PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 1

PEACE CORPS 

Performance and 

Accountability Report

F I S C A L Y E A R 2 0 1 5
2 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 3

PEACE CORPS 

Performance and 

Accountability Report

F I S C A L Y E A R 2 0 1 5

November 16, 2015

Paul D. Coverdell Peace Corps Headquarters

1111 20th Street NW, Washington, DC 20526

This report is available at peacecorps.gov/docs. 

Send comments or questions to peacecorps.gov/contactus

or to the mailing address above.
4 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

North Africa and 

the Middle East (EMA)

Africa (AF)

Latin America (IAP) Eastern Europe/

Central Asia (EMA)

Caribbean (IAP)

Pacific Islands (IAP)

Asia (EMA)

Where Peace Corps Volunteers Serve

The Caribbean (IAP)

Dominican Republic

Eastern Caribbean:

Dominica

Grenada 

St. Lucia

St. Vincent/Grenadines

Jamaica

Latin America (IAP)

Belize

Colombia

Costa Rica

Ecuador

El Salvador

Guatemala

Guyana

Mexico

Nicaragua

Panama

Paraguay

Peru

North Africa and

the Middle East (EMA)

Morocco

Africa (AF)

Benin

Botswana

Burkina Faso

Cameroon

Comoros

Ethiopia

Ghana

Lesotho

Liberia

Madagascar

Malawi

Mali

Mozambique

Namibia

Rwanda

Senegal

South Africa

Swaziland

Tanzania

The Gambia

Togo

Uganda

Zambia

Pacific Islands (IAP)

Fiji

Micronesia:

 Federated States 

 of Micronesia

 Palau

Samoa

Tonga

Vanuatu

Eastern Europe/

Central Asia (EMA)

Albania

Armenia

Georgia

Kosovo

Kyrgyz Repulic

Macedonia

Moldova

Ukraine

Asia (EMA)

Cambodia

China

Indonesia

Mongolia

Nepal

Philippines

Thailand

Timor-Leste

EMA | Europe, Mediterranean and Asian Region

IAP | Inter-America and the Pacific Region

AF | Africa Region

i | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 5

Letter from the Director

Mission and Overview of the Peace Corps

Core Values and Organizational Structure

Work of the Volunteers

Performance Overview and Highlights

Looking Forward

Analysis of Financial Statements

Analysis of Systems, Controls, and Legal Compliance

Management Assurances

 

Introduction

Performance Results by Strategic Objective

1. Volunteer Well-Being

2. Service Opportunity of Choice

3. Development Impact

4. Cross-Cultural Understanding

5. Continuation of Service

6. Diversity and Inclusion

7. Site Development

8. Train Up

9. High-Performing Learning Organization

10. Global Connectivity

11. Measurement for Results

Evaluation and Research 

Message from the Chief Financial Officer

Financial Statements (Audited)

Notes to the Financial Statements (Audited)

Inspector General’s Audit Transmittal Letter

Auditor’s Report

Inspector General’s Statement on the Peace Corps’ 

Management and Performance Challenges

Summary of Financial Statement Audit and Management Assurances

Appendix 1 – Status of Audit Weaknesses 

Appendix 2 – Verification and Validation of Performance Data

Appendix 3 – Glossary of Acronyms 

iii

3

4

7

20

31

37

40

42

45

47

48

51

56

60

63

66

69

72

75

78

81

85

95

96

100

113

116

133

144

147

150

153

Contents

THE DIRECTOR OF THE PEACE CORPS

MANAGEMENT’S DISCUSSION AND ANALYSIS

PERFORMANCE SECTION

FINANCIAL SECTION (INCLUDES AUDITED INFORMATION)

OTHER INFORMATION

APPENDICES
iii | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

The Director of the Peace Corps

Washington, D.C.

On behalf of our Volunteers and staff around the world, I am pleased to present the Peace Corps’ Performance 

and Accountability Report for FY 2015. This report provides financial and performance information that enables the 

President, Congress, and the public to assess the progress our agency has made over the past year toward achieving 

its strategic objectives, demonstrating accountability, and increasing operational effectiveness. 

When the agency was established in 1961, the Peace Corps was an innovative idea; today, more than 220,000 

returned Peace Corps Volunteers demonstrate the enduring strength of that idea. They have represented the 

United States in 140 countries and have left behind a legacy of shared values, improved relations, and sustainable 

community-based development. Their work—and that of our staff—is linked by a common effort to advance the 

agency’s mission through three strategic goals:

1. Building Local Capacity: Advance local development by strengthening the capacity of local 

communities and individuals through the service of trained Volunteers.

2. Sharing America with the World: Promote a better understanding of Americans through Volunteers who 

live and work within local communities.

3. Bringing the World Back Home: Increase Americans’ awareness and knowledge of other cultures and 

global issues through Volunteers who share their Peace Corps experiences and continue to serve upon 

their return.

As of September 30, 2015, 6,919 Volunteers are serving in 63 countries to accomplish these goals. In FY 2015, 

Congress appropriated $379.5 million (compared to $379 million in FY 2014) to support the work of Peace Corps 

Volunteers and the agency’s operations around the world. 

In FY 2015, the agency reopened its program in Comoros after a 20-year absence, restarted suspended programs 

in Ukraine and Liberia, and continued moving forward with plans to open or reopen programs in Myanmar (Burma) 

and Timor-Leste in FY 2016. The agency also made several operational decisions in FY 2015 to safeguard the 

health, safety, and security of our Volunteers. The program in Azerbaijan was suspended due to lack of agreement 

with the host government, and Volunteers were removed from Jordan due to regional security concerns.

The health, safety, and security of our Volunteers remain the Peace Corps’ highest priorities. Improvements to the 

Sexual Assault Risk Reduction and Response (SARRR) program mandated by the Kate Puzey Peace Corps Volunteer 

Protection Act of 2011 continue as the agency incorporates a series of proactive training modules for staff service 

providers into the program. In addition, in July 2015, the agency launched a 24-hour anonymous sexual assault 

hotline—Peace Corps Sexual Assault Volunteer Education and Support (PC SAVES)—for all Volunteers worldwide.

During FY 2015, the Peace Corps joined the White House Let Girls Learn initiative to expand access to education 

for adolescent girls and young women around the world. Peace Corps Volunteers who live and work at the grassroots 

level have established the program in 11 countries during its first year, working to identify barriers to girls’ 

education and empower local leaders to put lasting solutions in place. 
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | iv

Over the course of the past several years, the Peace Corps has undertaken the largest reform effort in agency 

history to improve its operations and provide better support to Volunteers. These changes have resulted in improved 

efficiencies that provide the basis for the agency to increase the number of Volunteers toward 10,000 in a managed 

and sustained way. FY 2015 marks the first full year that all Peace Corps applicants were able to choose their 

country of service and apply to specific programs through a streamlined application. Previously, just one in four 

candidates who started the application completed it. During FY 2015, that number skyrocketed to nine out of 10. 

The agency has also significantly reduced the length of time between the date a candidate applies and the date he 

or she is invited, from an average of seven months in FY 2014 to four months in FY 2015.

During FY 2015, the agency received 22,956 applications for two-year service positions—the highest number of 

applications received since 1975. Of these applicants, 36 percent self-identified as an ethnic or racial minority. 

When combined with applications to the Peace Corps Response program, the agency received a total of 24,848 

applications in FY 2015, demonstrating great interest among the American people to serve in the Peace Corps. 

Detailed analysis of the accomplishments and challenges related to each of the agency’s 11 strategic objectives in 

FY 2015 may be found in the Performance Overview and Highlights Section.

Independent external auditors rendered an unmodified (clean) audit opinion on the agency’s financial statements, 

with no material weaknesses identified by the auditors or through internal managerial reviews. My Unmodified 

Management Assurance Statement, along with that of the chief financial officer, in the Management Assurances 

Section provides reasonable assurance that the internal controls and financial management systems meet 

the specified objectives in the Federal Managers’ Financial Integrity Act (FMFIA) with the exception of one 

nonconformance with the Federal Information Security Modernization Act of 2014. In accordance with OMB 

Bulletin No. 15-02, this is not considered a material weakness. The Peace Corps continues to prioritize resolution 

of the management and performance challenges issued by the Inspector General as well as long-standing audit 

significant deficiencies.

For the eighth consecutive year, the agency was awarded the Certificate of Excellence in Accountability Reporting 

from the Association of Government Accountants for its FY 2014 Performance and Accountability Report. The 

Peace Corps was also the only agency to receive the Best in Class award for the Most Comprehensive and Candid 

Presentation of Forward-Looking Information. Both awards reflect our sustained commitment to accountability and 

performance management. 

The financial and performance data presented in this report are reliable and complete.

As we celebrate the agency’s 55th anniversary in the coming year, the Peace Corps is better positioned than 

ever before to make a measurable difference in communities across the globe, in the lives of Volunteers, and in 

communities across our nation. 

Carolyn Hessler-Radelet, Director

November 16, 2015
1 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S

DISCUSSION AND

ANALYSIS 

Peace Corps Volunteer plants a tree with 

a fellow community member in Ghana.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 2
3 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

Mission and Overview of the Peace Corps 

OUR MISSION

To promote world peace and friendship through community-based 

development and cross-cultural understanding

OUR VISION

To be a dynamic, forward-leaning champion for international 

service, defined by its energy, innovation, and development 

impact 

WHO WE ARE 

The Peace Corps has been a leader in international development 

and citizen diplomacy for more than 50 years across 140 

countries. In a profoundly interdependent world, we tackle 

challenges that know no borders—such as climate change, 

pandemic disease, food security, and gender disparities.

Initially established by President John F. Kennedy by 

executive order on March 1, 1961, the Peace Corps was 

formally authorized by Congress on September 22, 1961, with 

passage of the Peace Corps Act. 

Since its inception, the Peace Corps has been inspired by 

a mission of world peace and friendship. It functions as an 

independent agency within the executive branch of the U.S. 

government. 

Today, the Peace Corps is more vital than ever, working in 

collaboration with partner organizations and using cuttingedge technologies and best practices to enhance its 

development impact. 

The Peace Corps advances its mission through the work 

of its Volunteers—Americans who live and work abroad to 

tackle the most urgent needs of people around the world. 

Rather than providing monetary assistance to countries, the 

agency sends Volunteers to share their skills and experience 

while living and working alongside local individuals and 

communities. This unique community-based approach to 

development emphasizes intercultural understanding, capacity 

building, and sustainable results. Volunteers advance citizen 

diplomacy, build local capacity, and bring critical new skills 

and knowledge back to the United States. The experience they 

acquire while serving—whether it be professional growth in 

intercultural settings, a new language, or technical expertise—

are invaluable to the United States, as is the commitment to 

public service that the Peace Corps hones and instills.

PEACE CORPS FACTS

HISTORICAL

Officially established:

Americans who have served:

Total host countries served:

Country that has hosted the 

most Volunteers historically:

CURRENT

Host countries:

Total Volunteers:

Largest program:

Gender:

Racial/ethnic minorities:

Average age:

Volunteers over 50:

March 1, 1961 

220,000

140

Philippines (8,979)

63

6,919

Senegal (283 Volunteers)

63% female; 37% male

28% of Volunteers

28

7%

“The problems of the world cannot 

possibly be solved by skeptics or 

cynics whose horizons are limited 

by the obvious realities. We need 

men who can dream of things that 

never were and ask ‘why not?’”

–President John F. Kennedy
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 4

MANAGEMENT’S DISCUSSION AND ANALYSIS

CORE VALUES

The Peace Corps advances its mission through the work of its 

Volunteers. The agency is structured to address the unique 

needs of Volunteers while they serve in local communities, often 

under hardship conditions. The following core values shape 

and guide decisions at all levels in the agency to support the 

thousands of Volunteers serving around the world.

Core Values and Organizational Structure 

INNOVATION

The Peace Corps utilizes innovative approaches and 

technology to solve both persistent and emerging operational 

challenges and to advance local development. 

VOLUNTEER WELL-BEING

The Peace Corps works to provide a safe, healty, and 

productive service for every Volunteer. The safety, security, and 

physical and emotional health of Volunteers are the agency’s 

top priorities. 

QUALITY AND IMPACT

The Peace Corps pursues quality improvements to strengthen 

its programs while maintaining a meaningful global presence. 

COMMITMENT TO 

NATIONAL SERVICE

The Peace Corps seeks to expand opportunities for Americans 

to serve their country by volunteering their time in the service 

of others. 

DIVERSITY AND INCLUSION

The Peace Corps actively supports a culture of inclusion that 

builds on the strengths of the diversity of the American public 

and of the countries in which we serve. 

EVIDENCE-BASED DECISIONS

The Peace Corps uses high-quality data and evidence to 

focus resources on agency priorities, inform performance 

improvements both in the field and at headquarters, and 

promote institutional learning. 
5 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

OUR ORGANIZATION

In FY 2015, the Peace Corps maintained active programs in 

63 countries, administered by 59 overseas posts. The program 

in Jordan was temporarily suspended due to security concerns, 

and operations in Azerbaijan were suspended after 11 years due 

to a lack of agreement with the host government. FY 2015 also 

marked the return of Peace Corps Volunteers to Comoros after 

20 years—the first re-entry since the agency announced the 

return of Volunteers to Nepal in 2012. Additionally in FY 2015, 

the agency restarted previously suspended programs in Ukraine 

and Liberia and continued moving forward with plans to open a 

program in Myanmar (Burma) and to reopen a program in 

Timor-Leste in FY 2016. 

Each post is led by a country director and supported by safety 

and security, medical, programming, financial, training, 

and administrative staff. Overseas posts are organized into 

three geographically based regions: Africa (AF); Europe, 

Mediterranean, and Asia (EMA); and Inter-America and the 

Pacific (IAP).

The Peace Corps’ domestic operations consist of supporting and 

providing strategic guidance to overseas posts, recruiting and 

selecting future Volunteers, promoting programs to encourage 

returned Volunteers to continue contributing to the Peace Corps 

mission, and performing central oversight functions. 

An organizational chart follows.

Director Carrie Hessler-Radelet

Office of Congressional 

Relations

Office of the

Office of Civil Rights General Counsel and Diversity

Deputy Director

Office of Inspector

General

White House Liaison

Senior Advisors

Office of Victim

Advocacy

Office of the Chief

Information Officer

Executive Secretariat

Office of Third Goal

and Returned

Volunteer Services

Chief of Staff

Deputy Chief

of Staff

Office of

Management

Chief Compliance

Officer

Office of Strategic 

Information, Research, 

and Planning

Peace Corps Organizational Chart

Office of Strategic

Partnerships Office of 

Communications

Office of Volunteer

Recruitment

and Selection

Office of Safety

and Security

Office of the Chief 

Financial Officer

Office of Global 

Operations

Office of 

Innovation

Office of Health

Services

Overseas

Posts

Overseas

Posts

Overseas

Posts

Office of 

Programming and 

Training Support

Office of Global 

Health and HIV

Peace Corps

Response

Africa Region

Europe, 

Mediterranean, and

Asia Region

Inter-America and

the Pacific Region

5 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 6

MANAGEMENT’S DISCUSSION AND ANALYSIS

OUR PEOPLE

In addition to its Volunteers, the Peace Corps’ workforce—

consisting of 1,109 U.S. direct hire staff and 2,938 host 

country staff (including short-term language and cross-cultural 

training staff)—is its greatest asset. The unique combination 

of U.S. direct hire staff and host country staff creates a flexible 

and vibrant workforce. The Peace Corps believes that having a 

diverse and inclusive agency is necessary to achieve its mission. 

As reflected in the agency’s core values, inclusion is a staff 

development principle that the Peace Corps actively pursues. 

