dollar value of  recommendations that were
        agreed to by management

    5

      $141,878,196


       (ii) dollar value of recommendations that were not
        agreed to by management

0

0


  D. For which no management decision had been made
  by the end of the reporting period

13

     $70,720,144


  E. For which no management decision was made within
  6 months of issuance

12

     $64,098,144




                           APPENDIX 6

           SUMMARY OF AUDIT REPORTS OVER 6 MONTHS OLD
                  PENDING MANAGEMENT DECISIONS

This listing includes a summary of internal, contract
(except preawards), grant, and single audit reports
that were over 6 months  old on September  30, 1998,
and still pending a management decision.  It provides
report number, title, issue date, number of unresolved
recommendations, and unresolved amount of monetary benefits
identified in the audit report.


INTERNAL AUDITS

BUREAU OF LAND MANAGEMENT

94-I-496  SALE OF
MATERIALS FROM PUBLIC
LANDS, BUREAU OF LAND
MANAGEMENT (3/31/94)
1 RECOMMENDATION AND
$3,062,000 UNRESOLVED

97-I-1300  ISSUANCE OF
MINERAL PATENTS,
BUREAU OF LAND
MANAGEMENT AND
OFFICE OF THE SOLICITOR
(9/30/97)
2 RECOMMENDATIONS
UNRESOLVED

BUREAU OF RECLAMATION

98-I-250 FOLLOWUP OF
RECOVERY OF IRRIGATION
INVESTMENT COSTS,
BUREAU OF
RECLAMATION (2/13/98)
3 RECOMMENDATIONS
UNRESOLVED



INSULAR AREAS


American Samoa

93-I-1600  REVIEW OF
GRANT ADMINISTRATION,
DEPARTMENT OF
EDUCATION, AMERICAN
SAMOA GOVERNMENT
(9/30/93)
2 RECOMMENDATIONS
AND $306,637
UNRESOLVED


Commonwealth of the Northern Mariana Islands

94-I-936  FOLLOWUP
OF RECOMMENDATIONS
CONCERNING THE
ECONOMIC DEVELOPMENT
LOAN FUND,
COMMONWEALTH
DEVELOPMENT
AUTHORITY (7/18/94)
2 RECOMMENDATIONS
UNRESOLVED

96-I-596  MANAGEMENT OF
PUBLIC LAND,
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS (3/20/96)
6 RECOMMENDATIONS
AND $145,877,257
UNRESOLVED


Guam

92-I-597  SELECTION,
PROCUREMENT, AND
ADMINISTRATION OF
WATER DISTRIBUTION
PROJECTS, PUBLIC
UTILITY AGENCY OF
GUAM, GOVERNMENT OF
GUAM (3/20/92)
2 RECOMMENDATIONS
UNRESOLVED

93-I-706  SELECTED
SPECIAL REVENUE FUNDS,
GOVERNMENT OF GUAM
(3/15/93)
7 RECOMMENDATIONS
AND $39,330,411
UNRESOLVED

93-I-1195  IMPACT OF THE
COMPACT OF FREE
ASSOCIATION ON THE
GOVERNMENT OF GUAM
(6/28/93)
1 RECOMMENDATION AND
$15,911,978 UNRESOLVED

94-I-106  REVIEW OF
GUAM'S
GOVERNMENTWIDE
TRAVEL PRACTICES
(11/26/93)
16 RECOMMENDATIONS
AND $1,689,650
UNRESOLVED

97-I-591  GUAM
LEGISLATURE,
GOVERNMENT OF GUAM
(3/24/97)
5 RECOMMENDATIONS
AND $1,004,084
UNRESOLVED

97-I-1051  FOLLOWUP OF
RECOMMENDATIONS
CONCERNING PERSONNEL
AND PAYROLL PRACTICES,
LEGISLATIVE BRANCH,
GOVERNMENT OF GUAM
(7/31/97)
1 RECOMMENDATION
UNRESOLVED

97-I-1294  SCHOOL BUS
OPERATIONS,
DEPARTMENT OF PUBLIC
WORKS, GOVERNMENT OF
GUAM (9/30/97)
6 RECOMMENDATIONS
AND $3,584,034
UNRESOLVED

98-I-179 PROTECTION AND
ADVOCACY OF THE
MARIANAS, TERRITORY OF
GUAM (12/23/97)
10 RECOMMENDATIONS
AND $741,687
UNRESOLVED

98-I-264 LEGISLATURE
CAPITAL IMPROVEMENT
FUND, GUAM
LEGISLATURE,
GOVERNMENT OF GUAM
(2/20/98)
4 RECOMMENDATIONS
AND $4,159,110
UNRESOLVED


Republic of the Marshall Islands

94-I-21  CAPITOL
RELOCATION PROJECT,
REPUBLIC OF THE
MARSHALL ISLANDS
(10/18/93)
2 RECOMMENDATIONS
UNRESOLVED


U.S. Virgin Islands

91-I-467  FOLLOWUP OF
RECOMMENDATIONS
CONTAINED IN REPORT ON
THE ROAD FUND,
GOVERNMENT OF THE
VIRGIN ISLANDS (2/19/91)
1 RECOMMENDATION
UNRESOLVED

92-I-1086  PERSONNEL
MANAGEMENT,
GOVERNMENT OF THE
VIRGIN ISLANDS (8/3/92)
6 RECOMMENDATIONS
AND $51,542 UNRESOLVED

93-I-363  INMATE CARE,
REHABILITATION, AND
SAFETY, BUREAU OF
CORRECTIONS,
GOVERNMENT OF THE
VIRGIN ISLANDS (12/31/92)
10 RECOMMENDATIONS
UNRESOLVED

93-I-572  SUPPLY AND
EQUIPMENT
MANAGEMENT,
DEPARTMENT OF
EDUCATION,
GOVERNMENT OF THE
VIRGIN ISLANDS (2/19/93)
9 RECOMMENDATIONS
AND $310,000
UNRESOLVED

93-I-670  PERSONNEL,
PROPERTY MANAGEMENT,
AND PROCUREMENT
PRACTICES, BUREAU OF
CORRECTIONS,
GOVERNMENT OF THE
VIRGIN ISLANDS (3/11/93)
14 RECOMMENDATIONS
AND $265,823
UNRESOLVED

95-I-1258  SCHOOL LUNCH
PROGRAM, DEPARTMENT
OF EDUCATION,
GOVERNMENT OF THE
VIRGIN ISLANDS (9/12/95)
1 RECOMMENDATION
UNRESOLVED

