DHS Creates New Audit Office for Disaster Funds

Oct. 27, 2006
Move follows allegations of waste and fraud from Hurricane Katrina response

The inspector general for the Department of Homeland Security is setting up a new office to monitor the spending of U.S. federal disaster assistance.

The move, announced by Inspector General Richard Skinner in a statement this week, follows continuing concern about widespread waste, fraud and abuse in the wake of Hurricane Katrina.

The new office in effect makes permanent and nationwide a special operation called the Office of Gulf Coast Hurricane Recovery, headed by Matthew Jadacki. The office was stood up rapidly last year in the wake of early reports about no-bid contracts and other potentially fraudulent activities as supplemental appropriations were rushed through Congress and a tsunami of federal dollars poured out of Washington.

"The creation of this office will strengthen our ability to react quickly, efficiently, and effectively to a variety of disasters and enable it to work more closely with inspectors general from other relevant departments, said Skinner.

Jadacki will continue to head the office, with the title of deputy inspector general for disaster assistance oversight, and will maintain offices in Washington, Georgia, Texas; and California.

Jadacki will be responsible for overseeing the management of all homeland security contracts, grants, and operations related to disaster assistance, and for coordinating the audit activities of other federal inspectors general.