Recognizing that the long-term success of the agency in 

achieving its goals depends on having varied perspectives that 

drive innovation, the Peace Corps continues to build a culture of 

inclusion for its workforce by

1. Building an organizational culture that connects each 

staff member to the Peace Corps mission,

2. Encouraging collaboration, flexibility, and fairness, and 

3. Leveraging the diversity of skill sets throughout the 

agency so that all individuals are able to participate 

and contribute to their full potential.

By actively developing a culture of inclusion, 

the Peace Corps is able to maximize staff skills, 

talents, and overall performance. 

Recruiter Territories

Regional Office Breakdown

West Coast 

Southwest 

Midwest 

Southeast 

Northeast

Seattle 

Office

San Francisco 

Office

Los Angeles

Office

Washington, D.C.

Office

Atlanta

Office

Dallas

Office

Chicago

Office

New York City

Office

The Peace Corps headquarters is located in Washington, D.C., 

and regional recruitment offices are located in Atlanta, Chicago, 

Dallas, Los Angeles, New York City, San Francisco, and Seattle.

PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 6
7 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

The Peace Corps’ approach to development is unique. Rather than providing direct monetary aid to host country governments, the 

agency provides technical assistance to local communities through the work of skilled Volunteers. By speaking local languages 

and living and working side by side with local partners and beneficiaries, Volunteers build mutual trust and develop a deep 

understanding of community needs and capacity. This enables the Peace Corps to contribute to host country development at the 

local level—where the world’s most persistent development challenges have a direct human impact.

Work of the Volunteers

The Work We Do

The Peace Corps’ Approach to Development

Countries invite 

the Peace Corps 

to address their 

development 

goals. Volunteers 

are requested 

directly by local 

schools, 

government 

offices, and other 

organizations. 

Volunteers live 

and work at the 

local, grassroots 

level.

Volunteers learn 

local languages 

and cultures and 

build 

relationships 

and trust with 

people in their 

host 

communities.

Volunteers use 

their knowledge 

of the local 

context to 

collaborate with 

host country 

partners on 

projects that 

address 

community 

needs.

By working 

closely with host 

country 

counterparts, 

Volunteers 

strengthen the 

capacity of local 

individuals and 

communities to 

solve their own 

problems.

Local conditions 

are improved 

and those 

improvements 

are sustained 

after Volunteers 

leave.

Volunteers’ work is not solely designed to advance local development outcomes (Strategic Goal One). To fully advance the Peace 

Corps mission, Volunteers are also tasked with building a better understanding of Americans in host country communities during 

their service (Strategic Goal Two). During and after their service, Volunteers serve as cultural ambassadors and are charged with 

increasing Americans’ knowledge of other cultures (Strategic Goal Three). Returned Volunteers continue their service as global 

citizens by seeking opportunities to engage in public service and foster intercultural understanding here at home. The three 

Peace Corps strategic goals are dependent upon and reinforce one another, and Volunteers regularly contribute to each of them 

while working in their communities. 
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 8

MANAGEMENT’S DISCUSSION AND ANALYSIS

Since the Peace Corps was established in 1961, more than 220,000 Americans have served in 140 countries as Peace Corps 

Volunteers. They have left behind a legacy of friendship and a strong commitment to sustainable community-based development. 

The Peace Corps is devoted to increasing its presence across the world while also preserving and strengthening long-standing 

relationships with its existing partners and host countries. Some countries have welcomed Volunteers for over 50 years, providing an 

opportunity for service that the agency greatly appreciates and will continue to honor through the work of its Volunteers.

WHERE THE VOLUNTEERS SERVE

Longest Running Peace Corps Posts

Health

Community

Economic

Development

Environment

Youth in

Development

Agriculture

24%

8%

10%

10%

6%

Education

37%

Peace Corps 

Response

4%

PEACE CORPS PROGRAMMATIC SECTORS

Volunteer projects vary across the world, as they are designed 

to respond to local needs. Volunteers’ work falls within six 

programmatic sectors: Agriculture, Community Economic 

Development, Education, Environment, Health, and Youth in 

Development. Peace Corps Response Volunteers are in a special 

category and work on short-term, high-impact assignments that 

may be in one or more of these sectors. 

Longest Running Peace Corps Posts

Ghana

Cameroon

St Lucia

Ecuador

Belize

Dominican

Republic

Jamaica Senegal

Thailand

Togo

Posts since 1961 | 54 Year Duration

Posts since 1962 | 53 Year Duration

Countries in which Volunteers have served 
9 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

additional income to purchase food during Ghana’s “hungry 

season.” The environment is also improved, as beekeeping 

precludes the use of chemical herbicides or pesticides. Group 

members pooled their financial resources and acquired the 

necessary materials. The Volunteer conducted training workshops 

to teach the farmers how to build beehives and use proper 

beekeeping practices. The hives were successfully colonized, and 

a buyer has been purchasing the honey. Group membership has 

nearly doubled, more hives have been constructed, cashew yields 

and the farmers’ yearly incomes have increased, and the use of 

chemicals has decreased.

VOLUNTEER VOICE: BAKING IN ZAMBIA 

“Part of the Peace Corps mission is for Volunteers to bring 

various aspects of American culture to their respective host 

countries and communities. In many cases, the importing of 

American culture is inspired by the things that we miss from 

back home—whether that is American movies, music, or, in the 

case of this story, baked goods.

In my community, I bake on special occasions. In return for 

sharing my food, my host family shares their food as well, 

whether munkoyo (a fermented drink), fried termites, or 

pumpkin. Beyond the sharing of material foods, there is also the 

sharing of knowledge of how to prepare these foods—where to 

find the bark or root for the munkoyo drink or what the role of 

baking powder in baked goods is. 

As my host mother watched me bake more and more pastries, 

cakes, and breads, she decided it would be worthwhile to 

organize a training on the subject for community members. 

Twenty-seven individuals attended a hands-on practicum where 

they discussed the basics of baking, how to turn baking into a 

viable income-generating activity, and how to include locally 

available ingredients. Finally, community members got their 

hands messy by baking pumpkin, banana, and vitamin A-rich 

AGRICULTURE

Volunteers: 444 (6 percent)

Countries: 10

Agriculture Volunteers work with small-scale farmers and 

families to increase food security and production and adapt to 

climate change while promoting environmental conservation 

practices. They introduce farmers to techniques that prevent 

soil erosion, reduce the use of harmful pesticides, and replenish 

the soil. Volunteers work alongside farmers on integrated 

projects that often combine vegetable gardening, livestock 

management, agroforestry, and nutrition education. 

Additional information on the Agriculture sector can be found 

at peacecorps.gov/agriculture. 

Selected work by Agriculture Volunteers:

Improved rice production in Madagascar: A Peace Corps 

Volunteer in Madagascar introduced the System of Rice 

Intensification (SRI), a harvest-increasing rice farming 

technique, to a group of 40 lead farmers in her Farmer Field 

School. Her goal was to assist these farmers in producing 

more rice for their personal consumption and for sale in the 

local markets. SRI uses less seed and water, does not require 

off-farm resources, and can double or even triple rice yields. 

Most of the lead farmers have rice fields in high-visibility areas, 

creating great interest in SRI by other rice growers. Since 

learning this technique and seeing the improved results, many 

of the lead farmers have started to train fellow rice growers. 

Trees for improved nutrition and livelihoods in Nepal: One 

Volunteer in Nepal started a tree project that focused on 

providing women, schools, and communities the opportunity 

to produce fruit trees that would provide additional sources of 

nutrition and income. Mango, lemon, lime, pear, lychee, orange, 

papaya, pomegranate, and guava trees were initially distributed 

to different localities and community members. The project 

was so successful at attracting interest that it was subsequently 

expanded to provide trees for other uses such as animal fodder, 

wood for construction and fuel, live fencing, and erosion control 

and prevention. Individuals receiving trees were instructed on 

proper planting techniques and how to best maintain and care for 

their trees. The tree project proved to be a great success with over 

12,000 trees distributed to 200 individuals, including several 

women’s groups, six schools and their respective communities, 

six village development committees, and one municipality.

Cashew farming and beekeeping in Ghana: A group of cashew 

farmers in rural Ghana approached the local Volunteer about 

forming a beekeeping association. Cashew farming and 

beekeeping are a natural fit. When bees pollinate cashew flowers, 

they increase the nut yield, and the honey provides farmers with 

1

2

3
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 10

MANAGEMENT’S DISCUSSION AND ANALYSIS

sweet potato cakes. We even constructed measuring devices out 

of old plastic bottles so that the participants could utilize the 

recipes provided during the training when they returned home. 

I left the training with high hopes, thinking that people would 

adopt the baking techniques soon, but they did not. They simply 

did not have the confidence that following the same recipe 

and procedure as during the training would produce the same 

results. However, when the local agriculture show (a competition 

among cooperatives) came to our district, the cooperatives in 

my area were able to apply what they had learned, and the 

results surprised even the most confident members. The judges 

even came back at the end to buy the remaining cakes. I had 

cooperative members coming over to my house saying, ‘Keki ya 

tanje zanoa chomene! Tamanya chomene kuphika keki.’ (‘The 

pumpkin cake was very delicious! We know how to cook them 

very well.’) After this initial success—achieved completely by 

themselves—the cooperative members continued to become 

more confident, baking cakes for a district agriculture show and 

for a competition put on by the first lady of Zambia.”

COMMUNITY ECONOMIC 

DEVELOPMENT

Volunteers: 573 (8 percent)

Countries: 21

Community Economic Development Volunteers work with a 

variety of community stakeholders at the business/organization, 

household, and individual level. Volunteers help entire 

communities improve market linkages for local businesses, 

counsel cooperatives, assist microfinance institutions and 

savings and loan associations, support the formation of women’s 

savings groups, teach business and financial literacy courses, 

provide agricultural value chain technical assistance to smallscale farmers, and organize business plan competitions for youth 

to inspire entrepreneurship, among countless other activities. 

Additional information on the Community Economic 

Development sector can be found at peacecorps.gov/business. 

Selected work by Community Economic 

Development Volunteers:

Professional curriculum development and technical training 

support in Mexico: Volunteers in Mexico partnered with 

universities, research centers, vocational centers, and high 

schools to strengthen both the technical curricula of institutions 

and the technical skills of individuals. One Volunteer led a 

committee of professors through a review of the university’s 

material science and engineering master’s and doctorate 

program curricula in order to enrich technical components. 

Another Volunteer developed a training-of-trainers workshop 

to equip teachers with the skills, materials, curricula, and 

career support approaches needed to implement computational 

thinking courses in Mexican high schools.

1
11 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

Soy-based food products in Burkina Faso: Volunteers in Burkina 

Faso supported women’s groups in transforming the abundant 

soybean crop in order to promote income-generating activities 

and increase household food security. Specifically, Volunteers 

trained groups on post-harvest transformation techniques to 

turn soy into yogurt, milk, tofu, and other food products. These 

value-added soy products reduce the amount of post-harvest 

food waste (by transforming soybeans that otherwise would not 

sell) and generate additional income that empowers women 

to meet their families’ household, health, nutritional, and 

educational needs. One Volunteer provided ongoing assistance 

to the women’s soy cooperative in her village, helping the group 

calculate profit margins, package and advertise the products 

at a regional food market, and develop a contingency plan for 

maintaining steady inventory levels in cases of primary material 

supply interruption.

Open government and citizen engagement efforts in Albania: One 

Volunteer in Albania identified an opportunity for his community 

related to a U.S. Agency for International Development (USAID) 

local governance project that establishes citizen advisory 

panels. The Volunteer helped leaders in his host community 

enroll in the USAID project in order to form their own citizen 

advisory panel. With the Volunteer’s support, the newly formed 

advisory panel brainstormed ways to promote increased 

community involvement in local affairs. The advisory panel 

decided to organize a fall wine festival where local vintners, 

members of both political parties, and the public could learn 

about opportunities for citizen engagement amid food, wine, 

live music, and fun. The citizen advisory panel continues 

to hold monthly meetings to engage citizens in the political 

process and serves as a liaison between public interests and the 

local government.

VOLUNTEER VOICE: INSPIRING YOUTH 

ENTREPRENEURSHIP IN PARAGUAY

“I have worked since March with the Paraguay Emprende

(‘Startup Paraguay’) initiative, a collaborative effort of Peace 

Corps/Paraguay, the national government’s Secretary of Youth, 

the Cooperativa Universitaria, and the Asociación de Jóvenes 

Empresarios, a nonprofit network of young entrepreneurs. I am 

happy to announce that we held our largest National Workshop 

and Business Plan Competition ever in August, awarding 

nearly US$16,000 in fundraised startup capital to promising 

Paraguayan youth entrepreneurs whose business plans were 

judged the most likely to yield both sustainable enterprises and 

a positive community impact. 

The 2015 event theme, Realizar Tus Sueños (‘Achieve Your 

Dreams’), highlighted the possibility for Paraguayan youth 

to convert their entrepreneurial dreams into reality. Sessions 

during the three-day workshop concentrated on promoting the 

entrepreneurial spirit and on business plan implementation, 

networking, and financing. The expertise of Paraguayan 

organizations such as KOGA, a social enterprise incubator, and 

Fundación CIRD, an economic development nonprofit, enriched 

the delivery of these topics.

By the end of the workshop, 57 youth participants representing 

11 departments of Paraguay presented their business plans, 

which had been developed over the past several months in 

entrepreneurship courses. 

My fellow Community Economic Development Volunteers are 

actively engaged in co-facilitating these courses at their sites 

and pairing promising youth entrepreneurs with adult mentors 

who coach them throughout the local, regional, and national 

competition process. As the Paraguay Emprende initiative 

continues to grow in reach and strength with each new Peace 

Corps/Paraguay group, Volunteers are finding new opportunities 

and ever more creative ways to promote business development 

among the youth population in Paraguay.”

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MANAGEMENT’S DISCUSSION AND ANALYSIS

VOLUNTEER VOICE: BUILDING STRONG RELATIONSHIPS 

WITH STUDENTS AND TEACHERS IN JAMAICA

“My primary assignment is to provide individual tutoring for the 

struggling readers at my school. Despite the lack of resources, 

I try to create an environment where technology and creative 

learning is present in every session. Through interactive lessons 

and tutoring, I was able to help improve the literacy and 

achievement rates of my students. I consider a large part of my 

success to be based on the strong relationships I have built with 

my students and the teachers with whom I work. 

If I could give future Volunteers one piece of advice, it would 

be to find a way to bring something that you love and are 

passionate about into your service. For me, that was volleyball. 

Many of the children in my school had never played volleyball 

before and were eager to learn. I established a volleyball club 

and helped the kids organize practice and matches. Soon, the 

children were traveling outside of their small village to play 

other schools. By the end of the year, the school’s volleyball 

team was traveling to Kingston to participate in the national 

championship tournament. Many of the children had never been 

to Kingston, and the experience opened their world. The Peace 

Corps has been a truly life-changing experience for us all.”

EDUCATION

Volunteers: 2,580 (37 percent)

Countries: 40

The Peace Corps’ Education projects focus on capacity building 

of counterparts and teachers, increasing student achievement, 

and engaging community members in school improvements 

and student learning. Education Volunteers work in the areas 

of Teaching English as a Foreign Language (TEFL), childhood 

literacy, and promoting math, science, and technology in 

schools. In addition to teaching and co-teaching with host 

country counterparts, Volunteers facilitate a wide variety of 

extracurricular activities for students and develop communities 

of practice for teachers. 

Additional information on the Education sector can be found at 

peacecorps.gov/education. 

Selected work by Education Volunteers:

Literacy resource development in Tonga: More than two dozen 

Volunteers in Tonga trained local teachers and artists to create 

and use culturally appropriate literacy instruction materials, 

developing over 30 books for primary-school students. The 

Tongan Ministry of Education has endorsed the use of these 

books in the 26 schools where the Volunteers currently serve, 

and the ministry plans to print the series of books for all primary 

schools nationwide. Once the project has been implemented 

across the country, approximately 16,000 Tongan children will 

be using these books. 