96-E-828  ACCOUNTING
CONTROLS FOR DISASTER
ASSISTANCE FUNDS,
POLICE DEPARTMENT,
GOVERNMENT OF THE
VIRGIN ISLANDS (5/31/96)
2 RECOMMENDATIONS
UNRESOLVED

97-I-40  DIVISION OF
AGRICULTURE,
DEPARTMENT OF
ECONOMIC
DEVELOPMENT AND
AGRICULTURE,
GOVERNMENT OF THE
VIRGIN ISLANDS (10/21/96)
8 RECOMMENDATIONS
AND $90,000 UNRESOLVED

97-E-189  SUBGRANT
ADMINISTRATION FOR
DISASTER ASSISTANCE
FUNDS, OFFICE OF
MANAGEMENT AND
BUDGET, GOVERNMENT
OF THE VIRGIN ISLANDS
(11/26/96)
2 RECOMMENDATIONS
UNRESOLVED

97-E-239  PROCUREMENT
PRACTICES FOR
HURRICANE-RELATED
DEBRIS REMOVAL,
DEPARTMENT OF PUBLIC
WORKS, GOVERNMENT OF
THE VIRGIN ISLANDS
(12/17/96)
1 RECOMMENDATION
UNRESOLVED

97-I-243  WORKMEN'S
COMPENSATION
PROGRAM, GOVERNMENT
OF THE VIRGIN ISLANDS
(12/30/96)
15 RECOMMENDATIONS
AND $2,530,000
UNRESOLVED

97-E-279  ACCOUNTING
CONTROLS FOR DISASTER
ASSISTANCE FUNDS,
VIRGIN ISLANDS WATER
AND POWER AUTHORITY
(1/7/97)
3 RECOMMENDATIONS
UNRESOLVED

98-E-98 EXPENDITURES
CLAIMED AGAINST THE
FEDERAL EMERGENCY
MANAGEMENT AGENCY'S
COMMUNITY DISASTER
LOAN, GOVERNMENT OF
THE VIRGIN ISLANDS
(11/12/97)
4 RECOMMENDATIONS
AND $21,700 UNRESOLVED

98-I-188 INTERNAL
REVENUE TAXES, BUREAU
OF INTERNAL REVENUE,
GOVERNMENT OF THE
VIRGIN ISLANDS (12/30/97)
1 RECOMMENDATION
UNRESOLVED

98-I-191 BUILDING PERMIT
FEES, DEPARTMENT OF
PLANNING AND NATURAL
RESOURCES,
GOVERNMENT OF THE
VIRGIN ISLANDS (12/30/97)
7 RECOMMENDATIONS
AND $143,446
UNRESOLVED

98-I-263 SEWAGE SYSTEM
USER FEES, GOVERNMENT
OF THE VIRGIN ISLANDS
(2/20/98)
5 RECOMMENDATIONS
AND $897,212
UNRESOLVED

98-I-384 HURRICANE-
RELATED CONTRACTING,
DEPARTMENT OF
EDUCATION,
GOVERNMENT OF THE
VIRGIN ISLANDS (3/31/98)
4 RECOMMENDATIONS
AND $5,418 UNRESOLVED

MINERALS MANAGEMENT SERVICE

96-I-1255  SELECTED
ACTIVITIES OF THE
ROYALTY MANAGEMENT
SYSTEM, MINERALS
MANAGEMENT SERVICE
(9/30/96)
3 RECOMMENDATIONS
AND $3,860,000
UNRESOLVED

  98-I-336 GENERAL
CONTROLS OVER
AUTOMATED
INFORMATION SYSTEMS,
ROYALTY MANAGEMENT
PROGRAM, MINERALS
MANAGEMENT SERVICE
(3/23/98)
3 RECOMMENDATIONS
UNRESOLVED

NATIONAL PARK SERVICE

96-I-806  EMERGENCY
MEDICAL AND SEARCH
AND RESCUE SERVICES,
NATIONAL PARK SERVICE
(6/10/96)
2 RECOMMENDATIONS
AND $4,501,000
UNRESOLVED

97-I-908  AUTOMATED LAW
ENFORCEMENT SYSTEM,
NATIONAL PARK SERVICE
(6/23/97)
2 RECOMMENDATIONS
UNRESOLVED

97-I-936  NATIONAL PARK
SERVICE FINANCIAL
STATEMENTS FOR FISCAL
YEARS 1995 AND 1996
(6/13/97)
1 RECOMMENDATION
UNRESOLVED

97-I-1304  SERVICEWIDE
MEDIA PROGRAM,
NATIONAL PARK SERVICE
(9/30/97)
5 RECOMMENDATIONS
AND $204,000
UNRESOLVED


98-I-344 FOLLOWUP OF
MAINTENANCE
ACTIVITIES, NATIONAL
PARK SERVICE (3/27/98)
3 RECOMMENDATIONS
AND $411,000
UNRESOLVED

98-I-389 CONCESSIONER
IMPROVEMENT
ACCOUNTS, NATIONAL
PARK SERVICE (3/31/98)
2 RECOMMENDATIONS
AND $224,800
UNRESOLVED

CONTRACT AND GRANT AUDITS

BUREAU OF INDIAN AFFAIRS

94-E-784  COSTS CLAIMED
BY DIVERSIFIED BUSINESS
TECHNOLOGIES
CORPORATION UNDER
CONTRACT NO. CBM000047
(6/10/94) $825,170
UNRESOLVED
(Circumstances beyond the
Bureau's control have delayed
resolution of the costs.)

94-E-919  COSTS CLAIMED
BY DIVERSIFIED BUSINESS
TECHNOLOGIES
CORPORATION UNDER
CONTRACT NO. CBM000147
(6/30/94) $247,414
UNRESOLVED
(Circumstances beyond the
Bureau's control have delayed
resolution of the costs.)

