Audit of Cannon House Office Building Renewal Project’s Contract Costs

We recommend that the Architect of the Capitol review the $545,421 in questioned costs to determine whether the costs were adequately supported at the time they were paid and recover any unsupported costs to the extent legally and administratively possible.

We recommend that the Architect of the Capitol ensure that it performs a final reconciliation of reimbursable costs to the Construction Manager as Constructor’s (CMc) accounting records and utilizes the Construction Manager as Agent’s procedures for reviewing CMc’s payment applications to ensure it has obtained adequate documentation for CMc’s reimbursable costs prior to the final completion of Phases (PH) 3 and 4.

We recommend that the Architect of the Capitol (AOC) enforce applicable construction-contract provisions requiring contractors to maintain complete, accurate, and readily accessible financial and project records throughout the duration of the project to support oversight. AOC procedures should also require authorized AOC project personnel to validate that all amounts invoiced are adequately supported prior to releasing the final payment for the project or project phase.