Literacy instruction training in The Gambia: More than 30 

Volunteers in The Gambia trained teachers on how to read aloud 

to primary-school children through a series of workshops known 

as the “Literacy Bike Trek.” Six groups of Volunteers traveled by 

bicycle to village schools and conducted interactive workshops 

with teachers about reading aloud to students. At the end of 

the series, 239 trained teachers were able to participate in the 

global literacy event, World Read Aloud Day. 

Teaching English as a Foreign Language programs in Nicaragua: 

Nearly 60 TEFL Volunteers in Nicaragua provided free, highquality English language classes in multiple regions of the 

country. As secondary projects, Volunteers taught every English 

teacher in the department of Esteli, Nicaragua. All TEFL 

teachers received free English classes every weekend, supported 

and sponsored by Fundación Uno, and taught by various TEFL 

Volunteers from around the country. 

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MANAGEMENT’S DISCUSSION AND ANALYSIS

VOLUNTEER VOICE: HELPING A COMMUNITY 

CONFRONT WATER SHORTAGES IN JAMAICA

“Jamaica is the ‘Land of Wood and Water,’ but water is getting 

hard to come by. As once-reliable sources dwindle, many 

households will no longer have water. 

Residents of one rural community designed their own water 

supply project to make water available to the community. They 

found a water source and laid out a pipeline route, but it was 

difficult to get funding from the local government since material 

costs were high, and the group did not have the resources to 

find grant opportunities or research funding sources. 

The residents met the new Peace Corps Volunteer in their 

community (me) and eventually invited me to participate in the 

group. The project was discussed at a monthly meeting in May, 

and the group asked if I could help them find a funding source. 

In June, we had a project design workshop, visited the field 

location, and employed additional local resources, including a 

plumbing professional, to finalize the plan. The project fit well 

with the funding opportunity, and the group decided to proceed 

with the application. 

To have a project find me—rather than the other way around—

has been a special moment in my service. Community members 

had gotten to know me, we built trust and a relationship, and 

only then did they feel confident enough to bring forward their 

idea and project. All of that is to say that the community and 

group had this figured out and, when I came on board, all that 

was required was to get the information into one place. Time 

and trust led to a community having access to domestic water—

and that is true service.”

ENVIRONMENT

Volunteers: 707 (10 percent)

Countries: 18

Environment Volunteers engage in a wide range of projects 

to help people worldwide live sustainably, ensuring that a 

healthy environment can provide the resources necessary 

for the well-being of current and future generations. Among 

other grassroots efforts, Environment Volunteers help local 

communities to reforest hillsides, control soil erosion, install 

renewable energy devices, construct fuel-efficient cookstoves, 

carry out sustainable agriculture practices, handle solid waste, 

and educate schoolchildren and adults on environmental issues. 

Volunteers assist their communities in implementing sold waste 

management programs, constructing fuel-efficient cookstoves, 

and planting trees. 

Additional information on the Environment sector can be found 

at peacecorps.gov/environment.

Selected work by Environment Volunteers:

Environmental education coaching in Nicaragua: Thirty-seven 

Volunteers in Nicaragua brought environmental education into 

the classroom by working alongside more than 120 school 

teachers. The Volunteers coached the teachers on a variety 

of innovative teaching approaches, introducing improved 

classroom-management techniques, practicing scientific 

methods techniques outdoors, using puzzles and games like 

“Science Jeopardy” to energize students, and facilitating 

environmental debates. As a result, teachers replicated the 

training provided by Volunteers, and the Nicaraguan Ministry of 

Education developed an annual environmental plan for primary 

schools, including technical support for teachers.

“Earth Hour” in Paraguay: Earth Hour is a global campaign 

that seeks to combat climate change and raise environmental 

awareness and responsibility. Peace Corps/Paraguay worked with 

local schools and small businesses to lead a torch-lit procession 

of over 130 participants, culminating in the formation of a 

large “60+” (the global symbol for Earth Hour) with candles 

at the ruins of an 18th-century Jesuit mission in Paraguay, a 

UNESCO (United Nations Educational, Scientific and Cultural 

Organization) World Heritage Site. 

Soil conservation in Zambia: Thirty-six Volunteers and their 

counterparts trained over 360 small-scale farmers to carry out 

new and improved soil conservation practices. These practices 

included introducing nitrogen-fixing trees into maize fields, 

implementing a range of soil enhancement measures, organizing 

grazing regimens, and incorporating other conservation farming 

techniques. Volunteers observed that farmers adopting these 

practices enjoyed successful farming seasons in spite of an 

extended drought that afflicted much of East Africa.

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PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 14

MANAGEMENT’S DISCUSSION AND ANALYSIS

FROM THE FIELD: THE PEACE CORPS DIRECTOR VISITS 

THE BUENA ESPERANZA DE PICHINCHA RECYCLING 

ASSOCIATION 

In July 2015, Director Hessler-Radelet visited a Peace Corps 

Volunteer and a group of women in Quito, Ecuador, who make 

their living collecting and selling recyclable materials. The 

women are primarily single mothers whose sole source of 

income was the sale of these items. The Volunteer encouraged 

the use of basic protective gear (face masks, gloves, and hats), 

organized the women into teams for safety purposes, and helped 

them register as a legal association. The Volunteer has coached 

the 13 gestores ambientales, or “environmental promoters,” 

on team building, conflict resolution, and leadership skills to 

facilitate greater collaboration and strengthen the foundation 

of the new association. In addition, she introduced a number 

of innovative approaches for increasing wages: using a plastic 

compressor to convert recyclables before selling them, 

negotiating prices as a collective entity rather than competing 

with one another, and joining a cooperative of local artisans 

who make crafts from recycled materials. As a result of these 

new approaches and their teamwork, many of the women have 

reached the minimum monthly income for receiving health 

benefits and no longer need public assistance. In addition, the 

women now wear uniforms and are known as “recyclers” rather 

than as “scavengers.” This has had a significant impact on their 

perceived self-worth.

“The Volunteer has helped 

us with conflict resolution 

and communication so that 

we can work together as a 

team. Before she arrived, we 

couldn’t understand each 

other as coworkers. Thank 

you, [to our Volunteer], and 

thank you, Peace Corps, for 

sending us this Volunteer who 

has supported us and always 

believes in us.” 

-President of the Buena Esperanza de Pichincha Recycling Association

Translated from Spanish “We do not ‘give’ potential to 

those with whom we work; we 

help them to recognize it and 

build upon it.”

-Director Hessler-Radelet
15 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

Hand-washing and hygiene training in Tanzania: A Volunteer 

in Tanzania worked closely with the headmaster of his 

community’s primary school to mobilize community support for 

the construction of hand-washing stations and 24 toilets (12 

each for girls and boys). To reinforce the importance of good 

hygiene behaviors, the Volunteer also organized training for 

all of the primary-school teachers to educate them on proper 

sanitation and hand-washing techniques.

Healthy homes in Peru: To address high rates of malnutrition 

and acute respiratory infections in children, more than 50 

Volunteers in the Peace Corps’ community health project in 

Peru conducted home visits for mothers with children under 

the age of three to provide educational sessions and counseling 

on childhood disease prevention, hygiene, and early childhood 

stimulation. They reported reaching more than 200 mothers 

with health education messages on childhood illness prevention.

HEALTH 

Volunteers: 1,670 (24 percent)

Countries: 38 

Peace Corps Health Volunteers work alongside community 

members to design and implement culturally appropriate and 

evidence-based activities that build the capacity and resilience 

of communities to effectively respond to their own health 

challenges. Volunteer activities generally focus on promoting 

behavior change, strengthening technical capacity, or organizing 

communities and health workers to provide health services. 

Volunteers’ counterparts may be health facility staff, community 

health workers, community and traditional leaders, women’s 

groups, youth, teachers, community-based organizations, 

nongovernmental organizations (NGOs), or other individuals 

interested in health initiatives. Health Volunteers are aligned 

with key U.S. government partners through whole-of-government 

health initiatives, including the U.S. President’s Emergency 

Plan for AIDS Relief (PEPFAR), the President’s Malaria 

Initiative, Feed the Future, and Saving Mothers Giving Life—all 

components of the Global Health Initiative. 

Additional information on the Health sector can be found at 

peacecorps.gov/health. 

Selected work by Health Volunteers:

Health education and capacity building in Guatemala: More 

than two dozen Volunteers in Guatemala provided training and 

ongoing support to health service providers on health education 

methodologies, such as strategies for behavior change 

communication and models of experiential learning. Through 

these efforts, Volunteers are building the capacity of more than 

400 service providers across the country to conduct improved 

health promotion and outreach related to maternal and child 

health in their communities. 

Youth HIV prevention and soccer in Namibia: Four Volunteers in 

Namibia implemented Grassroot Soccer, an evidence-based 

intervention program proven to reduce risky sexual behavior, 

decrease stigma, and improve students’ knowledge, attitudes, 

and communication related to HIV and AIDS. Using sportsbased activities and analogies that engage young people 

in a fun and accessible way, the Volunteers gained active 

participation of more than 100 youth ranging in age from 

12–19 years old in health and HIV sessions. Worldwide, more 

than 200 Volunteers are engaged in Grassroot Soccer, reaching 

over 9,000 youth in FY 2015.

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MANAGEMENT’S DISCUSSION AND ANALYSIS

VOLUNTEER VOICE: IMPROVING THE QUALITY OF 

COMMUNITY HEALTH SERVICES IN RURAL SENEGAL

“In my small community of 600 people, health services are 

provided through a community health structure known as 

a health hut, which serves my immediate village plus four 

neighboring villages. Shortly after arriving in my village, I was 

struck by how little the community utilized the health hut. If 

someone was sick or needed medicine, they would seek out my 

counterpart—the community health agent—at his house, and 

he would then open the health hut, conduct a consultation, and 

return to his home. In addition, outreach activities conducted 

by our community health workers were done sporadically, 

usually due to external requests by NGO partners or the Ministry 

of Health. Given the inconsistencies in service provision, I 

immediately saw an opportunity to do some basic organizational 

planning to improve the efficiency of services provided at the 

health hut.

I talked with my counterpart and identified all the members 

of our health committee, which had not met in over two years. 

We started by implementing monthly planning meetings and 

created an action plan that included health-promotion activities 

and home visits on topics relevant to health issues in the 

village. Furthermore, my counterpart and I discussed the need 

to set regular hours of operation for the health hut so that 

people would be aware of when they could access services. We 

now have set hours of operation where community members can 

be seen four days a week. We also focused on budgeting and 

management, agreeing to use some of the profits earned to pay 

community health workers a small stipend for their efforts and 

conduct some minor repairs to the health hut.

These changes have been gradual over time, and there are 

more organizational improvements to be made, but the result 

has been a health hut that functions more as it was originally 

intended. Local partners in the area have shared how impressed 

they are with the work we are doing. Even the village has 

noticed that more work is being done at our facility and in the 

community. As a Volunteer, there has been a deliberate focus 

on my part to implement each of these changes as trainings for 

my health workers, instilling in them the confidence and skills 

they will need to continue these processes well after I am gone. 

At first glance, this may not look like a very exciting project, but 

these small organizational changes have made a big impact on 

the effectiveness of the health services in my community.”
17 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

VOLUNTEER VOICE: 

DEVELOPING LIFE SKILLS IN MONGOLIA

“During alcohol awareness week, one of the social sciences 

teachers at my school organized a speech competition where 

students in 10th and 11th grades spoke out about the dangers 

of alcohol abuse. The students became very animated and 

empowered by the opportunity to express their opinions in such a 

manner. Some of them, it seemed, were talented public speakers, 

drawing loud rounds of applause. Yet others, obviously interested 

and trying their hardest, seemed less confident in their abilities.

I approached a social sciences teacher with the idea of creating 

a club in which students could channel this passion and learn 

to express their opinions in a constructive manner within the 

confines of a safe and structured environment. We discussed 

the strong potential for the development of critical-thinking 

skills, which is practically absent in the traditional Mongolian 

curriculum, and decided to form a debate club. We met before 

each session to discuss the lesson plan, but my counterpart was 

fully in charge of the implementation of the strategy, engaging 

the students in the task at hand and honing their skills.

The growth of the members was astounding. The first result I 

observed was the students’ new ability to work in teams toward a 

collective goal with virtually no conflict. They decided as a group 

who would speak in which order and what each person would say. 

Those that lacked confidence were actively encouraged by their 

teammates and the observers. This understanding of teamwork 

and cordial competitiveness gave rise to what I think was the 

most crucial result and the founding objective of the debate club: 

becoming comfortable with public speaking and successfully 

expressing ideas and beliefs through a constructive dialogue. 

Those students that had initially been shy and unsure of their 

talents blossomed into some of the most active participants 

and leaders. Their level of maturity and ability to encourage and 

motivate other students will have far-reaching implications as 

they transition from teenagers to fully grown adults.” 

YOUTH IN DEVELOPMENT

Volunteers: 682 (10 percent)

Countries: 16

Youth in Development Volunteers work with youth on projects 

that promote engagement in their communities and active 

citizenship. Volunteers across all sectors are trained to 

work with youth as community resources and as a means of 

enhancing the impact of their projects. Volunteers work with 

youth to promote healthy lifestyle choices related to sexual and 

reproductive health, physical activity, and substance abuse 

prevention. They prepare youth for work with financial literacy 

and vocational skills and engage youth as active citizens 

through volunteerism and service learning. 

Additional information on the Youth in Development sector can 

be found at peacecorps.gov/youth. 

Selected work by 

Youth in Development Volunteers:

Life skills and leadership in the Philippines: A Volunteer and 

her counterparts implemented a week-long Camp GLOW 

(Girls Leading Our World) for more than 30 girls who had 

been victims of trafficking. The camp’s activities focused on 

building the girls’ self-esteem and knowledge of reproductive 

health, gender, and female empowerment. This is one example 

of how Volunteers globally use camps as a strategy to engage 

young people and invigorate local youth clubs. In the past year, 

45,000 young people attended Volunteer-supported camps. 

Preparation for the world of work in Morocco: A Volunteer and 

his counterpart conducted entrepreneurship classes for 20 

young people in collaboration with a youth-centered nonprofit 

organization, INJAZ (Junior Achievement). In this workshop, 

high-school youth competed in teams to develop business plans 

for a hypothetical greeting card company. Each team’s plan 

was judged for price, originality, creativity, and quality. More 

than 209 young people across Morocco have attended similar 

workshops learning important business planning skills that will 

prepare them for the world of work.

Special Olympics in Mongolia: Volunteers organized Mongolia’s 

inaugural Special Olympics for more than 150 children and 

adults with intellectual disabilities. The competition brought 

together four special-needs schools to give the athletes an 

opportunity to discover new strengths while raising awareness. 

This project is one example of the work done as part of the Peace 

Corps’ long-standing global relationship with Special Olympics.

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PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 18

MANAGEMENT’S DISCUSSION AND ANALYSIS

VOLUNTEER VOICE: MAKING A DIFFERENCE, 

ONE WORD AT A TIME IN THE PHILIPPINES 

“‘Making a difference, one word at a time. That is our 

superpower.’

–A quote from one of my first speech and language pathologist 

interns from the University of Santo Tomas here in the 

Philippines. Oh, the exuberance of youth.

I am a speech pathologist and autism resource specialist with 

over 20 years of experience who came to the Philippines as a 

Peace Corps Response Volunteer to supervise and train interns. 

What a perfect match it has been. When the Peace Corps says 

that Volunteer service is ‘the toughest job you’ll ever love,’ it is 

certainly true. I retired and thought I would take it easy—not 

here. I cannot believe how hard I have worked, and I have loved 

every minute of it. 

