The Bureau of Reclamation Should Improve Transparency in Inflation Reduction Act-Funded Drought Mitigation Agreements and Check to Ensure Funds Are Not Awarded to Excluded Parties

Date Issued

Friday, April 10, 2026

Submitting OIG

Department of the Interior OIG

Agencies Reviewed/Investigated

Department of the Interior

Report Number

2023-WR-035

Report Description

We found that BOR complied with required laws and regulations when awarding drought mitigation funds but there are opportunities for improvement.

Report Type

Audit

Agency Wide

Yes

Number of Recommendations

Questioned Costs

Funds for Better Use

Report updated under NDAA 5274

External Link

Open Recommendations

This report has 3 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use
2023-WR-035-01	No	$0	$0
We recommend that BOR implement a method for publicly reporting more detailed data regarding Inflation Reduction Act funds awarded to non-Federal entities via miscellaneous obligations.
2023-WR-035-02	No	$0	$0
We recommend BOR immediately require the appropriate staff to review the Federal exclusions list before issuing Inflation Reduction Act-funded agreements and to document the review in the contract file.
2023-WR-035-03	No	$0	$0
We recommend BOR develop and implement policies requiring staff to document review of the Federal exclusions list before issuing agreements that use Inflation Reduction Act funds.