The Art of Contract Closeout: Helping Government Agencies Discover Hidden Money
Since 2009, DB has helped the U.S. Agency for International Development’s (USAID’s) Office of Acquisition and Assistance (OAA) in Washington, D.C. close nearly 3,000 unclassified contracts and assistance instruments (grants and cooperative agreements) and deobligate more than $175 million.
Each year, millions of dollars are left sitting in the accounts of government contracts that have ended. If this money is not found and repurposed, it may simply remain in the inactive account doing no good to anyone. Unused money also may be returned to the U.S. Treasury, and future budgets will be adjusted based on this unspent money. It is during the closeout process that contract specialists discover this money and enable agencies to repurpose it. Contract closeout also assures conformance to contractual commitments and protects the interest of the government.
For USAID, DB operates and maintains an automated database system capable of storing detailed status information on each award, generates letters and memoranda of inquiry to various organizations within the public and private sectors, reconciles financial accounts, reviews audits, prepares closeout documentation, and advises USAID on pertinent closeout matters.