The Center for Excellence in Special Education in the 

Philippines (Stepping Stone) is a school with 35 special needs 

students and an additional 35 clients seen on an outpatient 

basis for speech and language therapy and occupational 

therapy. Ninety percent of the children have a medical diagnosis 

of autism, and 50 percent of them are nonverbal.

During my time here, I was able to double our space to 

accommodate four speech pathology interns. My interns came 

with knowledge of theory but limited ability and experience level 

to work with the challenging behaviors that often accompany 

PEACE CORPS 

RESPONSE

Volunteers: 263 (4 percent)

Countries: 31

Peace Corps Response Volunteers provide targeted assistance 

in short-term, specialized assignments worldwide. As part of 

this high-impact program, they undertake assignments of three 

to 12 months in one of the Peace Corps’ six sectors as well as 

in disaster preparedness and response. Peace Corps Response 

Volunteers have advanced language, technical, and intercultural 

skills, enabling them to begin work quickly with their partner 

organizations, which include host country government 

institutions, local and international nongovernmental 

organizations (NGOs), and international development and relief 

organizations. With their ability to engage diverse populations 

effectively and adapt to changing situations, these individuals 

serve as agents of change in their assigned communities. 

Response Volunteers must be returned Peace Corps Volunteers, 

medical professionals, or U.S. citizens with significant 

professional experience. 

Additional information on the Peace Corps Response program 

can be found at peacecorps.gov/response.

Selected work by Peace Corps 

Response Volunteers:

Physician and nurse education in Malawi, Tanzania, and Uganda:

Peace Corps Response places physician and nursing Volunteers 

through the Global Health Service Partnership. Since the 

program launched in 2012, nearly 100 physicians and nurses 

have reached more than 3,500 medical and nursing students in 

sub-Saharan Africa. In FY 2015, 39 nurses and 30 physicians 

taught students both in the clinical wards and in the classroom, 

utilizing best-practice teaching methods, including improvised 

scenarios, problem-based learning, Ask the Professor Rounds, 

and grand rounds. They supported their partner institutions 

and colleagues by developing communities of practice and 

facilitating learning opportunities for both faculty and students. 

Volunteers also strived to create professional development 

opportunities for colleagues, students, and local health-care 

professionals; journal clubs; leadership conferences; and 

departmental needs assessment survey tools. In countries that 

face a critical shortage of health care providers, Response 

Volunteers sustainably improved both the quality of medical 

and nursing education and the breadth of technical knowledge 

transferred to the next generation of health-care professionals 

by implementing practices that facilitate the provision and 

continued dissemination of high-level medical training. 

MANAGEMENT’S DISCUSSION AND ANALYSIS
19 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

people with autism. I have been able to train the interns in 

the use of the Picture Exchange Communication System (a 

communication system for nonverbal children), using visual 

supports, music, social skills, and behavior management.

One of the things I feel has had a big impact on my interns 

is that, at the end of their rotation, I am required to do an 

evaluation of their work. My evaluation is always filled with 

many things I see them doing well. I also list areas to improve 

on, but mostly give them positive reinforcement. I have had 

several young women in tears as they were so unsure of 

themselves and what they were doing. It seems that no one has 

taken the time to encourage them. Many of these young men 

and women will be going back to their provinces, where they 

will be the only speech pathologist in the region. I hope to give 

them encouragement that they will make a difference, ‘one 

word at a time’ and use their superpower.”

VOLUNTEER VOICE: PROMOTING ECOTOURISM AND 

ECONOMIC RECOVERY IN EL SALVADOR

“El Salvador is still recuperating from a devastating civil war 

that wracked the country from 1980–92, leaving at least 

75,000 people dead and tens of thousands more displaced. My 

site was formed in 1990 by repatriated refugees who fled the 

country’s civil war. After nearly a decade in refugee camps in 

Honduras, residents returned en masse 25 years ago to reclaim 

their livelihoods and dignity. 

As part of this process, there is a concerted effort to develop 

tourism along the Ruta de Paz (Peace Highway) from Morazán’s 

capital of San Francisco Gotera to El Salvador’s border with 

Honduras. A butterfly zoo was strategically located along 

this route and is well-positioned to attract the attention of 

vacationers. 

The butterfly exhibit was built in 2008 as an agricultural project 

to raise butterflies, but within two years, it was abandoned 

due to lack of knowledge and support on how to raise and rear 

butterflies. My job was to train local partners on how to cultivate 

butterflies and maintain a healthy habitat for them inside the 

exhibit. As time goes by, it is hoped that the zoo will play its 

part in entertaining and educating tourists on the beauty of 

butterflies while it continues to contribute to the economic wellbeing of the community.”
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 20

MANAGEMENT’S DISCUSSION AND ANALYSIS

BUILDING LOCAL CAPACITY

Advance local development by 

strengthening the capacity of local 

communities and individuals through 

the service of trained Volunteers

SHARING AMERICA 

WITH THE WORLD

Promote a better understanding of 

Americans through Volunteers who live 

and work within local communities

BRINGING THE WORLD 

BACK HOME

Increase Americans’ awareness and 

knowledge of other cultures and global 

issues through Volunteers who share 

their Peace Corps experiences and 

continue to serve upon their return

STRATEGIC GOALS

The agency’s highly interconnected three strategic goals are mutually reinforcing and serve to 

advance the Peace Corps mission of promoting world peace and friendship.

The FY 2015 Performance and Accountability Report details the Peace Corps’ progress on its goals and objectives during the 

second year of the FY 2014–2018 Strategic Plan (www.peacecorps.gov/strategicplan). The three goals outlined below serve as the 

foundation for the Peace Corps’ approach to development and guide agency operations. These strategic goals are consistent with 

the three core goals articulated when the Peace Corps was first established in 1961 (The Peace Corps Act, Public Law 87-293–

September 22, 1961, http://go.usa.gov/cYrH5). 

Performance Overview and Highlights 
21 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

1. VOLUNTEER WELL-BEING 

Enhance the safety, security, and health of Volunteers 

through rigorous prevention and response systems and 

high-quality medical and mental health services

2. SERVICE OPPORTUNITY OF CHOICE 

Position the Peace Corps as the top choice for talented 

Americans interested in service by reaching a new 

generation of potential Volunteers and streamlining the 

application process 

3. DEVELOPMENT IMPACT 

Advance community-based development by strengthening 

the capacity of local individuals and communities, 

focusing on highly effective technical interventions, 

and leveraging strategic partnerships 

4. CROSS-CULTURAL UNDERSTANDING 

Build a deeper mutual understanding of other cultures by 

developing long-lasting connections between American 

and host country individuals and communities 

5. CONTINUATION OF SERVICE 

Support returned Volunteers’ continuation of service 

by fostering a vibrant alumni network, providing tools 

and resources to ease their transition after service, and 

offering opportunities for them to share their experiences 

6. DIVERSITY AND INCLUSION 

Actively recruit, support, and retain a diverse workforce 

and Volunteer corps and build an inclusive culture that 

encourages collaboration, flexibility, and fairness 

7. SITE DEVELOPMENT 

Establish an environment conducive to Volunteer 

success through an integrated approach to developing 

effective projects, preparing work sites, and successfully 

collaborating with local partners 

8. TRAIN UP 

Develop a highly effective Volunteer corps through 

a continuum of learning throughout service 

9. HIGH-PERFORMING LEARNING ORGANIZATION 

Cultivate a high-performing learning organization by 

investing in professional development for staff, improving 

staff retention, and strengthening institutional memory 

10. GLOBAL CONNECTIVITY 

Enable seamless communication and collaboration for 

all Volunteers and staff by modernizing and integrating 

information technology systems and leveraging the 

innovation of Volunteers and staff in the field 

11. MEASUREMENT FOR RESULTS 

Advance the agency’s ability to measure progress, 

improve performance, and demonstrate impact through 

integrated monitoring, reporting, and evaluation practices 

21 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

STRATEGIC OBJECTIVES

The Peace Corps’ 11 strategic objectives directly support the three strategic goals and, ultimately, 

the mission. Due to the interrelated nature of the agency’s strategic goals, most of the objectives 

below contribute to more than one goal.

MANAGEMENT’S DISCUSSION AND ANALYSIS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 22

MANAGEMENT’S DISCUSSION AND ANALYSIS

 he FY 2014–2018 Strategic Plan (www.peacecorps.gov/

strategicplan) charts the Peace Corps’ path as a global 

leader in international development and cross-cultural 

understanding. The plan emphasizes innovation, transparency, 

and the effective use of data and provides a comprehensive 

performance improvement framework to guide and monitor the 

implementation of the agency’s goals, objectives, and strategies. 

Under the leadership of Director Hessler-Radelet, the Peace 

Corps engages in open, honest, and transparent conversations 

about performance improvement. The agency uses an evidencebased approach to monitoring and assessing performance. 

Focus is placed on using data to identify the most effective 

strategies to produce the greatest impact. The result is an 

inclusive and participatory culture of performance improvement 

in which staff and Volunteers are invested in strengthening 

agency operations.

In FY 2015, the Peace Corps introduced several initiatives 

to further strengthen and institutionalize the agency’s 

performance improvement system. By design, this system 

continually reinforces the links among agency policies and 

strategies, country-level strategic planning, project design and 

implementation, and monitoring and evaluation. The following 

three elements support the foundational framework 

for performance improvement at the Peace Corps: 

• INTEGRATED PLANNING AND BUDGET SYSTEM (IPBS)

Headquarters offices and overseas posts develop strategic and 

operational plans to ensure their activities are aligned with and 

advance the agency’s strategic goals and objectives. IPBS plans 

are developed during the agency’s budget formulation process; 

budgets are informed by the resource requirements of the IPBS 

plans. Through the IPBS, the agency is working to better link 

performance and budgeting processes to ensure that decision 

makers have the appropriate information to inform program, 

policy, and budget decisions.

STRATEGIC PERFORMANCE IMPROVEMENT

“Over the past five years, we have carried out the most extensive 

reform effort this agency has ever undertaken...to strengthen 

and modernize all aspects of our operations. This reform is 

documented in our strategic plan—our blueprint for action.” 

–Director Hessler-Radelet, 

All-Hands speech at Peace Corps headquarters (June 26, 2015) 

• QUARTERLY STRATEGIC PLAN PERFORMANCE REVIEWS

The Peace Corps utilizes quarterly reviews as the primary 

mechanism for monitoring and assessing performance 

throughout the year. During these reviews, which are chaired 

by the Peace Corps Director and open to all staff, key officials 

from across the agency discuss performance data from the past 

quarter and develop strategies to meet performance targets by 

the end of the fiscal year. In preparation for each review, the 

agency determines the status of each of the 26 performance 

goals in the strategic plan based on both quantitative and 

qualitative analyses. This quarterly assessment of progress 

allows the agency to focus efforts on performance goals where 

there is the greatest need and opportunity for improvement. 

• ANNUAL STRATEGIC REVIEW

Each year, the Peace Corps Director leads a one-day, forwardlooking meeting with the active engagement of senior leadership 

from across the agency and open to staff at all levels. The goal 

is to inform the development of the next Annual Performance 

Plan. Prior to the meeting, lead offices identify challenges, 

opportunities, and possible realignments for each of the Peace 

Corps’ 11 strategic objectives. Proposed action steps that 

emerge from the day’s discussions are disseminated through a 

summary report, and select strategies are incorporated into the 

Annual Performance Plan for the following year. This annual 

meeting is a key opportunity for senior leadership to take part in 

a comprehensive discussion of long-term courses of action that 

will maximize organizational collaboration and creativity.

These three foundational performance elements establish a 

cycle of continuous assessment, adaptation, and cross-office 

collaboration. The regularity and reliability of this performance 

cycle encourage an approach to annual budget and resource 

management decisions that is truly evidence-based. In the 

future, the agency plans to further improve its performance and 

accountability by strengthening the risk assessment tools and 

mitigation plans that address the strengths and weaknesses of 

both domestic and overseas operations. 

T
23 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

This section provides a summary of the Peace Corps’ 

performance in FY 2015. The agency’s 11 strategic 

objectives, which contribute to the three interrelated 

strategic goals described above, are assessed through 26 

measurable performance goals. Each performance goal 

includes a quantitative level of performance, or “target,” to be 

accomplished within a specific timeframe. No target was set 

for performance goals in which baseline data was collected in 

FY 2015. Baseline data collected in FY 2015 will be used to 

inform performance goal targets for future years. 

Below is a summary of FY 2015 results for all 26 performance 

goals in the agency’s FY 2014–2018 Strategic Plan and 

FY 2015 Annual Performance Plan (www.peacecorps.gov/

strategicplan). The Performance Section of this report 

discusses these results in greater detail. 

OVERVIEW OF FY 2015 

PERFORMANCE GOAL RESULTS1

1Percentages are calculated based on performance goals that have a

 defined target in FY 2015. This excludes four performance goals in

 which no target was set and baseline data was collected in FY 2015. 

Note: The chart on the next page references the footnotes below.

a Due to the improvements to the Annual Volunteer Survey (AVS) in

FY 2014, including modifying the response scales and reducing the 

length of the questionnaire by half, results from FY 2010–13 (shaded 

in gray) may not be directly comparable to results in FY 2014 and 

future years. However, year-to-year comparison of results from

FY 2014 onward is possible. Targets set for FY 2015 and beyond have 

been revised in view of the higher than projected FY 2014 results.

b The definition of an application for Volunteer service was modified 

in FY 2014; results for FY 2010-13 are reported using the previous 

definition, which did not include Peace Corps Response and which 

did require that individuals submit both an application and a health 

history form. Under the updated definition, an “application” occurs 

when a qualified U.S. citizen submits a completed application for 

either the two-year Peace Corps Volunteer program or the short-term 

Peace Corps Response program. Results and targets for fiscal years 

2014 and beyond are reported based on this new definition, which 

includes applications from both the two-year program and the Peace 

Corps Response program. 

c In FY 2013, the application and medical review processes were

modified; invitations are now offered prior to medical clearance. 

This resulted in a reduction of the average time from application to 

invitation.

