Transcript Surviving a Federal Review

UNDERSTANDING A FEDERAL AUDIT
Robert Dirks
Design and Construction Team Leader
Federal Highway Administration – Indiana Division
TOPICS TO COVER
Why FHWA conducts reviews
 FHWA-INDOT Stewardship and Oversight
Agreement
 Types of reviews
 History of FHWA reviews
 Program Risk Assessments
 Program Reviews
 Project Development Reviews
 Construction Inspections
 Closeout

WHY FHWA CONDUCTS REVIEWS
Required to do them by regulations
 Stewardship reasons

Are Federal funds managed well?
 Are programs managed well?
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
Oversight

Are Federal requirements met?
FHWA-INDOT STEWARDSHIP AND
OVERSIGHT AGREEMENT
Each State is required to have one
 What types of projects are delegated to INDOT to
oversee
 How both agencies will jointly manage the
Federal-aid highway program in Indiana
 Performance measures of FAHP in Indiana
 Commitment measures to each agency

TYPES OF REVIEWS

Individual Project Reviews
FHWA Oversight
 ARRA Projects
 State Delegated Projects


Program Area Reviews (examples)
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Design exception approval process
Waterway Permitting
PS&E approval process
Letting process
Change order approval process
Work zone traffic control
Materials testing
HISTORY
Many changes over years
 Pre-ISTEA (1991)
Review/Inspect every FA project – frequently
 Heavy focus on compliance
 Little focus on overall program


Post-ISTEA to ~2005
Practically no reviews/inspections
 Less little focus on “compliance”
 Relied mostly on program reviews

HISTORY (CONTINUED)

~2005 – Recovery Act (2009)
Little more focus on compliance
 Mainly reviewed FHWA-oversight projects
 Primarily relied on program reviews

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After Recovery Act
Heavy focus on compliance
 Still relatively high reliance on program reviews
 Review FHWA-oversight and State-delegated projects
 National goals for reviews of FHWA-OS, Statedelegated and Recovery Act projects

PROGRAM RISK ASSESSMENTS
Evaluate risks of each program area
 Prioritize any reviews
 Coordinate with INDOT managers/leadership
 Include in Annual Performance Plan

PROGRAM REVIEWS
Done by anyone in FHWA-IN
 Reviews conducted jointly with INDOT are best
 Identify team members
 Develop workplan – Purpose, Scope, Schedule,
questions, projects to review to validate process
 Conduct review
 Write report – observations, follow-up actions
 Closeout with FHWA/INDOT managers/leadership
 Complete follow-up actions
 FHWA-HQ now tracking program reviews and
follow-up actions

PROJECT DEVELOPMENT REVIEWS
Conducted primarily on FHWA-oversight projects
 By FHWA-IN Transportation Engineers, with
input from Division specialists
 Possibly at Stage 1, 2, or 3; definitely at PS&E
 Looking for:

Specific items/issues in plans
 INDOT’s prior comments and how addressed
 Compliance of key requirements (PS&E)
 Checklists

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FHWA-HQ tracking now
PS&E REVIEW
Specific contents of PS&E package
 INDOT will do on all Federal-aid projects
 2 Stage review for FHWA reviews (FHWA-OS)

~ RFC – plans & unique special provisions
 2 weeks prior to advertisement – Remaining PS&E
package

State-delegated – PS&E approved by INDOT
 FHWA-OS – PS&E approved by FHWA
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CONSTRUCTION INSPECTIONS
Conducted primarily on FHWA-OS projects
 1 per year or at least at project closeout
 Constructed in accordance with contract?
 Topics Covered:

EEO
 DBE
 Work Zone Safety
 Materials
 Progress Payments
 Project Commitments
 Change Orders / Claims
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PROJECT CLOSEOUT
Final Acceptance
 Final Inspections
 Final Voucher
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CONCLUSION
Robert Dirks
[email protected]
317-226-7492