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Functional Areas
- Audit and Investigations
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Capacity development and transition, strengthening systems for health
- A Strategic Approach to Capacity Development
- Capacity Development and Transition - Lessons Learned
- Capacity development and Transition Planning Process
- Capacity Development and Transition
- Capacity Development Objectives and Transition Milestones
- Capacity Development Results - Evidence From Country Experiences
- Functional Capacities
- Interim Principal Recipient of Global Fund Grants
- Legal and Policy Enabling Environment
- Overview
- Resilience and Sustainability
- Transition
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Financial Management
- CCM Funding
- Grant Closure
- Grant Implementation
- Grant-Making and Signing
- Grant Reporting
- Overview
- Sub-recipient Management
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Grant closure
- Overview
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Steps of Grant Closure Process
- 1. Global Fund Notification Letter 'Guidance on Grant Closure'
- 2. Preparation and Submission of Grant Close-Out Plan and Budget
- 3. Global Fund Approval of Grant Close-Out Plan
- 4. Implementation of Close-Out Plan and Completion of Final Global Fund Requirements (Grant Closure Period)
- 5. Operational Closure of Project
- 6. Financial Closure of Project
- 7. Documentation of Grant Closure with Global Fund Grant Closure Letter
- Terminology and Scenarios for Grant Closure Process
- Human resources
- Human rights, key populations and gender
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Legal Framework
- Agreements with Sub-sub-recipients
- Amending Legal Agreements
- Implementation Letters and Management Letters
- Language of the Grant Agreement and other Legal Instruments
- Legal Framework for Other UNDP Support Roles
- Other Legal and Implementation Considerations
- Overview
- Project Document
- Signing Legal Agreements and Requests for Disbursement
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The Grant Agreement
- Grant Confirmation: Conditions Precedent (CP)
- Grant Confirmation: Conditions
- Grant Confirmation: Face Sheet
- Grant Confirmation: Limited Liability Clause
- Grant Confirmation: Schedule 1, Integrated Grant Description
- Grant Confirmation: Schedule 1, Performance Framework
- Grant Confirmation: Schedule 1, Summary Budget
- Grant Confirmation: Special Conditions (SCs)
- Grant Confirmation
- UNDP-Global Fund Grant Regulations
- Monitoring and Evaluation
- Principal Recipient Start-Up
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Procurement and Supply Management
- Development of List of Health Products and Procurement Action Plan
- Distribution and Inventory Management
- Overview
- Price and Quality Reporting (PQR) System
- Procurement of Non-health Products and Services
- Procurement of Pharmaceutical and Other Health Products
- Quality Control
- Rational use of Medicines and Pharmacovigilance Systems
- Strengthening of PSM Services and Risk Mitigation
- UNDP Health PSM Roster
- UNDP Quality Assurance Policy and Plan
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Reporting
- Communicating Results
- Grant Performance Report
- Overview
- Performance-based Funding and Disbursement Decision
- PR and Coordinating Mechanism (CM) Communication and Governance
- Reporting to the Global Fund
- UNDP Corporate Reporting
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Risk Management
- Common Risks Identified in Global Fund Programmes
- Global Fund Risk Management
- Introduction to Risk Management
- Overview
- Risk Management in High Risk Environments
- Risk Management in UNDP-managed Global Fund Grants
- Risk management in UNDP
- UNDP Risk Management in the Global Fund Portfolio
- Sub-Recipient Management
Sub-recipient Audit Approach
The audit of UNDP Sub-recipients (SRs) of Global Fund-financed projects are managed and commissioned by each UNDP Country Office (CO) following a risk-based audit plan that, after consultation with the UNDP Global Fund/Health Implementation Support Team, is reviewed and accepted by the UNDP Office of Audit and Investigations (OAI). Once the audit of SRs is completed, the COs submit the final audit reports to OAI for review and assessment.
Pursuant to Art. 7d(i) of the Grant Regulations, UNDP shall plan for the audit of SRs and will consult with the Global Fund to this effect. The audit of the SRs shall take place in accordance with this plan. Upon request, UNDP must furnish the Global Fund with a copy of SR audit reports.
Importantly, when the SR is a UN agency, it is not audited by UNDP, but instead is subject to its own oversight and control framework. However, UNDP has an obligation to provide the Global Fund with a copy of financial expenditure reports issued by UN SRs. See Art. 7d(ii) of the Grant Regulations.
As per UNDP Financial Regulations and Rules, audits of NGO-implemented and nationally implemented (NIM) (formerly known as NGO/NIM, now called Harmonized Approach to Cash Transfers (HACT)) are carried out to provide assurance to UNDP senior management as to the proper use of resources by SRs. Audit is an integral part of sound financial and administrative management, and part of the UNDP accountability system. Though currently exempt from the HACT framework, SRs – government and civil society organizations (CSOs) – who are entrusted with Global Fund resources must still be audited.
Please note that the guidance provided in this section of the Manual pertains to the audit of UNDP SRs of Global Fund-financed projects only. For guidance on the HACT audit of UNDP partners for non-Global Fund projects, please refer to the OAI Call Letter for HACT Audit Plans.
In early 2013, the UNDP Global Fund/Health Implementation Support Team worked with OAI to define a new approach and process for audit of UNDP SRs of Global Fund projects. This was done to further enhance the management of SRs, as this area was identified as a high-risk area in the implementation of Global Fund projects.
The approach features several components, including long-term agreements (LTAs) with selected audit firms and expansion of the audit terms of reference (TORs) to include the following: 1) financial audit (Deliverable 1); 2) audit of SR internal controls and systems (Deliverable 2); and consolidated report of all key SR audit findings (Deliverable 3). Two audit firms are designated for each country, based on region. Depending on the region and country, however, it may be that only one firm is available to submit a bid and participate in the audit.
In some exceptional circumstances, including country context and audit firm registration limitations, a CO may choose to work with a local audit firm instead of one of the firms under LTA. Local firms are still required to adhere to the expanded SR audit terms of reference. The CO should, at the start of the SR audit process, discuss with the UNDP Global Fund/Health Implementation Support Team this, or any other foreseen deviation from the approach for audit of UNDP SRs for projects financed by the Global Fund.
Exceptions to audit deliverable requirements:
- Financial audit (Deliverable 1) is not required for SRs with which UNDP is engaged using the Direct Implementation Modality (DIM). Expenditure under this modality falls within the scope of the DIM audit regime.
- Audit of SR internal control and systems (Deliverable 2) is not required for grants that are closing in the year the audit is scheduled. A financial audit, however, remains a requirement if the criteria detailed in the annual OAI Call Letter for HACT Audit Plans are met.
- The consolidated report (Deliverable 3), which is designed to provide a consolidated summary of audit findings and trends across multiple SRs and grants is not necessary if only one SR is being audited or when only a financial audit (Deliverable 1) is required (see exception no. 2).
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