SUMMARY OF PERFORMANCE RESULTS

45%

23%

32%

Target Met

Slightly Below Target

Target Not Met

Target Met | 100% of the target set for FY 2015 has been met

Slightly Below Target | 95-99% of the target set for FY 2015 has been met

Target Not Met | Below 95% of the target set for FY 2015

No Target Set | The agency did not set targets for performance goals for

 which baseline data was collected in FY 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 24

MANAGEMENT’S DISCUSSION AND ANALYSIS

SUMMARY OF PERFORMANCE GOAL RESULTS FOR FY 2015

Performance Goal

Past Performance Results FY 2015

2010 2011 2012 2013 2014 Result Target

1. Volunteer 

Well-being

1.1 Increase Volunteer Satisfaction with 

Safety and Security Support 

73% 73% 68% 71% 84%a 81% 76%

1.2 Reduce Volunteer Dissatisfaction 

with Medical and Mental Health Support

7% 7% 7% 9% 9%a 10% 7%

2. Service 

Opportunity of 

Choice

2.1 Volunteer Requests Met 101% 97% 97% 90% 98% 97% 100%

2.2 Increase Service Opportunities 8,655 9,095 8,073 7,209 6,818 6,919 8,200

2.3 Increase Applications 13,430 12,206 10,091 10,118 19,151b 24,848 22,000

2.4 Reduce Time from Application to 

Invitation

-- 10 months 11 months 6 months 7 months 4 months 4 months

3. Development 

Impact

3.1 Advance Community-Based 

Development Outcomes

-- -- -- -- 76% 73% No 

Target 

Set

3.2 Strengthen Local Capacity -- -- -- -- -- 83% No 

Target 

Set

3.3 Improve Feedback to Volunteers 35% 39% 33% 38% 55%a 54% 59%

4. Cross-Cultural 

Understanding

4.1 Greater Understanding of Americans -- -- -- -- 94% 90% No 

Target 

Set

4.2 Increase Cross-Cultural Connections -- -- -- -- 57% 57% 60%

5. Continuation 

of Service

5.1 Support RPCV Career Transition -- -- -- -- 2,649 2,831 2,750

5.2 Increase RPCV Engagement -- -- -- -- 9,754 10,866 10,000

6. Diversity and 

Inclusion

6.1 Increase Applicant Diversity 24% 26% 27% 30% 33% 35% 34%

6.2 Build an Open 

and Inclusive 

Organizational 

Culture

U.S. direct hire 

staff

-- -- -- -- 88% 83%

88%

Host country staff -- -- -- -- 89% 92%

Volunteers -- -- -- -- 80% 76%

7. Site 

Development

7.1 Improve Site Development 44% 42% 41% 42% 59%a 59% 62%

7.2 Improve Counterpart Selection and 

Preparation

33% 31% 32% 32% 53%a 51% 55%

8. Train up 8.1 Improve Language Learning -- -- -- -- 63% 63% 55%

8.2 Increase Effectiveness of Technical 

Training

44% 44% 44% 50% 63%a 63% 64%

9. HighPerforming 

Learning 

Organization

9.1 Improve Staff 

Training

U.S. direct hire 

staff

49% 50% 50% 57% 55% 52%

56%

Host country staff -- -- -- -- -- 66%

9.2 Increase Staff Tenure -- -- 3.5 years 4.5 years 4.0 years 4.2 years No 

Target 

Set

10. Global 

Connectivity

10.1 Develop an Integrated Technology 

Platform

-- -- -- -- 15% 45% 30%

10.2 Facilitate Knowledge Sharing -- -- -- -- 77% 78% 80%

11. Measurement 

for Results

11.1 Conduct Baselines -- -- -- -- 0% 100% 75%

11.2 Increase Evidence-Based Decisions -- -- -- -- 68% 86% 75%

11.3 Using Evidence to Encourage 

Innovation

-- -- -- -- 70% 43% 50%

PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 24

MANAGEMENT’S DISCUSSION AND ANALYSIS
25 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

This section highlights four cross-cutting areas of focus that 

guide agencywide operations and support the goals outlined 

in the FY 2014–2018 Strategic Plan:

Effective Volunteer support 

Competitive recruitment

Strong staff, resources and data

Bold communications and outreach

In order to provide a holistic and comprehensive assessment 

of the performance highlights above, three key aspects are 

examined for each:

Progress and Effective Strategies: an overview of progress 

the agency made in FY 2015, as well as the strategies 

and resources used to achieve the intended results

Performance Challenges: underlying internal 

and external factors that may have affected the 

performance results 

Next Steps: forward-looking agency plans to improve 

performance 

PERFORMANCE HIGHLIGHTS

Competitive 

Recruitment

Effective Volunteer

Support to Deliver Results

Bold 

Communications

and Outreach Staff, 

Resources

and Data

Comprehensive performance information on the agency’s 

FY 2014–2018 Strategic Plan and FY 2015 Annual 

Performance Plan, including progress on all strategic 

objectives, all performance goal results, and the verification 

and validation of performance data, can be found in the 

Performance Section of this report.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 26

MANAGEMENT’S DISCUSSION AND ANALYSIS

EFFECTIVE VOLUNTEER SUPPORT 

Progress and Effective Strategies: In FY 2015, the Peace Corps 

continued to institutionalize significant reforms, as well as 

new agencywide initiatives to enhance the safety, security, and 

health of Volunteers. 

• Ongoing implementation of the Kate Puzey Peace Corps 

Volunteer Protection Act of 2011: All of the Peace Corps’ 

reform efforts include continual monitoring and evaluation 

to ensure Volunteers receive the best possible support. 

Based on the internal review of the Sexual Assault Risk 

Reduction and Response (SARRR) program that was initiated 

in FY 2014, significant revisions to policy and procedures 

were finalized in FY 2015. In July 2015, the Peace Corps 

launched a 24-hour anonymous sexual assault hotline. The 

Peace Corps Sexual Assault Volunteer Education and Support 

(PC SAVES) Helpline was made available to all Volunteers 

worldwide. Staff who provide support to victims of crime have 

completed mandatory SARRR training, and sexual assault 

response liaisons at all posts have been trained. Additional 

information about the Peace Corps’ implementation of the 

Kate Puzey Peace Corps Volunteer Protection Act of 2011 is 

available at http://go.usa.gov/cYYtw. 

• Combining Volunteer support with effective training: The Peace 

Corps has strengthened its Volunteer-centered approach to 

safety, security, and health support by integrating superior 

health care and rapid incident response with increased 

Volunteer training. New data sources have enabled the 

agency to more accurately pinpoint effective practices 

and scale up new strategies to preserve the well-being 

of Volunteers once they are at their sites. In FY 2015, 

several new training modules were rolled out that empower 

Volunteers to develop their own personal safety plans and 

prevention practices. Volunteer well-being is the shared 

responsibility of staff and Volunteers. Providing effective 

training to support the well-being and resiliency of Volunteers 

allows them to focus on their assignments and minimize risktaking behaviors. 

• Effective training and retention of medical officers: Volunteer 

survey data reveals a strong positive correlation between 

the tenure length of Peace Corps medical officers and both 

Volunteer satisfaction with health services and overall health 

outcomes. As a result, the agency has made medical officer 

hiring, training, and retention a priority to improve the 

services provided to Volunteers. Improvements include policy 

changes to streamline the medical officer hiring process, 

the development of a dashboard to track hiring metrics, and 

the establishment of a headquarters-based support unit to 

reduce the administrative burden on medical officers.

• Timely feedback on work reports: Findings from Volunteer 

survey data has shown a strong relationship between 

perceived Volunteer effectiveness and timely, high-quality 

feedback on work reports. In FY 2015, post staff continued 

to expand feedback mechanisms to Volunteers regarding 

their work reports generated from the Volunteer Reporting 

Tool. Post staff provided constructive feedback on Volunteer 

work reports via email, text messages, and phone calls so 

that Volunteers are able to benefit from the experience 

and advice of staff as well as share successes and address 

challenges. Ongoing initiatives to improve feedback to 

Volunteers include training all posts on the use of the 

redesigned Volunteer Reporting Tool to support timely and 

high-quality feedback mechanisms and developing post 

standards on the frequency and quality of feedback provided 

to Volunteers on their work.

Performance Challenges: Volunteers serve in countries where 

there is frequently less economic, political, or environmental 

stability than in the U.S., with higher risks of crime, conflict, 

or disease outbreaks. While many of these conditions are 

outside of the agency’s control, the Peace Corps actively seeks 

to mitigate their effect by employing prevention and response 

systems to ensure that Volunteers return home safely. 

Next Steps: A new Health in All Policies approach to Volunteer 

well-being focuses on expanding practices to include areas 

outside of direct clinical care and security responses. Specifically, 

the agency is working to increase Volunteers’ access to healthy 

lifestyles, psychological and emotional counseling, and coping 

mechanisms for adapting to their new environment. The agency 

is working to broaden knowledge of health and safety challenges 

as well as effective risk-mitigation practices. 

Effective Volunteer Support 

to Deliver Results
27 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

BOLD COMMUNICATIONS AND OUTREACH

Progress and Effective Strategies: In FY 2015, the agency 

sought new opportunities to leverage bold communications 

and outreach, as well as to increase agencywide transparency 

to effectively share Volunteer impact with the American 

public, the Peace Corps community, and host countries and 

communities around the world. 

• Operating with greater transparency: Guided by President 

Obama’s Memorandum on Transparency and Open 

Government, the Peace Corps operates with greater 

transparency than ever before. The agency is now providing 

more information to the public and making data available in 

ways that are useful for decision making by staff, Volunteers, 

and key external stakeholders. Additional information about 

the Peace Corps Open Government Initiative is available at 

http://www.peacecorps.gov/about/open/. 

• Using new platforms for storytelling: The agency has 

dramatically increased online resources and opportunities 

for the public to learn more about the Peace Corps’ impact 

through cross-cultural stories gathered from the field. Learn 

more about the agency’s online resources in the next section, 

Learn and Interact: The Peace Corps’ Public Presence.

Performance Challenges: One of the most significant obstacles 

to sharing stories about Volunteers’ experiences and impact 

is the Peace Corps’ wide—and often extremely remote—

global presence. Access to technology and the Internet 

varies widely within and across the 59 overseas Peace Corps 

posts, leading to an array of country- and community-specific 

communications challenges.

Next Steps: The agency plans to continue and expand its 

social media presence in FY 2016. Given the disparity of the 

Peace Corps’ Information Technology landscape, user-friendly 

and flexible technology platforms are particularly critical for 

empowering Volunteers, staff, and host country partners to 

exchange stories of impact easily in the field and at home. 

In addition, the agency is looking at ways technology can 

consolidate and strengthen its alumni network of returned 

Volunteers and guide a continued commitment to the Peace 

Corps mission after service.

LEARN AND INTERACT: 

THE PEACE CORPS’ PUBLIC PRESENCE

EXPLORE A VIBRANT SOCIAL MEDIA PRESENCE 

The Peace Corps uses social media to promote the mission 

of the agency and to increase competitive recruitment. The 

agency also strategically targets messaging to audiences 

on several social platforms, including Instagram, Twitter, 

Tumblr, and Facebook.

Instagram: https://instagram.com/peacecorps/ 

Twitter: https://twitter.com/peacecorps/ 

Tumblr: http://peacecorps.tumblr.com/ 

Facebook: https://www.facebook.com/peacecorps/ 

Bold 

Communications

and Outreach

MANAGEMENT’S DISCUSSION AND ANALYSIS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 28

MANAGEMENT’S DISCUSSION AND ANALYSIS

LEARN AND TRAVEL WITH 

PEACE CORPS PASSPORT

The Peace Corps community is large and diverse, comprising 

current and returned Volunteers, their friends and family, 

agency staff, institutional partners, and members of the 

international development and diplomatic communities. 

Promoting cross-cultural understanding is a strategic priority 

of the agency and directly supports two of the three strategic 

goals. The Passport Blog (http://passport.peacecorps.gov/) is 

a platform that the Peace Corps uses to elevate and promote 

cross-cultural stories gathered from the field. Peace Corps 

Passport provides an opportunity for current and returned 

Volunteers, Peace Corps staff, and thought leaders in 

international development to share their experiences and visions 

for Peace Corps service in the 21st century.

READ ABOUT THE VOLUNTEER EXPERIENCE

Through programs such as the Blog It Home Competition, the 

Peace Corps encourages Volunteers to use social media and 

blogging to promote cross-cultural understanding. This program 

highlights and celebrates Volunteers from around the world who 

use their blogs to share other cultures with Americans. In 2015, 

the third-annual Blog it Home Competition reached more than 

670,000 people on Facebook, and nominees garnered more 

than 20,000 votes. 

Top Volunteer Blogs in 2015:

• Ecuador 

• Ethiopia 

• Jamaica 

• Morocco 

• Mozambique 

• Philippines 

• Senegal 

• Zambia 

 

 

DISCOVER OUR LEGACY

The Peace Corps Legacy Project is a path-breaking initiative 

led by the Peace Corps’ former Chief of Staff Stacy Rhodes. 

It premiered on July 15, 2015, and features brief interviews 

with prominent global leaders who were influenced by a Peace 

Corps Volunteer. The interviews illustrate the lasting impact that 

Volunteers can have, not just on their local communities, but on 

their countries of service as well. 

Sneak Peek: The Peace Corps Legacy Project 

https://youtu.be/5hMhqAZzArU

RECENT STORIES:

Breakdancing to empower girls (Uganda) 

http://go.usa.gov/c3jEe

Turning 80 in the Peace Corps (Ghana)

http://go.usa.gov/cq62F

Two 9-year-olds, 5,000 miles apart, are not so different after all 

(Moldova). 

http://go.usa.gov/cYYxY

PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 28

MANAGEMENT’S DISCUSSION AND ANALYSIS
29 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

STRONG STAFF, RESOURCES, AND DATA

Progress and Effective Strategies: The Peace Corps strives to 

be a high-performing learning organization by investing in 

professional development for staff and effectively leveraging 

agency data to make evidence-based decisions. The agency 

continues to strengthen institutional memory by building 

sustainable systems that mitigate challenges related to human 

capital and staff tenure. 

• Assessing staff development and training needs:

In FY 2015, the Peace Corps conducted an agencywide 

internal management assessment to identify training and 

staff development needs and best practices. Based on 

evidence and results from the assessment, the agency 

designed a comprehensive action plan to address staff 

needs and plans to establish a new Office of Staff Learning 

and Development in FY 2016. 

• Strengthening data and evaluation: 

The agency is continuing to develop its monitoring 

and evaluation capacity. In FY 2015, the Peace Corps 

institutionalized and improved two new annual surveys 

initiated in FY 2014: the Host Country Staff Survey and 

Global Counterpart Survey. When combined with the 

longstanding Annual Volunteer Survey, the Peace Corps now 

has a 360-degree view of its work from the perspectives 

of staff, Volunteers, and direct work partners in the host 

communities. All three surveys are now an ongoing part 

of program management and monitoring efforts, and their 

input is used in agency performance measures. 

Performance Challenges: A unique law known as the five-year 

rule (FYR) limits the majority of U.S.-based and American 

overseas Peace Corps staff to five-year appointments, 

presenting several human resource challenges. The resulting 

high staff-turnover rate ensures the influx of fresh ideas into 

the agency, but also produces high transaction costs and 

challenges to retaining institutional memory. 

Next Steps: In FY 2016, the Peace Corps will move forward 

in developing an agencywide staff development program 

and continue to invest in the Peace Corps’ overall identity 

as a learning organization. The newly established Office of 

Staff Learning and Development will lead this effort through 

onboarding, job skills training, leadership development, 

coaching and mentoring, and a variety of other programs. The 

agency also plans to scale up staff information resources and 

knowledge-sharing platforms to encourage digital collaboration 

and bolster institutional memory. Additionally, the agency 

hopes to explore a legislative solution or modification to the 

human capital and knowledge management challenges posed 

by the FYR.

Staff, 

Resources

and Data
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 30

MANAGEMENT’S DISCUSSION AND ANALYSIS

COMPETITIVE RECRUITMENT

Progress and Effective Strategies: Historic changes to the 

Volunteer application and selection process—also known as 

the Volunteer Delivery System—took place on July 15, 2014. 

Among these reforms, the application process was significantly 

shortened, and the introduction of choice now allows 

applicants to select their country of service. At the end of 

FY 2015, the Peace Corps saw a 40-year high in application 

numbers and an annual increase of 43 percent in applications 

since FY 2014. Today, applicants can expect to hear if they 

have been invited to serve with the Peace Corps less than 

four months after submitting their application, a substantial 

reduction from the average wait prior to the introduction of the 

reforms. The agency has continued to prioritize innovation, 

increase transparency, and reduce uncertainty for applicants 

since the initial reforms. Prospective applicants can browse 

service opportunities by country, work area, and departure date 

at peacecorps.gov/openings/.

• Using Data to Improve the Volunteer Delivery System:

The agency is effectively integrating data from different 

“touchpoints” in the Volunteer lifecycle to build a more 

comprehensive view of the strengths and weaknesses 

in the Volunteer Delivery System. By building a more 

comprehensive and data-driven view of the Volunteer 

lifecycle, the agency is able to make targeted improvements 

to recruitment, selection, and placement processes. 

• Building a culture of customer service:

The Peace Corps continues to refine the application process 

using applicant feedback and user surveys. 

