January 30, 2006

Construction Contracts Audit Work Program

The audit objectives of this work program is to evaluate the adequacy of internal controls over the construction project; determine the extent of compliance with the terms of the contract; verify the propriety of the amounts paid for construction; identify and quantify overcharges to the construction project; and determine that assets are properly classified and componentized. Steps in this work program include reviewing bid documentation, evidence of contractor and subcontractor billings, and approval of change orders.