INSULAR AREAS

Republic of the Marshall Islands

95-E-951  GRANT AND
TRUST FUNDS PROVIDED
FOR THE RONGELAP
RESETTLEMENT PROJECT,
REPUBLIC OF THE
MARSHALL ISLANDS
(5/22/95) $215,960
UNRESOLVED

NATIONAL PARK SERVICE

98-E-217 RAMPART
WATERBLAST, INC., CLAIM
SUBMITTED UNDER
NATIONAL PARK SERVICE
CONTRACT
NO. 1443CX-3000-93-904
(1/8/98) $1,464,523
UNRESOLVED

U.S. FISH AND WILDLIFE SERVICE

97-E-100  U.S. FISH AND
WILDLIFE SERVICE
WILDLIFE AND SPORT FISH
RESTORATION GRANTS TO
CONNECTICUT, TWO
FISCAL YEARS ENDED
JUNE 30, 1995 (10/30/96)
6 RECOMMENDATIONS
AND $1,750,514
UNRESOLVED

97-E-1254  U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
THE STATE OF FLORIDA'S
DEPARTMENT OF
ENVIRONMENTAL
PROTECTION FOR TWO
FISCAL YEARS ENDED
JUNE 30, 1996 (9/18/97)
2 RECOMMENDATIONS
UNRESOLVED

98-E-198 U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
COLORADO FOR TWO
FISCAL YEARS ENDED
JUNE 30, 1995 (1/16/98)
1 RECOMMENDATION AND
$1,453,632 UNRESOLVED

98-E-226 U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
WASHINGTON'S
DEPARTMENT OF FISH
AND WILDLIFE FOR TWO
FISCAL YEARS ENDED
JUNE 30, 1996 (1/14/98)
11 RECOMMENDATIONS
AND $217,500
UNRESOLVED

98-E-390 U.S. FISH AND
WILDLIFE SERVICE
FEDERAL AID GRANTS TO
TENNESSEE FOR TWO
FISCAL YEARS ENDED
JUNE 30, 1996 (3/31/98)
12 RECOMMENDATIONS
AND $959,477
UNRESOLVED


U.S. GEOLOGICAL SURVEY

93-E-339 TGS
TECHNOLOGY, INC.,
CLOSING STATEMENT
(12/22/92) $520,235
UNRESOLVED



SINGLE AUDITS


BUREAU OF INDIAN AFFAIRS

96-A-1122  NORTHWESTERN
BAND OF THE SHOSHONI
NATION, FISCAL YEAR
ENDED DECEMBER 30, 1994
(08/15/96)
1 RECOMMENDATION
UNRESOLVED
(Circumstances beyond the
Bureau's control have delayed
resolution of the
recommendation.)

98-A-4 NATIVE VILLAGE OF
DEERING, FISCAL YEAR
ENDED AUGUST 31, 1996
(10/2/97)
2 RECOMMENDATIONS
AND $3,989 UNRESOLVED

BUREAU OF LAND
MANAGEMENT

97-A-847  UTAH, FISCAL
YEAR ENDED JUNE 30, 1994
(5/21/97)
1 RECOMMENDATION
UNRESOLVED



INSULAR AREAS


Commonwealth of the Northern Mariana Islands

91-A-731 COMMONWEALTH
UTILITIES CORPORATION,
FISCAL YEAR ENDED
SEPTEMBER 30, 1988
(4/26/91)
15 RECOMMENDATIONS
AND $6,087,882
UNRESOLVED

91-A-803  MARIANA
ISLANDS HOUSING
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1986 (5/7/91)
1 RECOMMENDATION AND
$1,537,321 UNRESOLVED

91-A-823  MARIANA
ISLANDS HOUSING
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1987 (5/10/91)
1 RECOMMENDATION AND
$455,857 UNRESOLVED

91-A-824  MARIANA
ISLANDS HOUSING
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1988 (5/10/91)
1 RECOMMENDATION AND
$196,593 UNRESOLVED

92-A-1179  MARIANA
ISLANDS HOUSING
AUTHORITY,
FISCAL YEAR ENDED
SEPTEMBER 30, 1989
(8/13/92)
1 RECOMMENDATION AND
$168,711 UNRESOLVED

93-A-110  MARIANA
ISLANDS HOUSING
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1990 (10/26/92)
1 RECOMMENDATION AND
$124,450 UNRESOLVED

93-A-225  MARIANA
ISLANDS HOUSING
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1991 (11/19/92)
1 RECOMMENDATION AND
$1,119,377 UNRESOLVED

93-A-1563
COMMONWEALTH
DEVELOPMENT
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1988 (9/13/93)
52 RECOMMENDATIONS
AND $4,998,398
UNRESOLVED

94-A-525
COMMONWEALTH
DEVELOPMENT
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1989 (4/15/94)
45 RECOMMENDATIONS
AND $6,078,308
UNRESOLVED

94-A-574
COMMONWEALTH
UTILITIES CORPORATION,
FISCAL YEAR ENDED
SEPTEMBER 30, 1990
(5/6/94)
61 RECOMMENDATIONS
AND $166,509
UNRESOLVED

94-A-818
COMMONWEALTH
UTILITIES CORPORATION,
FISCAL YEAR ENDED
SEPTEMBER 30, 1991
(6/16/94)
42 RECOMMENDATIONS
UNRESOLVED

94-A-836
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS, FISCAL YEAR
ENDED SEPTEMBER 30,
1993 (6/20/94)
59 RECOMMENDATIONS
UNRESOLVED

94-A-1075  NORTHERN
MARIANAS COLLEGE,
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS, FISCAL YEAR
ENDED SEPTEMBER 30,
1991 (7/29/94)
30 RECOMMENDATIONS
AND $4,600 UNRESOLVED

94-A-1083  MARIANA
ISLANDS HOUSING
AUTHORITY, FISCAL YEAR
ENDED SEPTEMBER 30,
1993 (8/3/94)
5 RECOMMENDATIONS
UNRESOLVED

95-A-784 COMMONWEALTH
PORTS AUTHORITY,
FISCAL YEAR ENDED
SEPTEMBER 30, 1994
(4/12/95)
10 RECOMMENDATIONS
UNRESOLVED

97-A-851  NORTHERN
MARIANAS COLLEGE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1993
(5/16/97)
36 RECOMMENDATIONS
UNRESOLVED

  98-A-339 COMMONWEALTH
OF THE NORTHERN
MARIANA ISLANDS,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(3/11/98)
47 RECOMMENDATIONS
AND $11,176,309
UNRESOLVED


Federated States of Micronesia

95-A-1043  FEDERATED
STATES OF MICRONESIA
NATIONAL GOVERNMENT,
FISCAL YEAR ENDED
SEPTEMBER 10, 1993
(6/27/95)
10 RECOMMENDATIONS
UNRESOLVED

96-A-482  FEDERATED
STATES OF MICRONESIA,
STATUS OF NATIONAL
GOVERNMENT, FISCAL
YEAR ENDED
SEPTEMBER 30, 1994
(2/29/96)
19 RECOMMENDATIONS
AND $57,900 UNRESOLVED

97-A-244  FEDERATED
STATES OF MICRONESIA
NATIONAL GOVERNMENT,
FISCAL YEAR ENDED
SEPTEMBER 30, 1995
(12/23/96)
22 RECOMMENDATIONS
AND $166,523
UNRESOLVED