Performance Challenges: With the dramatic influx of 

applications, the Peace Corps must ensure that the quality 

of potential Volunteers remains at a high caliber. In order 

to compare the quality of recruits pre- and post-reforms, 

the agency will gather feedback from posts that can only be 

provided after Volunteers who applied under the new system 

complete their service in FY 2017. This feedback will help 

the agency evaluate whether offering applicants a choice 

of country and sector is an effective method for improving 

performance on the Peace Corps’ three strategic goals.

Next Steps: In FY 2016, the agency will focus its efforts 

to embed and sustain successes from the reforms to the 

Volunteer Delivery System. The agency will broaden its data 

sources in FY 2016 to further facilitate effective evaluation 

and decision making. The agency is currently exploring how to 

utilize data now provided by applicants indicating the reasons 

for their geographic and sector preferences. Moving forward, 

the Peace Corps plans to provide even greater choice and 

transparency to applicants, allowing them to apply to specific 

positions rather than stating general preferences. 

“There is great demand for Peace 

Corps Volunteers around the 

world, and our reforms have better 

positioned us to offer assignments 

where Volunteers have the most 

interest in serving and are able to 

make the greatest contribution.”

–Director Hessler-Radelet 

Competitive 

Recruitment
31 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

Over the past four years, the Peace Corps has effectively integrated far-reaching agencywide reforms and is better positioned than 

ever before to meet the ambitious global development goals of the 21st century. 

The Obama administration has firmly established global development as a cornerstone of U.S. national security and foreign policy. 

Through the Presidential Policy Directive on Global Development (PPD-6, http://fas.org/irp/offdocs/ppd/ppd-6.pdf), the first of its 

kind by a U.S. administration, President Obama called for a 21st-century development policy that is strategic, collaborative, and 

focused on sustainable development outcomes. The Peace Corps and its strategic partners play a critical role in implementing 

these global development initiatives. 

Director Hessler-Radelet’s vision for a results-driven Peace Corps emphasizes partnerships and innovation, using evidence-based 

decision making to drive sustainable community outcomes. Operationally, the agency has embraced change to bolster Volunteer 

support and modernize technology, both domestically and abroad. The Director has also emphasized a renewed commitment to 

documenting the agency’s impact, to significantly advancing diversity and inclusion, and to reinventing the Peace Corps as the 

service opportunity of choice for Americans. As the agency approaches its 55th anniversary, it is well-positioned to deliver inspiring 

results to the American people and those around the world in the greatest need.

Looking Forward

“...real, meaningful change in communities doesn’t happen from 

the top down, it happens from the ground up. It happens when you 

build on the strengths that already exist in those communities. It 

happens when you empower the leaders that are already there, 

and then they go on to empower others.” 

–First Lady Michelle Obama

March 21, 2015

(Peace Corps Training Event in Siem Reap, Cambodia)
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 32

MANAGEMENT’S DISCUSSION AND ANALYSIS

1 ENSURING VOLUNTEER WELL-BEING

Effective safety, security, and health support is vital to Volunteer 

success. A major challenge for the Peace Corps is ensuring the 

well-being of Volunteers while still maintaining a presence in 

areas of the world that benefit the most from their work. While 

some challenges are beyond the agency’s control, the Peace 

Corps is committed to providing the most rigorous prevention 

and response systems and services possible. 

The full implementation of the Kate Puzey Peace Corps 

Volunteer Protection Act of 2011 will continue to be a major 

focus for the agency. Significant revisions to the policy and 

procedures, which were made based on data and experience 

over the last two years, will be implemented in the field. This 

should result in even stronger response to Volunteers who have 

been victims of sexual assault. Post specific training on all 

revisions and an overall refresher for field staff will be held at 

each post in FY 2016.

As the health, safety, and security of Volunteers remain the 

Peace Corps’ highest priority, the agency will work in FY 2016 

to further strengthen Volunteer incident response and support 

systems. Additionally, the Peace Corps plans to establish a 

Health in All Policies initiative that will broaden training, 

knowledge, and accountability to preserve Volunteer well-being. 

The agency expects that this new initiative will further improve 

the agency’s ability to reduce risks and respond effectively 

and compassionately to Volunteers who are victims of crime, 

including sexual assault. Additional information and continued 

updates on the agency’s efforts to ensure the well-being of 

Volunteers can be found at www.peacecorps.gov/safety.

2 ADVANCING SUSTAINABLE DEVELOPMENT 

 THROUGH STRATEGIC PARTNERSHIPS AND 

 WHOLE-OF-GOVERNMENT INITIATIVES

The Peace Corps actively participates in presidential and 

whole-of-government initiatives, including Let Girls Learn, the 

Energy and Climate Partnership of the Americas, Feed the 

Future, the Global Health Initiative, the President’s Emergency 

Plan for AIDS Relief (PEPFAR), the President’s Malaria 

Initiative, and Saving Mothers, Giving Life. Through these 

collaborative partnerships, the Peace Corps extends the reach 

of both its strategic partners and its Volunteers by leveraging 

their collective training and programmatic resources and by 

contributing to common development goals at the local level.

Moving forward, the agency will work to strengthen its ability 

to deliver and document its development impact by modernizing 

Volunteer reporting mechanisms, piloting innovations in the field, 

and increasing evaluations and the use of evidence and research. 

The agency plans to improve the structure of the standard 

two-year program by framing Volunteer work in the context of a 

project’s full six-year lifecycle rather than an individual’s twoyear service. Recognizing that different skills may be needed 

for first-, second-, and third-generation Volunteers, the agency 

will work to customize program training, tools, and outcome 

reporting to align with project lifecycles. These measures will 

add significant value to the agency’s strategic partnerships and 

external stakeholders.

Additional efforts planned in FY 2016 include expanding 

specialized models for Volunteer service such as offering shorter 

assignments and new Peace Corps Response opportunities. 

“Our investments in development—and the policies we pursue 

that support development—can encourage broad-based economic 

growth and democratic governance, facilitate the stabilization of 

countries emerging from crisis or conflict, alleviate poverty, and 

advance global commitments to the basic welfare and dignity of 

all humankind. Without sustainable development, meeting these 

challenges will prove impossible.”

–White House press release announcing U.S. Global Development Policy (PPD-6)
33 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

Let Girls Learn Initiative 

On March 3, 2015, the White House launched Let Girls 

Learn, a whole-of-government initiative designed to help 

adolescent girls around the world attend and complete 

school (https://www.whitehouse.gov/LetGirlsLearn). As part 

of the U.S. government’s commitment to Let Girls Learn, 

First Lady Michelle Obama and the Peace Corps have 

formed a powerful collaboration that will empower local 

leaders to put lasting solutions in place, elevate existing 

Volunteer programs, and leverage public and private sector 

partnerships. Peace Corps Volunteers who live and work 

at the grassroots level will be catalysts for change by 

supporting community-led solutions to reduce barriers that 

prevent adolescent girls from completing their education. 

In FY 2016, the agency will train thousands of Volunteers 

and community leaders to design sustainable, grassroots 

projects that focus on girls’ education and development 

opportunities. In 2016, the Peace Corps’ Let Girls Learn 

program will expand from the initial 11 countries to 

additional countries on an opt-in basis.

For more information on the Peace Corps’ Let Girls Learn program, 

visit letgirlslearn.peacecorps.gov

WHAT WE’LL DO: THE THREE PILLARS

PILLAR ONE | Empowering Leaders

The initiative will increase gender awareness by delivering 

targeted trainings that will reach thousands of Volunteers and 

tens of thousands of community leaders over the next six years 

and enable them to become champions of girls’ education.

Read about one Volunteer’s impact in Cambodia at: 

http://go.usa.gov/cq6ZA

WHERE WE’LL GO: THE INITIAL 11 COUNTRIES

At the launch of the Let Girls Learn collaboration, the Peace 

Corps targeted 11 countries where the agency will most likely 

produce significant results. Through the grassroots development 

work that Volunteers do each and every day, they are wellpositioned to work with communities to identify the barriers to 

education adolescent girls face.

Albania, Benin, Burkina Faso, Cambodia, Georgia,

Ghana, Moldova, Mongolia, Mozambique, Togo, and Uganda 

33 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 34

MANAGEMENT’S DISCUSSION AND ANALYSIS

PILLAR TWO | Working Hand in Hand with Communities

Thousands of Volunteers work side by side with local leaders to 

achieve community-based solutions through the Peace Corps 

Partnership Program. From a school library to a technology 

camp for girls, under Let Girls Learn, Volunteers working on 

gender-related projects can now apply for support through a 

newly established girls’ education fund.

Read about one Volunteer’s impact in Lesotho at: 

http://go.usa.gov/cq6ZJ

PILLAR THREE | Increasing the Impact of Peace Corps Volunteers

A major component of the initiative will support Volunteers 

working to break down the barriers to girls’ education in the 

communities they serve. Under Let Girls Learn, the Peace Corps 

will further strengthen its programmatic impact by expanding 

the number of Volunteers focused on advancing girls’ education 

and empowerment through evidence-based interventions

Read about one Volunteer’s impact in Moldova at: 

http://go.usa.gov/cq6Be

Albania

Benin

Uganda

Mozambique

Togo

Ghana

Burkina 

Faso

Moldova

Georgia

Mongolia

Cambodia
35 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

3 RECRUITING TALENTED AND DIVERSE AMERICANS

 INTERESTED IN PUBLIC SERVICE

In FY 2015, the Peace Corps implemented the largest 

reforms to its recruitment process in the history of the agency. 

Applicants can now choose to apply to specific programs and/or 

countries based on their unique skill sets and individual goals. 

As a result, the agency observed a 32 percent annual increase 

in the number of applications for two-year Volunteer positions in 

FY 2015. As a result of these changes, the agency has greatly 

enhanced its internal capacity to meet the needs of each host 

country community that requests a Peace Corps Volunteer. 

In FY 2016, the agency will focus on embedding these pivotal 

reforms in all aspects of the Peace Corps’ infrastructure. 

A newly established office will play an instrumental role in 

building upon the successes of the recruitment reforms, 

facilitating data-generated decision making, and effectively 

utilizing new knowledge management tools. Additionally in 

FY 2016, the agency will increase its commitment to actively 

recruiting and supporting diverse applicants and Volunteers. 

To support this effort, the Peace Corps plans to expand its 

partnerships with universities and increase diversity skillbuilding and intercultural competence training to staff around 

the world.

4 STRENGTHENING DEVELOPMENT IMPACT THROUGH

 QUALITY EVALUATION 

In FY 2015, the Peace Corps synchronized several monitoring 

and evaluation practices, advancing the analytic rigor of its 

work. In addition to increasing accountability, improving 

program management, and informing operational adjustments, 

the agency’s increased use of varied data sources adds critical 

layers of perspective to the Peace Corps story, elevating the 

voice of Volunteers, staff, and partners.

To ensure that country programs and strategies are achieving their 

intended impact, an internal monitoring and evaluation task force 

made a number of recommendations to improve the Peace Corps’ 

evaluation processes and proposed the agencywide adoption of a 

comprehensive evaluation agenda. This agenda includes several 

forward-looking strategies to ensure that every taxpayer dollar 

produces the highest impact in local communities. 

In FY 2016, the agency will explore ways to further strengthen 

the agency’s evidentiary system by incorporating theories of 

change and logical frameworks in project planning. The agency 

is also incorporating evaluation plans in program design and 

creating measurement systems that extend beyond the tenure of 

individual staff. The Peace Corps is working to ensure that these 

efforts will advance a robust culture of inquiry and evidencebased decision making, support organizational learning, and 

increase its accountability to all stakeholders. 

“Strategic assessment and evaluation serve as a bridge—

from good design to clear planning and on to effective practice. I am 

proud to see how far we have come as an agency in terms of using data 

systematically to ensure that our decisions are evidence-based and 

aligned with our strategies.”

–Director Hessler-Radelet,

FY 2015 Annual Strategic Review
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 36

MANAGEMENT’S DISCUSSION AND ANALYSIS

5 BUILDING A GLOBAL IT INFRASTRUCTURE 

In FY 2015, the Peace Corps made significant progress 

in addressing its global IT challenges by developing a 

comprehensive, agencywide technology plan. Based on an 

external assessment, the Peace Corps’ IT strategy presents a 

new, forward-looking plan for modernizing and integrating its 

systems in support of staff and Volunteers operating in highly 

disparate technology landscapes.

While the ambitious IT transformation planned will demand 

significant time, resources, and adaptability, the agency 

anticipates cost savings in the long run and improved business 

processes. The technology improvements in FY 2016 and 

beyond will result in more seamless communications across the 

agency, increased global collaboration in real time, and policies 

and practices that promote responsible information sharing. 

The Peace Corps continues to maintain a high priority on 

information and information system security to ensure 

information, operations, and assets are appropriately protected. 

In the past year, the agency successfully completed the 

remaining security assessments and authorizations of its 

seven Federal Information Security Modernization Act (FISMA) 

inventory systems that included compliance reviews and 

audits. Seven onsite security reviews were performed in China, 

Fiji, Ghana, Kosovo, Macedonia, Madagascar and Micronesia. 

Security was enhanced by placing Alien Vault devices at every 

international post and regional recruiting office, providing vision 

into what security events are occurring at posts in real time. 

A thorough review of the current system inventory was initiated 

that identified ways to improve the security assessments and 

authorizations documentation and overall security posture by 

restructuring the seven major systems currently in inventory. 

Moving forward, the main focus will be on implementing 

the National Institute of Standards and Technology 

Risk Management Framework throughout the agency. 

Implementation necessitates foundational initiatives such 

as drafting overarching policies and procedures, role based/

awareness training, continuous monitoring, configuration 

management (vulnerability, patching, and change 

management), plan of action and milestones management, 

and security baselining, instrumental in minimizing the threat 

landscape at the Peace Corps.
37 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

OVERVIEW OF FINANCIAL POSITION

An unmodified (clean) audit opinion was achieved on the 

FY 2015 financial statements. The financial activities of the 

agency were conducted in 59 posts in 63 countries in 73 

currencies and even more languages and cultures. The 

FY 2015 funding position of the Peace Corps remained 

relatively the same as in FY 2014.

This analysis summarizes the financial position and results of 

operations, and addresses changes in the types or amounts 

of assets, liabilities, costs, and obligations. The principal 

statements include the Balance Sheet, Statement of Net 

Cost, Statement of Changes in Net Position, and Statement 

of Budgetary Resources. Financial statements and notes are 

included in the Financial Section of this report.

Agency funds primarily consisted of appropriated funding by the 

Congress in the amount of $379.5 million for FY 2015, compared 

to $379 million appropriated in FY 2014. Appropriated 

funding was administered by the U.S. Department of Treasury. 

Budgetary Resources, though, were $501.4 million in FY 2015, 

which compares favorably with the $479.5 million in FY 2014. 

Budgetary Resources consisted mostly of the funds appropriated 

in FY 2015 increased by the available unobligated balance 

of prior year appropriated funds, recoveries of unexpired 

budget authority through downward adjustments of prior 

year obligations, and the spending authority from offsetting 

collections. Offsetting collections are largely the reimbursable 

work the agency performs on behalf of other federal agencies. 

Reimbursable work performed for initiatives of the nation 

administered by the U.S. Agency for International Development 

in FY 2015 chiefly consisted of $15.4 million for Feed the 

Future and Global Education. The difference between the 

Appropriations amount reported on the Statement of Budgetary 

Resources and other financial documents was an increase of 

$2.2 million for Appropriated Receipts Derived from Available 

Trust Funds (donations). In addition, the $60 million in 

PEPFAR funds for work performed on behalf of the Department 

of State through allocation transfer is not reflected in the 

financial statements as those amounts are properly reported to 

the U.S. Department of Treasury by the Department of State.

