The Office of the Inspector General (OIG), Audit Division, has completed an audit of the Intergovernmental Service Agreement (IGA) between the United States Marshals Service (USMS) and the County of Plymouth (contractor), Massachusetts. During the audit period (July 1994 through June 1995 – Fiscal Year 1995), the contractor billed the USMS for 82,436 jail days at $80.76 per day, for a total of $6.7 million. The IGA was signed in April 1991 and was in effect during the audit period. Additional audit scope, methodology and background information appears in APPENDIX II.

We reviewed the IGA between the contractor and the USMS to provide detention space at the jail for federal prisoners. We analyzed jail-day billings to determine if the amounts claimed were accurate and that the day rate corresponded to the rate as stated in the IGA. We performed tests of selected FY 1995 costs to determine if the costs were allowable and were adequately supported.

Based on our review, we determined that:

• The base for the contractor’s FY 1995 daily jail rate included $8,864,175 of unallowable and/or unallocable costs and a carryforward of FY 1994 surplus revenues totaling $1,792,320 that totaled $10,656,495. This resulted in excess billings totaling $1,996,600 to the USMS during FY 1995.
  
  
• No material deficiencies were identified in the following areas:  accuracy, completeness, and adequacy of accounting documentation; internal management, administrative, and financial controls; control over government furnished property; and accuracy of reports.