Use of Program Income by Evaluation, Dissemination, and Assessment Centers Supported by OBEMLA

GAO reviewed the use of income accrued by three Evaluation, Dissemination, and Assessment Centers established through Department of Education grants and supported by Education's Office of Bilingual Education and Minority Languages Affairs. The purpose of these centers is to assess, evaluate, and disseminate instructional materials for use in bilingual education. The objectives of the review were to: (1) determine whether the centers used program income according to federal requirements; and (2) assess whether Education adequately monitored program income.

GAO found that Education's monitoring of program income was lax. Centers have accumulated and retained large year-end balances of program income funds, and Education has not issued adequate rules or directives governing such funds. Centers have used program income to purchase equipment, and there is a serious question as to whether Education can transfer such equipment to succeeding grantees as can be done with equipment purchased with grant funds. Centers have also spent program income for purposes which may be inconsistent with the intent of the grant.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

Director: William J. Gainer Team: General Accounting Office: Human Resources Division Phone: (202) 275-5365