The agency has two years in which to obligate appropriated 

funds and another five years in which to complete the payout 

process for those funds. The Peace Corps continues to operate 

as one program with the sole mission of providing trained 

Volunteers to host countries to promote world peace and 

friendship. The agency enhances the use of performance and 

cost information in budgetary decision making through the 

Integrated Planning and Budget System, where posts and 

headquarters offices develop strategic plans and resource 

requests to execute goals, as well as the annual strategic 

review, which provides performance information as an input to 

the budget formulation process. 

A summary of the agency’s financial activities in FY 2015 and 

FY 2014 is presented in the following table.

ANALYSIS OF FINANCIAL RESULTS

Analysis of Financial Statements 

Changes in Financial Position 

from FY 2014 to FY 2015 

(In Thousands)

NET Financial Condition FY 2015 FY 2014

Fund Balance with Treasury 209,057 211,369 

Accounts Receivable 4,467 3,092 

PP&E 38,886 34,556 

Prepaid Volunteer Living Allowances 1,772 1,836 

Other Assets 5,156 3,890 

Total Assets 259,338 254,743 

Accounts Payable 8,963 9,883 

Employee Benefits 145,956 149,107 

Unfunded FECA Liability 32,983 33,348 

Unfunded Annual Leave 11,256 10,289 

Other Employment Related 6,123 3,586 

Non-Entity Funds 23,493 20,225 

FSN and PSC Severance 23,447 25,849 

Other Liabilities 412 273 

Total Liabilities 252,633 252,560 

Unexpended Appropriations 157,215 158,343 

Cumulative Results of Operations (150,510) (156,160)

Total Net Position 6,705 2,183 

Net Cost of Operations 382,199 354,462 

Budgetary Resources 501,424 479,545 

$

$

$

$

$
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 38

MANAGEMENT’S DISCUSSION AND ANALYSIS

ASSETS – WHAT WE OWN AND MANAGE.

Assets are the amount of current and future economic benefits 

owned or managed by the Peace Corps to achieve its mission. 

Total Assets were $259.3 million as of September 30, 2015, 

on the Balance Sheet. Assets increased by $4.6 million from 

the FY 2014 assets of $254.7 million. This increase occurred 

chiefly because of capitalization of newly acquired assets and 

prepaid balances for information technology subscriptions and 

maintenance fees.

As of September 30, 2015, the Fund Balance with Treasury 

and Property, Plant, and Equipment (PP&E) constituted 

the major portion of the agency’s assets at 81 percent and 

15 percent respectively. The Fund Balance with Treasury 

represented the amount in the agency’s accounts with Treasury 

that were available only for the purposes for which the funds 

were appropriated to make expenditures and pay liabilities. This 

included balances for appropriated funds, special funds, trust 

funds, deposit funds and clearing accounts (Non-Entity Assets). 

PP&E consisted of tangible assets owned by the agency, 

reported by major class in detail in Note 5, General Property, 

Plant, and Equipment, Net.

The FY 2015 Fund Balance with Treasury at $209 million 

decreased by $2.3 million due to a higher rate of expenditures 

in FY 2015. PP&E increased by $4.3 million primarily due to 

purchase of information technology equipment and software.

Assets by type are shown in the chart below:

LIABILITIES – WHAT WE OWE. 

Liabilities (probable future outflows or other sacrifice of 

resources as a result of past transactions or events) are the 

amounts owed by the Peace Corps. Total liabilities of 

$252.6 million were reported on the Balance Sheet as of 

September 30, 2015, consistent with $252.6 million in 

FY 2014. 

Liabilities by Type are shown in the chart below:

FY 2015 Assets

Fund Balance

with Treasury

Accounts Receivable

PP&E

Prepaid Volunteer

Living Allowances

Other Assets

$0 $50k $100k $150k $200k $250k

[$ in thousands]

$209,057

$4,467

$1,772

$5,156

$38,886

FY 2015 Liabilities 

Accounts Payable

Employee Benefits

Unfunded FECA Liability

Unfunded Annual Leave

Other Employment Related

Non-Entity Funds

FSN and PSC Severance

Other Liabilities

$0 $20k $40k $60k $80k $100k $120k $140k $160k

[$ in thousands]

$8,963

$145,956

$32,983

$6,123

$23,493

$23,447

$412

$11,256
39 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

ENDING NET POSITION – WHAT WE HAVE DONE OVER TIME. 

Net Position represents the difference between the Assets and 

the Liabilities on the Balance Sheet as of September 30, 2015. 

The agency’s Net Position increased in FY 2015 to $6.7 million 

from $2.2 million in FY 2014.

RESULTS (NET COST) OF OPERATIONS.

The Net Cost of Operations that presents the difference between 

the costs incurred less earned revenue increased in FY 2015 to 

$382.2 million from the FY 2014 position of $354.5 million. 

The increase occurred because of expenses associated with fulltime employees, readjustment allowances for Volunteers, and 

personal services contractors.

LIMITATIONS OF THE FINANCIAL STATEMENTS

The principal financial statements have been prepared to report 

the financial position and results of operations of the Peace 

Corps, pursuant to the requirements of 31 U.S.C. 3515 (b). 

While the statements have been prepared from the books and 

records of the entity in accordance with generally accepted 

accounting principles for federal entities and the formats 

prescribed by the Office of Management and Budget (OMB), 

the statements are in addition to the financial reports used to 

monitor and control budgetary resources, which are prepared 

from the same books and records. The statements should be 

read with the realization that they are for a component of the 

U.S. government, a sovereign entity.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 40

MANAGEMENT’S DISCUSSION AND ANALYSIS

MANAGEMENT ASSURANCES

Federal Managers’ Financial Integrity Act

The FMFIA mandates that agencies establish effective internal 

control to provide reasonable assurance that (i) obligations 

and costs are in compliance with applicable law, (ii) funds, 

property, and other assets are safeguarded against waste, loss, 

unauthorized use, or misappropriation; and (iii) revenues and 

expenditures applicable to agency operations are properly 

recorded and accounted for to permit the preparation of 

accounts and reliable financial and statistical reports and to 

maintain accountability over the assets.

This Act also requires agencies to establish accounting and 

administrative controls to include program, operational, and 

administrative areas, as well as accounting and financial 

management. The FMFIA also requires standards to ensure the 

prompt resolution of all audit findings. This Act requires heads 

of agencies to annually evaluate and report in an assurance 

statement on the adequacy of internal and administrative 

controls (Section 2) and on conformance of systems with 

governmentwide standards (Section 4).

Internal Control Guidance and Implementation of the FMFIA

Guidance for implementing the FMFIA (31 U.S.C. 3512) 

is provided through OMB Circular A-123, Management’s 

Responsibility for Internal Control, that further defines 

management’s responsibility for internal control in federal 

agencies, including the financial management systems. Within 

the agency, Peace Corps Manual Section 784, Internal Control 

System, sets out the policies and procedures for establishing, 

assessing, correcting, and reporting on internal control. The 

Director’s FY 2015 Unmodified Management Assurance 

Statement follows later in this section.

Analysis of Systems, Controls and Legal Compliance

Internal Control Operations 

During the FY 2015 financial statement audit, the agency 

achieved an unmodified (clean) audit opinion on the financial 

statements. Legal compliance was addressed through auditor 

testing of selected laws and regulations and no material 

weaknesses were identified. There were, though, three 

significant deficiencies and four instances of noncompliance 

with laws and regulations identified. See Appendix 1 for the 

planned timeframes for correcting FY 2015 audit weaknesses. 

Monitoring the effectiveness of internal control occurs in the 

normal course of conducting agency business over the span 

of each year and is captured annually in the department 

and office head assurance statements of compliance 

with reasonable effective internal controls that support 

the Director’s assurance statement for the agency. Those 

assurance statements are based on operational reviews in their 

areas and information gathered from various sources including 

the managers’ personal knowledge of day-to-day operations 

and existing controls, self-assessments, senior leadership 

meetings, audits of financial statements, Inspector General 

audits, reports, reviews, investigations, and evaluations. There 

were no material weaknesses identified during those reviews.

Assurances of compliance with internal controls were further 

supported by the performance of risk assessments during 

FY 2015 by department and office heads with no material 

weaknesses identified. Risk assessments did identify 

weaknesses of lesser severity than material weaknesses in a 

few areas and those were addressed by the Senior Assessment 

Team and will continue to be monitored closely within the 

agency this next year.

In summary, the agency’s internal control program is designed 

to ensure compliance with the requirements of the FMFIA and 

other federal regulations.

This section addresses the Peace Corps’ compliance with the Federal Managers’ Financial Integrity Act (FMFIA) of 1982 

(Pub. L. 97-255), presents the financial management systems strategy, and addresses key internal control issues. 
41 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

MANAGEMENT’S DISCUSSION AND ANALYSIS

Improper Payments Information Act 

As a small agency with only one program, the Peace Corps 

has no activities that are risk-susceptible to the threshold 

amounts in Memorandum M-15-02, Appendix C to OMB 

Circular A-123, Requirements for Effective Estimation and 

Remediation of Improper Payments (24 October 2014). This 

circular implements the requirements of the Improper Payments 

Elimination and Recovery Act of 2010 which amended the 

Improper Payments Information Act of 2002. Significant 

improper payments are defined as gross annual improper 

payments exceeding both 1.5 percent of program outlays and 

$10 million of all program or activity made during the fiscal 

year reported or $100 million (regardless of the improper 

payment percentage of total program outlays). While not rising 

to the level of the improper payment thresholds above, agency 

payments were reviewed during FY 2015 based on different 

dollar values, and those payments in the amount of $250,000 

and above were subjected to an extensive review through a 

semiannual system-generated report. Further, the Peace Corps 

is a full participant in the Treasury’s “Do Not Pay” program 

operating through the Treasury Do Not Pay Business Center. 

Payees under consideration for payment are reviewed for 

eligibility through the pre-award component of the business 

center, payments then are re-verified in the pre-payment 

component, followed by post-payment data matching reviews. 

Debt Management Controls 

The Peace Corps manages a limited amount of debt under the 

provisions of the Debt Collection Improvement Act of 1996, 

OMB Circular A-129, Policies for Federal Credit Programs and 

Non-Tax Receivables, the Controller Alert, Improving Collection 

of Delinquent Debt issued January 4, 2013, and other laws. 

During FY 2015, the agency wrote off uncollectable debts and 

delinquent balances older than two years in the amount of 

$13.4 thousand and submitted quarterly reports through the 

Treasury Report on Receivables. 

Financial Management Systems Strategy

Strategy for the financial systems in FY 2015 was to stabilize 

the systems infrastructure and modernize the custom 

applications, with particular focus on the development of new 

browser-based software to replace the existing old client-based 

financial application used by overseas posts.

The main goal of the infrastructural improvements during 

this fiscal year was to ensure that the servers, databases, and 

applications were all at fully supported and secured levels of 

service. Additionally, IT security was improved by upgrades 

associated with user access authentication and Java versions.

Work continued in software development for the custom 

financial application used for overseas budget execution, 

cashiering, and financial reporting. This is a significant 

multi-year effort that will improve financial processing and 

reporting overseas and streamline the integration with Oracle 

E-Business Suite, the Peace Corps’ financial system of record. 

The pace of software development quickened in FY 2015, and 

the expected phased deployment to overseas posts is planned 

for FY 2017.

At the end of FY 2014, the Peace Corps awarded a contract 

for the procurement and implementation of a new asset 

management system that replaces the existing stand-alone 

asset management system and provides significantly more 

automation and functionality to better track and report on 

assets. During this fiscal year, the agency worked with the 

implementation partner to address the specific requirements 

for foreign currency procurements, to integrate with the 

financial system and the agency’s software tracking system, 

and to begin training of headquarters and overseas staff 

responsible for asset management. The global implementation 

will be completed in FY 2016.

During FY 2015, the financial systems staff collaborated 

with other offices on the integration of new systems into 

the financial systems. Work continued on testing of a new 

timekeeping system that will better track payroll data and 

account for staff time related to capital projects in the fixed 

assets module. The new timekeeping system will be rolled 

out to all direct-hire staff in FY 2016. In addition, exploration 

and planning began for an E-Travel system that will integrate 

with the Purchasing and Accounts Payable modules of Oracle 

E-Business Suite. The Peace Corps entered into a collaborative 

agreement with the Department of Interior’s National Business 

Center, a shared service provider for E-Travel, to begin the 

acquisition and implementation process in FY 2016.

The financial systems upgrades and enhancements put in 

place in FY 2015 and planned for the upcoming years will 

strengthen financial reporting, control of assets, internal 

controls, and reduce IT security risks.

The FMFIA Unmodified Management Assurance Statement 

that follows is consistent with the FY 2015 financial statement 

audit report. 
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 42

The Peace Corps assessed the effectiveness of internal controls to support effective and efficient operations, reliable financial

reporting, and compliance with applicable laws and regulations in accordance with the Federal Managers’ Financial Integrity 

Act (FMFIA) of 1982 Section 2 and OMB Circular A-123. Based on this assessment, the Peace Corps can provide reasonable 

assurance for FY 2015 that its internal control over the effectiveness and efficiency of operations and financial reporting was 

operating effectively and no material weaknesses were found in the design or operation of the internal controls. Four instances, 

though, of noncompliance with applicable laws and regulations were identified. 

The Peace Corps conducted its assessment of whether the financial management systems conform to governmentwide financial 

systems requirements in accordance with FMFIA Section 4. Based on this assessment, the Peace Corps can provide reasonable 

assurance that its financial management systems are in compliance with the applicable provisions of FMFIA Section 4 and OMB 

Circular A-123 for FY 2015 with the exception of one nonconformance with the Federal Information Security Modernization Act 

(FISMA) of 2014. In accordance with OMB Bulletin No. 15-02, this is not considered a material weakness. Details of the FISMA 

nonconformance are in Appendix 1.

 FY 2015 FMFIA Unmodified Management Assurance Statement

MANAGEMENT’S DISCUSSION AND ANALYSIS

Carolyn Hessler-Radelet

Director

November 16, 2015

Joseph L. Hepp, Jr.

Chief Financial Officer

November 16, 2015
43 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE

SECTION

Peace Corps Volunteers (far left and far right) 

walk through a health facility in their 

community in Uganda.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 44
45 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

The Performance Section details the FY 2015 results of 

the 11 strategic objectives and the 26 performance goals 

in the FY 2014–2018 Strategic Plan and FY 2015 Annual 

Performance Plan, which can be found at www.peacecorps.

gov/strategicplan. 

The FY 2014–2018 Strategic Plan includes the long-range 

goals and objectives designed to advance the Peace Corps 

mission. The 2015 Annual Performance Plan lays out the 

strategies and activities the agency utilizes to accomplish these 

goals and objectives as well as the specific results the agency 

expects to achieve over time. 

STRATEGIC PLAN FRAMEWORK 

The FY 2014–2018 Strategic Plan and FY 2015 Annual 

Performance Plan include the following components:

• Strategic goals reflect the broad, long-term outcomes the 

agency works toward to achieve the Peace Corps mission to 

promote world peace and friendship through communitybased development and cross-cultural understanding. 

• Strategic objectives express the specific areas the agency will 

prioritize to achieve the strategic goals. Strategic objectives 

may support multiple strategic goals.

• Strategies and activities include the actions the agency 

intends to take to meet agency goals and objectives.

• Performance goals state a quantitative level of performance, 

or “target,” to be accomplished within a specific timeframe.

• Lead offices2 are responsible for coordinating agencywide 

efforts to develop, implement, and report on plans to achieve 

each performance goal.

