Board Decisions

GF/B32/DP04

Approved by the Board on: 20 November 2014

Communication on Status of Recoveries

1. As outlined in GF/B23/DP24 and reiterated in GF/B23/DP28, the Board continues to work with a full commitment to transparency and to endeavor to uphold the independence of the Office of the Inspector General (the “OIG”) within the Global Fund. In order to further promote this independence, the Board decides to supersede GF/B23/DP28 in its entirety with this decision point (GF/B32/DP04).
2. The Board recognizes the need to have clear, consistent and contextualized information regarding the status of recoveries related to non-compliant expenditures identified within grant programs financed by Global Fund resources.
3. With respect to non-compliant expenditures identified from OIG audits and investigations, the Board requests the Global Fund Secretariat to prepare a Recoveries Report (the “Report”) for the periods ending 30 June and 31 December of each year. The Report will detail, among other items:
   1. the amounts reported by the OIG as being non-compliant and/or as constituting financial loss;
   2. the amounts deemed recoverable by the Secretariat based on the OIG’s findings, including an explanation of the method and process employed for the determination of such amounts; and
   3. progress on outstanding recovery actions, including a description of the context within which recovery-related processes are being handled by the Secretariat and any lessons learned.
4. The Board requests the AEC to:
   1. review the Report;
   2. engage with the Finance and Operational Performance Committee (the “FOPC”) on matters within the FOPC’s mandate that relate to the process of developing and updating the Report; and
   3. present any recommended amendments to this decision point to the Board for approval.
5. Following the review of the Report by the AEC, the Secretariat shall submit the Report to the Board.
6. Furthermore, the Board directs the Secretariat to develop, for AEC approval, a methodology and format for future reporting within the Report, which describes measures taken with respect to recoverable amounts identified in the due course of grant management operations.

The Board requests the OIG to report independently on the Secretariat’s progress on matters related to recoveries as part of the OIG’s Report to the Board or as otherwise determined by the AEC.

Notes

Paragraph 6 completed by AEC decision GF/AEC11/DP05 in March 2015.