98-A-386 FEDERATED
STATES OF MICRONESIA
NATIONAL GOVERNMENT,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(3/31/98)
23 RECOMMENDATIONS
AND $383,920
UNRESOLVED

Chuuk

91-A-505  CHUUK STATE
GOVERNMENT, FISCAL
YEAR ENDED
SEPTEMBER 30, 1989
(2/20/91)
1 RECOMMENDATION AND
$665,817 UNRESOLVED

92-A-519  CHUUK STATE
GOVERNMENT, FISCAL
YEAR ENDED
SEPTEMBER 30, 1990
(2/25/92)
1 RECOMMENDATION AND
$1,940,938 UNRESOLVED

94-A-374  STATE OF
CHUUK, FEDERATED
STATES OF MICRONESIA,
FISCAL YEAR ENDED
SEPTEMBER 30, 1992
(2/28/94)
15 RECOMMENDATIONS
UNRESOLVED

Kosrae

94-A-367  STATE OF
KOSRAE, FEDERATED
STATES OF MICRONESIA,
FISCAL YEAR ENDED
SEPTEMBER 30, 1992
(2/24/94)
9 RECOMMENDATIONS
UNRESOLVED

Pohnpei

91-A-398  POHNPEI STATE
GOVERNMENT, FISCAL
YEAR ENDED
SEPTEMBER 30, 1989
(2/4/91)
1 RECOMMENDATION AND
$98,216 UNRESOLVED

94-A-527  STATE OF
POHNPEI, FEDERATED
STATES OF MICRONESIA,
FISCAL YEAR ENDED
SEPTEMBER 30, 1992
(4/19/94)
21 RECOMMENDATIONS
AND $2,764 UNRESOLVED

Yap

94-A-371  STATE OF YAP,
FEDERATED STATES OF
MICRONESIA, FISCAL
YEAR ENDED
SEPTEMBER 30, 1992
(2/25/94)
22 RECOMMENDATIONS
UNRESOLVED

Guam

97-A-514  GOVERNMENT OF
GUAM, FISCAL YEAR
ENDED SEPTEMBER 30,
1995 (2/21/97)
106 RECOMMENDATIONS
UNRESOLVED

98-A-254  GOVERNMENT OF
GUAM, FISCAL YEAR
ENDED SEPTEMBER 30,
1996 (2/4/98)
46 RECOMMENDATIONS
UNRESOLVED


Republic of the Marshall Islands

96-A-104  REPUBLIC OF THE
MARSHALL ISLANDS,
FISCAL YEAR ENDED
SEPTEMBER 30, 1994
(11/1/95)
75 RECOMMENDATIONS
AND $1,068,317
UNRESOLVED

97-A-1272  REPUBLIC OF
THE MARSHALL ISLANDS,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(9/23/97)
29 RECOMMENDATIONS
UNRESOLVED

Republic of Palau

92-A-368  PALAU
COMMUNITY ACTION
AGENCY, FISCAL YEAR
ENDED SEPTEMBER 30,
1990 (1/24/92)
1 RECOMMENDATION AND
$2,593 UNRESOLVED

92-A-885  REPUBLIC OF
PALAU, FISCAL YEAR
ENDED SEPTEMBER 30,
1989 (6/5/92)
1 RECOMMENDATION AND
$40,262 UNRESOLVED

93-A-1053  PALAU
COMMUNITY ACTION
AGENCY, FISCAL YEAR
ENDED SEPTEMBER 30,
1991 (5/11/93)
12 RECOMMENDATIONS
UNRESOLVED

93-A-1629  REPUBLIC OF
PALAU, FISCAL YEAR
ENDED SEPTEMBER 30,
1990 (9/30/93)
1 RECOMMENDATION AND
$401,843 UNRESOLVED

94-A-499  REPUBLIC OF
PALAU, FISCAL YEAR
ENDED SEPTEMBER 30,
1991 (4/6/94)
11 RECOMMENDATIONS
AND $517,693
UNRESOLVED

94-A-882  REPUBLIC OF
PALAU, FISCAL YEAR
ENDED SEPTEMBER 30,
1992 (6/27/94)
37 RECOMMENDATIONS
AND $4,085 UNRESOLVED

95-A-1395  MICRONESIA
OCCUPATIONAL COLLEGE,
PALAU, TWO FISCAL
YEARS ENDED
SEPTEMBER 30, 1992
(9/28/95)
6 RECOMMENDATIONS
UNRESOLVED

98-A-130  REPUBLIC OF
PALAU, FISCAL YEAR
ENDED SEPTEMBER 30,
1996 (11/19/97)
19 RECOMMENDATIONS
UNRESOLVED

98-A-176  PALAU
COMMUNITY ACTION
AGENCY, FISCAL YEAR
ENDED SEPTEMBER 30,
1994 (12/12/97)
16 RECOMMENDATIONS
AND $4,769 UNRESOLVED

98-A-177  PALAU
COMMUNITY ACTION
AGENCY, FISCAL YEAR
ENDED SEPTEMBER 30,
1995 (12/12/97)
12 RECOMMENDATIONS
AND $43,843 UNRESOLVED

98-A-340  PALAU
COMMUNITY COLLEGE,
FISCAL YEAR ENDED
SEPTEMBER 30, 1996
(3/11/98)
6 RECOMMENDATIONS
UNRESOLVED


Trust Territory of the Pacific Islands

91-A-1112  TRUST
TERRITORY OF THE
PACIFIC ISLANDS,
FISCAL YEAR ENDED
SEPTEMBER 30, 1990
(7/31/91)
1 RECOMMENDATION
AND $437,482
UNRESOLVED

U.S. Virgin Islands

92-A-107  VIRGIN
ISLANDS WATER AND
POWER AUTHORITY
(10/16/91)
3 RECOMMENDATIONS
UNRESOLVED

93-A-177  UNIVERSITY
OF THE  VIRGIN
ISLANDS, TWO FISCAL
YEARS ENDED
SEPTEMBER 30, 1991
(11/5/92)
4 RECOMMENDATIONS
UNRESOLVED

96-A-1144
GOVERNMENT OF THE
VIRGIN ISLANDS, TWO
FISCAL YEARS ENDED
SEPTEMBER 30, 1990
(8/20/96)
16 RECOMMENDATIONS
UNRESOLVED

98-A-154  GOVERNMENT
OF THE VIRGIN
ISLANDS, FISCAL YEAR
ENDED SEPTEMBER 30,
1994 (12/2/97)
5 RECOMMENDATIONS
AND $632,247
UNRESOLVED

