New Audit Announcements
December 13, 2018
Mandated by the John S. McCain National Defense Authorization Act for fiscal year 2019
Audit Initiated of the Maritime Administration’s Title XI Program
The Merchant Marine Act of 1936 established the Maritime Administration’s (MARAD) Federal Ship Financing Program (Title XI Program). The program provides loan guarantees to private companies for the construction of ships or the modernization of U.S. shipyards and currently has a loan guarantee portfolio of 23 loans with an outstanding balance of nearly $2.0 billion.
The John S. McCain National Defense Authorization Act for fiscal year 2019 includes a mandate for us to audit the Title XI program. Accordingly, we are initiating an audit to assess MARAD’s policies and procedures for (1) review and approval of loan applications and (2) monitoring the portfolio of existing loan guarantees.