§793 Oversight and Accountability of Federal Disaster Expenditures

Summary

The Administrator may allow a Federal agency to use up to 1 percent of mission-assignment money as oversight funds. These funds remain available until spent. They can pay for monitoring and auditing spending, checking management and internal controls, reviewing contracts, investigating fraud, and working with other governments on fraud prevention. They also cover required oversight plans and reports. They cannot pay for an agency’s existing oversight duties tied to direct disaster-response appropriations. Oversight can be done by the agency or by contractors, and audits should be done by the inspector general when possible. If an agency gets oversight funds in a fiscal year, its leader must make a risk-based plan for the next fiscal year with a schedule and expected completion dates. Agencies must send one annual consolidated report to the Administrator and the relevant Congressional committees about how the funds were used and the results. "Oversight funds" means the funds described above.