NATIONAL PARK SERVICE

97-A-1019  ILLINOIS
HISTORIC
PRESERVATION
AGENCY, TWO FISCAL
YEARS ENDED JUNE 30,
1996 (7/10/97)
1 RECOMMENDATION
UNRESOLVED

98-A-194  GEORGIA
TRUST FOR HISTORIC
PRESERVATION, INC.,
FISCAL YEAR ENDED
MARCH 31, 1997 (12/24/97)
2 RECOMMENDATIONS
UNRESOLVED

98-A-229  NATIONAL
INSTITUTE FOR THE
CONSERVATION OF
CULTURAL PROPERTY,
INC., FISCAL YEAR
ENDED DECEMBER 31,
1996 (1/15/98)
1 RECOMMENDATION
UNRESOLVED


U.S. FISH AND WILDLIFE SERVICE

97-A-843  NATIONAL
TROPICAL BOTANICAL
GARDEN, FISCAL YEAR
ENDED DECEMBER 31,
1995 (5/15/97)
5 RECOMMENDATIONS
UNRESOLVED

97-A-954  NEW MEXICO
DEPARTMENT OF GAME
AND FISH, FISCAL YEAR
ENDED JUNE 30, 1996
(6/19/97)
18 RECOMMENDATIONS
AND $30,740
UNRESOLVED

97-A-993  VIRGINIA,
FISCAL YEAR ENDED
JUNE 30, 1995 (8/8/97)
2 RECOMMENDATIONS
UNRESOLVED
(Unresolved findings pertain
to NPS.)

97-A-1180  WISCONSIN,
FISCAL YEAR ENDED
JUNE 30, 1995 (9/5/97)
3 RECOMMENDATIONS
AND $26,410
UNRESOLVED
(Unresolved findings pertain
to NPS.)

97-A-1206  SOUTH
DAKOTA, FISCAL YEAR
ENDED
JUNE 30, 1996 (9/10/97)
3 RECOMMENDATIONS
AND $7,465
UNRESOLVED

97-A-1241  SOUTH
CAROLINA, FISCAL
YEAR ENDED JUNE 30,
1996 (9/17/97)
2 RECOMMENDATIONS
UNRESOLVED
(Unresolved findings pertain
to NPS.)

98-A-148  NORTH
CAROLINA, FISCAL
YEAR ENDED JUNE 30,
1996 (12/2/97)
1 RECOMMENDATION
UNRESOLVED

98-A-149  ARIZONA,
FISCAL YEAR ENDED
JUNE 30, 1996 (12/2/97)
1 RECOMMENDATION
UNRESOLVED
(Unresolved finding pertains
to NPS.)

                           APPENDIX 7

         SUMMARY OF INTERNAL AUDIT REPORTS OVER 6 MONTHS
                  OLD PENDING CORRECTIVE ACTION


    This is a listing of internal audit reports with management
decisions over 6 months old for which corrective action has not been
completed.  It provides report number, title, issue date, and the number
of recommendations without final corrective action.  These audits continue
to be monitored by the Focus Leader for Management Control and Audit
Followup, Assistant Secretary for Policy, Management and Budget, for completion
of corrective action.  Note: The insular area reports contain recommendations
made specifically to the insular area governors and other territorial officials,
who do not report to the Secretary and are not subject to the policy, guidance,
and administrative oversight established by the Assistant Secretary for  Policy,
Management and Budget.


BUREAU OF INDIAN AFFAIRS

95-I-598  BUREAU OF
INDIAN AFFAIRS
PRINCIPAL FINANCIAL
STATEMENTS FOR FISCAL
YEARS 1993 AND 1994
(2/28/95)
2 RECOMMENDATIONS

95-I-1402  WAPATO
IRRIGATION PROJECT,
BUREAU OF INDIAN
AFFAIRS (9/30/95)
3 RECOMMENDATIONS

96-I-641  REVIEW OF
INDIAN IRRIGATION
PROJECTS, BUREAU OF
INDIAN AFFAIRS (3/29/96)
13 RECOMMENDATIONS

97-I-504  DIRECT AND
GUARANTEED LOAN
PROGRAMS, EASTERN
AREA OFFICE, BUREAU OF
INDIAN AFFAIRS (3/10/97)
1 RECOMMENDATION

  97-I-771  GENERAL
CONTROLS OVER
AUTOMATED
INFORMATION SYSTEMS,
OPERATIONS SERVICE
CENTER, BUREAU OF
INDIAN AFFAIRS (4/30/97)
8 RECOMMENDATIONS

97-I-834  BUREAU OF
INDIAN AFFAIRS
CONSOLIDATED
FINANCIAL STATEMENTS
FOR FISCAL YEARS 1995
AND 1996 (5/9/97)
1 RECOMMENDATION

BUREAU OF LAND MANAGEMENT

92-I-828  ONSHORE
GEOPHYSICAL
EXPLORATION PROGRAM
(5/26/92)
2 RECOMMENDATIONS

95-I-379  FOLLOWUP
OF RECOMMENDATIONS
RELATING TO BUREAU OF
LAND MANAGEMENT USER
CHARGES FOR
MINERAL-RELATED
DOCUMENT PROCESSING
(1/23/95)
2 RECOMMENDATIONS

95-I-638  ONSHORE OIL
AND GAS LEASING
ACTIVITIES, BUREAU OF
LAND MANAGEMENT
(3/20/95)
2 RECOMMENDATIONS

95-I-747  RIGHT-OF-WAY
GRANTS, BUREAU OF
LAND MANAGEMENT
(3/31/95)
6 RECOMMENDATIONS

96-I-638  INSPECTION OF
SELECTED
ADMINISTRATIVE
ACTIVITIES, COLORADO
STATE OFFICE, BUREAU
OF LAND MANAGEMENT
(3/29/96)
2 RECOMMENDATIONS

96-I-1025  NEVADA LAND
EXCHANGE ACTIVITIES,
BUREAU OF LAND
MANAGEMENT (7/15/96)
3 RECOMMENDATIONS

96-I-1265  OCCUPANCY
TRESPASS RESOLUTION,
BUREAU OF LAND
MANAGEMENT (9/30/96)
2 RECOMMENDATIONS
97-I-375  EXPENDITURES
CHARGED TO THE WILD
HORSE AND BURRO
PROGRAM, BUREAU OF
LAND MANAGEMENT
(2/7/97)
2 RECOMMENDATIONS

