Afghan National Police Construction Project: Audit of Costs Incurred by Gilbane Federal

Abstract

On January 10, 2011, the 772nd Enterprise Sourcing Squadron, in support of the Air Force Center for Engineering and the Environment--reorganized in 2012 as the Air Force Civil Engineer Center (AFCEC)--awarded a 19-month, $20.4 million task order to Innovative Technical Solutions, Inc. (ITSI). In 2010, Gilbane Federal (Gilbane) acquired ITSI. The purpose of the task order was to design and construct headquarters facilities for two Afghan National Police units in Marjah and Lashkar Gah, Helmand province, Afghanistan. After 13 modifications, the total cost of the task order increased to $44,070,650, and the period of performance was extended to May 9, 2014. SIGAR's financial audit, performed by Crowe Horwath LLP (Crowe), reviewed $43,370,891 in expenditures charged to the task order from January 10, 2011, through May 9, 2014. The objectives of the audit were to (1) identify and report on significant deficiencies or material weaknesses in Gilbane's internal controls related to the task order; (2) identify and report on instances of material noncompliance with the terms of the task order and applicable laws and regulations, including any potential fraud or abuse; (3) determine and report on whether Gilbane has taken corrective action on prior findings and recommendations; and (4) express an opinion on the fair presentation of Gilbane's Special Purpose Financial Statement (SPFS). See Crowe's report for the precise audit objectives. In contracting with an independent audit firm and drawing from the results of the audit, SIGAR is required by auditing standards to review the audit work performed. Accordingly, SIGAR oversaw the audit and reviewed its results. Our review disclosed no instances where Crowe did not comply, in all material respects, with U.S. generally accepted government auditing standards.

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Document Details

Document Type
Technical Report
Publication Date
Jul 01, 2016
Accession Number
AD1140085

Entities

People

  • John Sopko

Organizations

  • Special Inspector General for Afghanistan Reconstruction

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Acquisition
  • Air Force
  • Business Administration
  • Civil Engineering
  • Contractors
  • Contracts
  • Data Processing Equipment
  • Engineering
  • Engineers
  • Finance
  • Governments
  • Law
  • Materials
  • Money
  • Processing Equipment
  • Procurement
  • United States

Fields of Study

  • Business

Readers

  • Defense Financial Management and Audit.
  • Military and Counterinsurgency Studies.