Comments on the Use of Grants-in-Aid for Projects Exceeding One Year

GAO commented on whether: (1) the Department of State had the discretion to make grants-in-aid, which were intended for financing projects for periods not exceeding one year, to corporations for projects that would be completed in the following fiscal year; and (2) grants-in-aid may cover activities or projects contemplated to extend over a period of more than one year from the date of the grant. GAO held that the Department of State Appropriation Act of 1944 gave State the discretion to furnish funds for grants-in-aid regardless of the fiscal year limitation.