97-I-1104  MANAGEMENT
OF HERD LEVELS, WILD
HORSE AND BURRO
PROGRAM, BUREAU OF
LAND MANAGEMENT
(8/12/97)
2 RECOMMENDATIONS

97-I-1299 RECREATION
MANAGEMENT, BUREAU
OF LAND MANAGEMENT
(9/30/97)
4 RECOMMENDATIONS

98-I-352  USE OF THE
GOVERNMENTWIDE
PURCHASE CARD BUREAU
OF LAND MANAGEMENT
(3/31/98)
1 RECOMMENDATION

BUREAU OF RECLAMATION

91-I-1445
IMPLEMENTATION OF THE
FEDERAL FINANCIAL
SYSTEM (9/30/91)
2 RECOMMENDATIONS

92-I-887  MISCELLANEOUS
REVENUE COLLECTION
AND DISTRIBUTION
(6/12/92)
2 RECOMMENDATIONS

92-I-1128 REPAYMENT OF
MUNICIPAL AND
INDUSTRIAL WATER
SUPPLY INVESTMENT
COSTS (8/13/92)
1 RECOMMENDATION

92-I-1151  REVIEW OF THE
COST ALLOCATION FOR
THE CENTRAL ARIZONA
PROJECT (8/17/92)
5 RECOMMENDATIONS
(Final action is pending
outcome of litigation.)

93-I-577  PROPOSED
DEFERRAL OF NOTICE OF
SUBSTANTIAL
COMPLETION OF THE
CENTRAL ARIZONA
PROJECT (2/19/93)
3 RECOMMENDATIONS
(Final action is pending outcome
of litigation.)

93-I-810  IMPLEMENTATION
OF THE COLORADO RIVER
BASIN SALINITY CONTROL
PROGRAM (3/31/93)
3 RECOMMENDATIONS

93-I-1641  PICK-SLOAN
MISSOURI RIVER BASIN
PROGRAM COST
ALLOCATION (9/30/93)
5 RECOMMENDATIONS

94-I-884  DEVELOPMENT
STATUS OF THE DOLORES
AND THE
ANIMAS-LA PLATA
PROJECTS (7/11/94)
1 RECOMMENDATION

94-I-930  IRRIGATION OF
INELIGIBLE LANDS (7/11/94)
3 RECOMMENDATIONS

95-I-870  RECREATION
MANAGEMENT ACTIVITIES
AT SELECTED SITES
(5/17/95)
2 RECOMMENDATIONS

95-I-1204  FINANCIAL
MANAGEMENT OF THE
COLUMBIA BASIN
PROJECT, PACIFIC
NORTHWEST REGION
(8/22/95)
1 RECOMMENDATION

95-I-1376  FOLLOWUP OF
RECOVERY OF OPERATION
AND MAINTENANCE
PROGRAM EXPENSES
(9/29/95)
1 RECOMMENDATION

95-I-1383  RECOVERY OF
OPERATION AND
MAINTENANCE COSTS,
COLUMBIA BASIN
PROJECT (9/29/95)
2 RECOMMENDATIONS

96-I-313  AWARD AND
ADMINISTRATION OF
CONTRACT
NO. 1425-2-CC-40-12260
WITH ENVIRONMENTAL
CHEMICAL CORPORATION
RELATED TO THE
SUMMITVILLE MINE SITE
CLEANUP, BUREAU OF
RECLAMATION (3/14/96)
1 RECOMMENDATION

97-I-683  MAINFRAME
COMPUTER POLICIES AND
PROCEDURES,
ADMINISTRATIVE
SERVICE CENTER, BUREAU
OF RECLAMATION (3/31/97)
2 RECOMMENDATIONS

98-I-258 DETERMINATION
OF THE REIMBURSABILITY
OF ENVIRONMENTAL
ACTIVITIES COSTS
ASSOCIATED WITH GLEN
CANYON DAM BY THE
BUREAU OF
RECLAMATION (2/23/98)
2 RECOMMENDATIONS

98-I-383 CENTRAL VALLEY
PROJECTS RESTORATION
FUND, BUREAU OF
RECLAMATION (3/31/98)
2 RECOMMENDATIONS

INSULAR AREAS

American Samoa

96-I-533  AMERICAN
SAMOA LEGISLATURE,
AMERICAN SAMOA
GOVERNMENT (3/22/96)
7 RECOMMENDATIONS


Commonwealth of the Northern Mariana Islands

94-I-1323  UTILITIES RATE
STRUCTURE,
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS (9/30/94)
3 RECOMMENDATIONS

95-I-106  CONTRACTING
AND CONTRACT
ADMINISTRATION,
COMMONWEALTH
UTILITIES CORPORATION,
COMMONWEALTH OF THE
NORTHERN MARIANA
ISLANDS (11/14/94)
5 RECOMMENDATIONS


Guam

92-I-1360  GOVERNMENT
OF GUAM RETIREMENT
FUND (9/18/92)
7 RECOMMENDATIONS

98-I-14 PROCUREMENT
ACTIVITIES, PORT
AUTHORITY OF GUAM,
GOVERNMENT OF GUAM
(10/7/97)
1 RECOMMENDATION


Republic of Palau

92-I-1368  BILLINGS AND
COLLECTIONS OF THE
REPUBLIC OF PALAU'S
GROSS REVENUE TAX
(9/28/92)
3 RECOMMENDATIONS


U.S. Virgin Islands

91-I-1188  SECURITY AND
MAINTENANCE OF
CORRECTIONAL
FACILITIES, GOVERNMENT
OF THE VIRGIN ISLANDS
(8/29/91)
16 RECOMMENDATIONS

91-I-1431  FOLLOWUP OF
AUDIT OF THE
GOVERNMENT
EMPLOYEES' RETIREMENT
SYSTEM, GOVERNMENT OF
THE VIRGIN ISLANDS
(9/30/91)
1 RECOMMENDATION

92-I-90  PRISON
OVERCROWDING, BUREAU
OF CORRECTIONS (10/28/91)
5 RECOMMENDATIONS

92-I-688  COSTS INCURRED
BY THE
DEJONGH/WILLIAMS JOINT
VENTURE ON THE VIRGIN
ISLANDS CAPITAL
IMPROVEMENT PROGRAM
(3/31/92)
10 RECOMMENDATIONS

94-I-248  PROPERTY
MANAGEMENT
FUNCTIONS, POLICE
DEPARTMENT,
GOVERNMENT OF THE
VIRGIN ISLANDS (1/24/94)
1 RECOMMENDATION

95-I-52  SELECTED
ADMINISTRATIVE
FUNCTIONS, ST. CROIX
INTERIM HOSPITAL,
GOVERNMENT OF THE
VIRGIN ISLANDS (10/31/94)
2 RECOMMENDATIONS

