On October 2, 2018, the Universal Service Administrative Company (USAC) submitted their Semi-Annual Audit Report to the Federal Communications Commission (FCC). As required by the FCC’s Fifth Report and Order, USAC must submit a semi-annual report to the FCC summarizing the status of all outstanding E-rate audit findings. The report details the process that USAC utilizes to recover improperly disbursed funds. It also provides a summary of audits that may lead to the recovery of previously committed funds.
 
The FCC has recovered $43.1 million and conducted 1631 audits to date. The report further states that there are 39 beneficiary audits that are older than six months with a potential recovery of an additional $26.7 million for which notification letters still need to be issued and the FCC and USAC are working on the recovery process.
 
The Audit report can be viewed here.