Refund Due on Grant Awarded to West Virginia University

Published by the Government Accountability Office on 1971-06-21.

Below is a raw (and likely hideous) rendition of the original report. (PDF)

                                     UNITED STATES GENERAL ACCOUNTING OFFICE
                                                  WASHINGTON,D.C.         20548


                                                                                            JUN 2 1    1971

                   Dear Dr. Marston:

                           In response to an inquiry  by a member of Congress, we examined
                   the use of funds for research grant 1 R13 HDO2102. The Natlonal
                   Institute     of Child Health and Human Development awarded this grant
                   of $19,720 to the department of psychology of West Virginia      University
                   at Morgantown for a conference     on aging.   The period of the grant was
                   from June 1, 1966, through May 31, 1968.

                        A refund of $2,215 is due the Government                  because     grant   funds were
                   used for unauthorized  purposes.

                           According to the university's             annual reports of expenditures            the
                   cost of the conference,             held on May 18 and 19, 1967, was $19,281,
                   which comprised expenses of $9,159 paid from funds on deposit with
                   the State treasurer's           office      and expenses of $10,122 paid from funds
                   that had been transferred              to the West Virginia        University    Foundation,
                   Incorporated,        a nonprofit       private   corporation.        University   and
                   foundation      officials     told us that the funds had been transferred                 to
                   facilitate      the payment of transportation,              lodging,     and other costs
                   for the conferees by avoiding                the cumbersome payment procedures           of
                   the State treasurer's            office.

                        The transfer    of $10,122 was included in the reported    expenditures
                   for the first   grant year--$9,622  under the "travel"  category and
                   $500 under the ÔÇťother"    category.

                         Of the $10,122, $7,907 had been spent for travel,   lodging,
                   meals, and incidentals   for the participants at the conference
                   and $2,215 had not been spent at May 31, 1968, the expiration
                   date of the grant.

                          Of the $2,215, $1,676 was spent in               1969 and 1970 for travel
                   and transportation    expenses for members              of the department of
                   psychology and to reimburse partlclpants                 in a national   psychology
                   meeting held at Morgantown.     As of March              17, 1971, $539 had not been

                                               50TH ANNIVERSARY 1921-1971
      The expenditures     in 1969 and 1970 were not connected with the
conference.     University    officials    agreed that Federal funds should not
have been used for these purposes.           On March 17, 1971, the vice president
of the university      said the university      would be agreeable to refunding
the $2,215.

      Accordingly, we recommend that your office recover the $2,215.
Please inform us of any actzon taken and let us know if we can be of
any assistance.

       Copies of this letter   are being sent to the Assistant      Secretary,
Comptroller,    Department of Health, Education,   and Welfare     and to the
Director,    HEW Audit Agency.

                                      Sincerely   yours,

                                      Morton A. Myers
                                      Assistant Director

Dr. Robert Q. Marston
Director,    National Institutes
   of Health
Department of Health, Education,
   and Welfare