97-I-257  SMALL BUSINESS
DEVELOPMENT AGENCY,
GOVERNMENT OF THE
VIRGIN ISLANDS (1/15/97)
4 RECOMMENDATIONS

97-I-590  SUPPLEMENTAL
FOOD PROGRAM FOR
WOMEN, INFANTS AND
CHILDREN, DEPARTMENT
OF HEALTH,
GOVERNMENT OF THE
VIRGIN ISLANDS (3/24/97)
1 RECOMMENDATION

98-I-293 BUSINESS
LICENSING FEES,
DEPARTMENT OF
LICENSING AND
CONSUMER AFFAIRS,
GOVERNMENT OF THE
VIRGIN ISLANDS (2/27/98)
3 RECOMMENDATIONS

MINERALS MANAGEMENT SERVICE

92-I-130  OFFSHORE
INSPECTION PROGRAM
(11/12/91)
1 RECOMMENDATION

92-I-657  GAS CONTRACT
SETTLEMENTS (3/30/92)
1 RECOMMENDATION

97-I-1042  ROYALTY
MANAGEMENT
PROGRAM'S AUTOMATED
INFORMATION SYSTEMS,
MINERALS MANAGEMENT
SERVICE (7/31/97)
4 RECOMMENDATIONS

MULTI-OFFICE

92-I-140 COMPLIANCE
WITH THE FEDERAL
MANAGERS' FINANCIAL
INTEGRITY ACT OF 1982
FOR FISCAL YEAR 1991,
BUREAU OF LAND
MANAGEMENT (11/18/91)
1 RECOMMENDATION

96-I-1264  NEGOTIATED
ROYALTY SETTLEMENTS,
MINERALS MANAGEMENT
SERVICE (9/30/96)
2 RECOMMENDATIONS

96-I-1267  INSPECTION AND
ENFORCEMENT PROGRAM
AND SELECTED RELATED
ACTIVITIES, BUREAU OF
LAND MANAGEMENT
(9/30/96)
11 RECOMMENDATIONS

96-I-1268  WITHDRAWN
LANDS, DEPARTMENT OF
THE INTERIOR (9/30/96)
2 RECOMMENDATIONS

97-I-548
ADMINISTRATIVELY
UNCONTROLLABLE
OVERTIME, DEPARTMENT
OF THE INTERIOR (2/27/97)
2 RECOMMENDATIONS

97-I-1293 VALUE
ENGINEERING PROGRAM,
DEPARTMENT OF THE
INTERIOR (9/29/97)
4 RECOMMENDATIONS

98-I-79 COSTS RECOVERED
THROUGH NET RECEIPTS
SHARING DEDUCTIONS,
MINERALS MANAGEMENT
SERVICE AND BUREAU OF
LAND MANAGEMENT
(10/22/97)
1 RECOMMENDATION

NATIONAL PARK SERVICE

92-I-204  NATIONAL
NATURAL LANDMARKS
PROGRAM (12/5/91)
2 RECOMMENDATIONS

93-I-1615  RECREATIONAL
ASSISTANCE PROVIDED TO
STATE AND LOCAL
GOVERNMENTS (9/30/93)
1 RECOMMENDATION

94-I-1211  CONCESSIONS
MANAGEMENT
IMPROVEMENT (9/26/94)
1 RECOMMENDATION

96-I-49  SPECIAL USE FEES,
NATIONAL PARK SERVICE
(10/27/95)
1 RECOMMENDATION

97-I-515 OVERSIGHT OF
CONCESSIONS OPERATIONS
AND FEE PAYMENTS,
GUEST SERVICES, INC., AND
ROCK CREEK PARK HORSE
CENTRE, INC., NATIONAL
PARK SERVICE (2/28/97)
1 RECOMMENDATION

OFFICE OF SURFACE MINING
RECLAMATION AND ENFORCEMENT

97-I-1303  FEE
COMPLIANCE PROGRAM,
OFFICE OF SURFACE
MINING RECLAMATION
AND ENFORCEMENT
(9/30/97)
1 RECOMMENDATION

98-I-197 USE OF THE
GOVERNMENTWIDE
PURCHASE CARD, OFFICE
OF SURFACE MINING
RECLAMATION AND
ENFORCEMENT (1/16/98)
2 RECOMMENDATIONS

OFFICE OF THE SECRETARY

97-I-769  FINANCIAL
MANAGEMENT
ACTIVITIES OF THE
NATIONAL INDIAN
GAMING COMMISSION
(4/28/97)
4 RECOMMENDATIONS

OFFICE OF THE
SPECIAL TRUSTEE
FOR AMERICAN
INDIANS

97-I-196  STATEMENT OF
ASSETS AND TRUST FUND
BALANCES AT
SEPTEMBER 30, 1995, OF
THE TRUST FUNDS
MANAGED BY THE OFFICE
OF TRUST FUNDS
MANAGEMENT (12/13/96)
16 RECOMMENDATIONS

97-I-1167 JUDGMENT
FUNDS AWARDED TO THE
TURTLE MOUNTAIN BAND
OF CHIPPEWA INDIANS
(9/22/97)
1 RECOMMENDATION

97-I-1168  JUDGMENT
FUNDS AWARDED TO THE
NAVAJO NATION (9/22/97)
1 RECOMMENDATION

97-I-1169  JUDGMENT
FUNDS AWARDED TO THE
PAPAGO TRIBE OF
ARIZONA (9/15/97)
2 RECOMMENDATIONS

98-I-206 FINANCIAL
STATEMENTS FOR FISCAL
YEAR 1996 FOR OFFICE OF
THE SPECIAL TRUSTEE
FOR AMERICAN INDIANS
TRIBAL, INDIVIDUAL
INDIAN MONIES AND
OTHER SPECIAL TRUST
FUNDS MANAGED BY THE
OFFICE OF TRUST FUNDS
MANAGEMENT (1/23/98)
12 RECOMMENDATIONS

U.S. FISH AND WILDLIFE SERVICE

94-I-62  LAW
ENFORCEMENT SPECIAL
FUNDS, U.S. FISH AND
WILDLIFE SERVICE
(11/8/93)
1 RECOMMENDATION

94-I-408  FARMING
OPERATIONS CONDUCTED
BY THE U.S. FISH AND
WILDLIFE SERVICE
(3/21/94)
1 RECOMMENDATION

95-I-376  CONCESSION
FEES, U.S. FISH AND
WILDLIFE SERVICE
(1/17/95)
1  RECOMMENDATION

97-I-1112
ADMINISTRATION OF
GRANTS AWARDED
UNDER THE NORTH
AMERICAN WETLANDS
CONSERVATION ACT,
U.S. FISH AND WILDLIFE
SERVICE (8/29/97)
1 RECOMMENDATION

97-I-1302  PARTNERS FOR
WILDLIFE HABITAT
RESTORATION PROGRAM,
U.S. FISH AND WILDLIFE
SERVICE (9/29/97)
4 RECOMMENDATIONS

97-I-1305  AUTOMATED
LAW ENFORCEMENT
SYSTEM, U.S. FISH AND
WILDLIFE SERVICE (9/30/97)
6 RECOMMENDATIONS

98-I-224 FINANCIAL
ACTIVITIES OF
UNDERCOVER BUSINESS
INV#6806AP, U.S. FISH AND
WILDLIFE SERVICE (1/26/98)
4 RECOMMENDATIONS

U.S. GEOLOGICAL
SURVEY

96-I-1239  INVENTORY
MANAGEMENT AND
VALUATION, NATIONAL
MAPPING DIVISION,
U.S. GEOLOGICAL SURVEY
(9/30/96)
2 RECOMMENDATIONS

97-I-98  GENERAL CONTROL
ENVIRONMENT OF THE
FEDERAL FINANCIAL
SYSTEM AT THE RESTON
GENERAL PURPOSE
COMPUTER CENTER
(10/31/96)
2 RECOMMENDATIONS

97-I-927  U.S. GEOLOGICAL
SURVEY FINANCIAL
STATEMENTS FOR FISCAL
YEAR 1996 (6/12/97)
9 RECOMMENDATIONS

                           APPENDIX 8
          STATUTORY AND ADMINISTRATIVE RESPONSIBILITIES

The Inspector General Act of 1978 (Public Law 95-452),
as amended, sets forth specific requirements for semiannual
reports to be made to the Secretary for transmittal to the Congress.
A selection of other statutory and administrative responsibilities and
criminal and civil investigative authorities of the OIG follows:

                Statutory Audit Responsibilities

Statutory audit responsibilities include:

P.L.      96-510             Comprehensive Environmental Response,
                              Compensation and Liability Act of 1980
                              (Superfund)
P.L.      97-357             Insular Areas Act of 1982
P.L.      97-451             Federal Oil and Gas Royalty Management Act of 1982
P.L.      98-502             Single Audit Act of 1984
P.L.      99-499             Superfund Amendments and Reauthorization Act of 1986
P.L.     101-576             Chief Financial Officers Act of 1990
P.L.     103-382             Improving American Schools Act of 1994
P.L.     104-208             Federal Financial Management Improvement Act of 1996
P.L.     104-316             General Accounting Office Act of 1996, Section 108, To Require DOI-OIG
                             To Audit the Central Utah Project Cost Allocation

            Administrative Responsibilities

Office of Management and Budget Circulars and Bulletins:

 A-50     Audit Followup
 A-123    Management Accountability and Control
 A-131    Value Engineering
 A-133    Audits of States, Local Governments, and Non-profit Organizations
           97-01    Form and Content of Agency Financial Statements (Bulletin)
           98-08    Audit Requirements for Federal Financial Statements (Bulletin)

Criminal and Civil Investigative Authorities

Criminal investigative authorities include:

- Title 18, United States Code, section on crime and criminal
procedures as they pertain to OIG's oversight of DOI programs and employee misconduct.

Civil and administrative investigative authorities include civil monetary
penalty authorities such as:

-  Title 31, United States Code, Section 3801 et seq., the Program Fraud Civil Remedies
 Act.
-  Title 31, United States Code, Section 3729-3733, the False Claims Act.



                           APPENDIX 9
          CROSS-REFERENCES TO THE INSPECTOR GENERAL ACT

                                                                              Page

Inspector General Act, as amended
                                                                                 8
Section 4(a)(2)       Review of Legislation and Regulations

Section 5(a)(1)       Significant Problems,  Abuses, and Deficiencies        10-33

Section 5(a)(2)       Recommendations With Respect to Significant Problems,  10-33
                       Abuses, and Deficiencies

Section 5(a)(3)       Summary of Audits From Agency's Previous Report on     64-68
                       Which Corrective Action Has Not Been Completed

Section 5(a)(4)       Matters Referred to Prosecutive Authoritiesv

Section 5(a)(5)       Summary of Instances Where Information Was Refused N/A*

Section 5(a)(6)       List of Audit Reports                                  35-50

Section 5(a)(7)       Summary of Significant Reports                         10-33

Section 5(a)(8)       Statistical Table - Questioned Costs                      53

Section 5(a)(9)       Statistical Table - Recommendations That Funds Be         54
                       Put To Better Use

Section 5(a)(10)      Summary of Audit Reports Issued Before the             56-63
                       Commencement of the Reporting Period for Which
                       No Management Decision Has Been Made

Section 5(a)(11)      Significant Revised Management Decisions MadeN/A*
                       During the Reporting Period

Section 5(a)(12)      Management Decisions With Which the N/A*
                       Inspector General Is in Disagreement



*N/A: Not applicable.



GENERAL INFORMATION



Send Requests for Publications to:


U.S. Department of the Interior
Office of Inspector General
1849 C Street, NW
Mail Stop 5341, MIB
Washington, D.C. 20240

(202) 208-4599

Facsimile Number: (202) 208-4998

World Wide Web Site: www.oig.doi.gov






ILLEGAL OR WASTEFUL ACTIVITIES SHOULD BE REPORTED

TO THE OFFICE OF INSPECTOR GENERAL BY:

Sending written documents to:



Within the Continental United States

U.S. Department of the Interior
Office of Inspector General
1849 C Street,N.W.
Mail Stop 5341
Washington, D.C. 20240

Calling:

Our 24 hour
Telephone HOTLINE
1-800-424-5081 or
(202) 208-5300

TDD for hearing impaired
(202) 208-2420 or
1-800-354-0996



Outside the Continental United States


Caribbean Region

U.S. Department of the Interior
Office of Inspector General
Eastern Division- Investigations
1550 Wilson Boulevard
Suite 410
Arlington, Virginia 22209

Calling:
(703) 235-9221


North Pacific Region

U.S. Department of the Interior
Office of Inspector General
North Pacific Region
238 Archbishop F.C. F'lores Street
Suite 807, PDN Building
Agana, Guam 96910


Calling:
(700) 550-7428 or
COMM 9-011-671-472-7279