2 In the FY 2017 Annual Performance Plan, the agency further

strengthened accountability and cross-office collaboration by replacing 

lead offices with a combination of goal lead(s) (specific individuals 

across the agency with primary responsibility for a particular 

performance goal) and partner offices (offices that work in collaboration 

with the goal lead(s) to develop and implement strategies while also 

contributing to reporting on the performance goal).

Introduction
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 46

PERFORMANCE SECTION

STRATEGIC GOALS

The Peace Corps’ three strategic goals are based on the three core goals outlined in the Peace Corps Act (1961). Each of the 

strategic goals is supported by multiple strategic objectives. In the figures below, the strategic objectives shaded blue directly 

contribute to the highlighted strategic goal.

BUILDING LOCAL CAPACITY

Advance local development by strengthening the capacity of local communities and individuals through the service 

of trained Volunteers

1. Volunteer 

 Well-Being

2. Service 

 Opportunity 

 of Choice

3. Development 

 Impact

4. Cross-Cultural 

 Understanding

5. Continuation 

 of Service

6. Diversity and 

 Inclusion

7. Site Development 8. Train Up 9. High-Performing 

 Learning Organization

10. Global Connectivity 11. Measurement for 

 Results

Strategic Objectives

SHARING AMERICA WITH THE WORLD

Promote a better understanding of Americans through Volunteers who live and work within local communities

1. Volunteer 

 Well-Being

2. Service 

 Opportunity 

 of Choice

3. Development 

 Impact

4. Cross-Cultural 

 Understanding

5. Continuation 

 of Service

6. Diversity and 

 Inclusion

7. Site Development 8. Train Up 9. High-Performing 

 Learning Organization

10. Global Connectivity 11. Measurement for 

 Results

Strategic Objectives

BRINGING THE WORLD BACK HOME

Increase Americans’ awareness and knowledge of other cultures and global issues through Volunteers who share 

their Peace Corps experiences and continue to serve upon their return

1. Volunteer 

 Well-Being

2. Service 

 Opportunity 

 of Choice

3. Development 

 Impact

4. Cross-Cultural 

 Understanding

5. Continuation 

 of Service

6. Diversity and 

 Inclusion

7. Site Development 8. Train Up 9. High-Performing 

 Learning Organization

10. Global Connectivity 11. Measurement for 

 Results

Strategic Objectives

PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 46
47 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

For the large majority of strategic objectives, progress in 

FY 2015 was achieved as planned. All strategic objectives 

were assessed and categorized in one of two ways:

VERIFICATION AND VALIDATION 

OF PERFORMANCE DATA

The agency’s FY 2015 performance results are based on 

reliable and valid data that are complete as of the end of 

the fiscal year. Data collection and reporting consistency are 

ensured by the use of detailed performance goal data reference 

sheets, which include operational definitions, data sources, and 

a comprehensive methodology for measuring each performance 

indicator. The Office of Strategic Information, Research, and 

Planning reviews all performance data to ensure they are 

complete and accurate. Major data sources and verification 

and validation processes are described in detail in Appendix 2, 

Verification and Validation of Performance Data.

Performance Results by Strategic Objective

STRATEGIC OBJECTIVE STATUS

NOTEWORTHY PROGRESS

The agency is exceeding its plans to achieve the 

strategic objective. Strategies and activities have 

been executed on or ahead of schedule.

AREA FOR IMPROVEMENT

Current strategies have not had the intended impact. 

An increased focus is needed by the agency to 

improve performance on the strategic objective. 

Some strategies and activities may have been 

executed, but more progress is needed to advance 

the strategic objective. Additional data may be 

needed to better understand performance.

TARGET MET

SLIGHTLY BELOW TARGET

TARGET NOT MET

NO TARGET SET

100 percent of target

95–99 percent of target

Below 95 percent of target

The agency did not set targets for performance goals for which baseline 

data was collected in FY 2015. Baseline data collected in FY 2015 

are predominately measured by new data sources, including the Global 

Counterpart Survey, the Host Country Staff Survey, and elements of the 

Volunteer Reporting Tool. Baseline data collected in FY 2015 from these 

new sources will be used to develop targets for future years.

Performance Goal 

Results

Each performance goal was assessed and categorized in one of four ways: 
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 48

PERFORMANCE SECTION

Enhance the safety, security, and health 

of Volunteers through rigorous prevention 

and response systems and high-quality 

medical and mental health services 

STRATEGIC OBJECTIVE 1: 

VOLUNTEER WELL-BEING Supports Strategic Goals 1, 2, and 3

FY 2015 Status | NOTEWORTHY PROGRESS

Volunteers serve in local communities often under hardship 

conditions where the health-care infrastructure and security 

environments differ from those of the U.S. The Peace Corps 

develops rigorous prevention and response systems and services 

to support the safety, security, and physical and emotional 

health of Volunteers. 

The agency has implemented several critical reforms to ensure 

the optimal safety, security, and health of Volunteers. The 

Peace Corps will continue to evaluate the effectiveness of 

these reforms, and a new measure for assessing Volunteer 

safety and security will be incorporated in the FY 2017 Annual 

Performance Plan.

KEY STRATEGIES AND ACTIVITIES

• Finalize implementation of the Kate Puzey Peace Corps 

Volunteer Protection Act of 2011:

The agency continued to move toward full implementation of 

the act, including continuing execution and improvement of 

the Sexual Assault Risk Reduction and Response (SARRR) 

program. In addition to implementing mandatory policy 

changes, the agency provided extensive sexual assault 

training for Volunteers and staff in FY 2015. Moving forward, 

the agency plans to monitor and evaluate the SARRR 

program to improve effectiveness, reduce the risk of sexual 

assault, and ensure Volunteers receive compassionate, timely 

and comprehensive support. Additional information can be 

found at http://go.usa.gov/crPcH.

• Improve Volunteer training and support: 

Volunteer well-being is a shared responsibility of staff and 

Volunteers. Providing support and effective training related 

to the well-being and resiliency of Volunteers allows them 

to focus on their assignments and minimize risk-taking 

behaviors. In FY 2015, the agency updated pre-service and 

in-service training sessions on mitigating safety risks and 

maintaining physical and emotional health. The Peace Corps 

also accelerated a new initiative in which Volunteers will 

develop their own individualized safety and security plans. 

Strengthen the role of Peace Corps medical officers:

Data from previous years has consistently shown a strong 

relationship between high-quality Peace Corps medical 

officers and content, healthy Volunteers. In FY 2015, 

the agency broadened the role of the medical officer, 

integrating them into more aspects of site development and 

the Volunteer lifecycle and elevating the position to one of 

the leadership roles at posts. Improving the retention of highquality medical officers is expected to increase Volunteer 

satisfaction with medical and mental health support.
49 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

1.1 

INCREASE VOLUNTEER SATISFACTION WITH 

SAFETY AND SECURITY SUPPORT 

Increase the percentage of Volunteers who report 

feeling “satisfied” or “very satisfied” a with safety 

and security support to 82 percent by FY 2018

a Includes the top two positive response options on a five-point

 balanced scale.

b

 Due to the improvements to the Annual Volunteer Survey (AVS) in 

FY 2014, including modifying the response scales and reducing the 

length of the questionnaire by half, results from FY 2010–13 may not 

be directly comparable to results in FY 2014 and future years. However, 

year-to-year comparison of results from FY 2014 onward is possible. 

Targets set for FY 2015 and beyond have been revised in view of the 

higher than projected FY 2014 results.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- -- 76%

 Result 73% 73% 68% 71% 84%b 81%

 FY 2015 Status | TARGET MET

ANALYSIS

The target was met in FY 2015. This performance goal provides 

an assessment of the agency’s safety and security prevention 

and response systems from the perspective of the end user: the 

Volunteer. The agency emphasizes effective Volunteer safety 

and security training as the cornerstone of a rigorous Volunteer 

safety and security program. This program is designed to enable 

Volunteers to assess their own situations in order to reduce 

risk as well as to respond to crime and security incidents. 

Volunteers who felt they had learned personal security skills 

in their training were more satisfied with Peace Corps safety 

and security support overall than those who felt their training 

had been insufficient. While 81 percent of Volunteers report 

satisfaction with safety and security support overall, the graph 

below breaks down three different types of safety and security 

training Volunteers receive: Recognize, Assess, Decide, Act, 

Reassess (RADAR), Sexual Assault Awareness and Impact 

Training, and Bystander Intervention Training (BIT). Volunteers 

report similar levels of satisfaction for these three types of 

training, all of which are offered during pre-service training.

Note: These results are based on Volunteer responses to the following 

questions: “How satisfied are you with the following types of support 

provided by in-country Peace Corps staff: Safety and security?”; “Have 

you used your “RADAR” or personal security skills in the past 12 

months?”; “Have you used Sexual Assault Awareness skills to mitigate 

unwanted sexual advances in the past 12 months?”; and “Have you 

used Bystander Intervention skills in the past 12 months?”

Data Source: Annual Volunteer Survey

Lead Office: Office of Safety and Security

Performance Goal 1.1 Results 

86%

82%

81%

82%

84%

83%

68%

63%

67%

Satisfaction with Safety and Security Support by 

Type of Training and Level of Perceived Learning

RADAR Sexual Assault Awareness Bystander Intervention

Learned and 

successfully used the 

skill (n=1,253)

Learned, but did not

need to use the skill 

(n=1,300)

No training or

insufficient learning 

(n=337)

Percentage of 

respondents 

who are 

satisfied or 

very satisfied
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 50

PERFORMANCE SECTION

1.2

REDUCE VOLUNTEER DISSATISFACTION WITH MEDICAL 

AND MENTAL HEALTH SUPPORT

Reduce the percentage of Volunteers dissatisfieda

with medical and mental health support to 7 

percent by FY 2016

a Includes the bottom two negative response options on a five-point 

 balanced scale. 

b Due to the improvements to the Annual Volunteer Survey (AVS) in 

FY 2014, including modifying the response scales and reducing the 

length of the questionnaire by half, results from FY 2010–13 may not 

be directly comparable to results in FY 2014 and future years. However, 

year-to-year comparison of results from FY 2014 onward is possible. 

Targets set for FY 2015 and beyond have been revised in view of the 

higher than projected FY 2014 results.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 8% 7%

 Result 7% 7% 7% 9% 9%b 10%

 FY 2015 Status | TARGET NOT MET

ANALYSIS

The target was not met in FY 2015. This performance goal 

provides an assessment of the agency’s health-care support to 

Volunteers from their perspective as end users and focuses on 

a reduction in dissatisfaction levels. The Peace Corps provides 

direct medical care for its Volunteers, and several factors may 

contribute to their satisfaction, including disease incidence, 

satisfaction with Peace Corps medical officers, the quality of 

local providers and medical facilities, as well as expectations 

of care and treatment that may differ from what is available in 

resource-restrained countries. Analysis of FY 2015 survey data 

shows the average of 10 percent dissatisfaction is largely driven 

by responses from Volunteers in nine countries where more than 

15 percent were dissatisfied by the medical care provided by 

their medical officers. The remaining 46 countries were closer 

to the seven percent target. It should be noted that Volunteer 

satisfaction with health services is only one measure of quality 

health care and does not constitute an objective measure of 

the actual health status of Volunteers. The agency will continue 

to explore health indicators in an effort to determine the best 

subset of variables that would track objective measures of 

Volunteer health and well-being.

Performance Goal 1.2 Results 

Dissatisfaction with Health Care Received 

from PCMO(s) among Volunteer Respondents

Fifty five countries surveyed

46 15% Or Fewer Dissatisfied 9 More Than 15% Dissatisfied

Note: This result is based on the following question: “How satisfied are 

you with the health care that you have received from your PCMO(s)?” 

Volunteers who responded that they had not received any healthcare 

from the PCMO in the past 12 months were not included in this analysis.

Data Source: Annual Volunteer Survey

Lead Office: Office of Health Services
51 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

Position the Peace Corps as the top 

choice for talented Americans interested 

in service by reaching a new generation 

of potential Volunteers and streamlining 

the application process

Increasing the quantity and quality of Volunteer applications 

is essential in order to position the agency to provide 

development assistance that is responsive to local community 

needs and to promote cross-cultural understanding between 

the United States and other countries through the work of 

skilled Volunteers. Changes to the application and selection 

process have resulted in a 32 percent increase in applications 

from September 30, 2014 to September 30, 2015. Due to 

the increased pool of highly capable applicants, the Peace 

Corps anticipates that these changes will improve the agency’s 

ability to provide higher-quality trainees to overseas posts. 

KEY STRATEGIES AND ACTIVITIES

• Sustain improvements to the application process:

As a result of changes to the application process, applicants 

can now choose the programs and countries to which they 

would like to apply. In FY 2015, on average, 94 percent of 

invitees’ country preferences were honored, either through 

their preference for a specific country or their willingness 

to serve “anywhere.” At least 96 percent of invitees’ sector 

preferences were honored, either through their preference 

for a specific sector or their willingness to serve in any 

sector. In addition to significantly shortening the amount 

of time needed to complete an application (reduced 

from eight hours to one hour), the period from when an 

individual applied to when he or she was invited to Peace 

Corps service was reduced from an average of 7 months in 

FY 2014 to 4 months in FY 2015. 

• Utilize market research and new information sources to inform 

decision making:

An extensive market research study by the agency in 

FY 2015 yielded fruitful results. The research focused 

on primary influencers of future applicants to better 

understand the brand and value of the Peace Corps from 

the perspectives of core prospects (18- to 26-year-olds) and 

future prospects (15- to 17-year-olds). The agency plans to 

utilize these findings to inform marketing and recruitment 

strategies that are deliberate and data-driven. Additionally, 

the agency employed new tools to generate data for 

effective decision making in the placement process. The 

implementation of a “soft skills” questionnaire and a new 

interview rating tool has allowed placement officers to 

better rank candidates in the applicant pool.

• Increase service opportunities abroad:

In FY 2015, the agency worked to increase the number and 

variety of service opportunities in the field. In collaboration 

with our strategic partners, the agency explored new ways 

to increase the number of specialized Volunteer positions 

as well as to bolster support for new Peace Corps Response 

positions. As a result, the Peace Corps Response program 

has grown almost 13 percent in FY 2015 and over 

30 percent since FY 2012.

STRATEGIC OBJECTIVE 2: 

SERVICE OPPORTUNITY OF CHOICE Supports Strategic Goals 1, 2, and 3

FY 2015 Status | NOTEWORTHY PROGRESS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 52

PERFORMANCE SECTION

2.1

VOLUNTEER REQUESTS MET

Field 100 percent of the Volunteers requested by 

overseas posts each year

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- 95% 95% 95% 100% 100%

 Result 101% 97% 97% 90% 98% 97%

 FY 2015 Status | SLIGHTLY BELOW TARGET

Performance Goal 2.1 Results 

98%

North Africa and the 

Middle East (EMA)

98%

Africa (AF) 95%

Latin America (IAP)

97%

Eastern Europe/

Central Asia (EMA)

97%

Caribbean (IAP) 99%

Pacific Islands 

(IAP)

98%

Asia (EMA)

EMA | Europe, Mediterranian and Asian Region

IAP | Inter-America and the Pacific Region

AF | Africa Region

Percent of Annual 2015 Volunteer Survey Respondents who Facilitated Cross-Cultural Connections

Volunteers who report they facilitated direct interactions between 

American and host country individuals and communities

ANALYSIS

The FY 2015 results are slightly below target. Since the pool 

of talented, culturally sensitive Volunteers is the foundation 

upon which Peace Corps projects are built, measuring the 

agency’s ability to fully address overseas posts’ programming 

needs by meeting their requests for skilled Volunteers is a 

direct outcome measurement. While the Peace Corps has 

more than enough qualified applicants to meet the requests 

made by posts, attrition between the final date for applicants 

to join a new training group and the group’s actual date of 

departure from the United States is still the primary challenge 

to reaching a 100 percent fill rate. This attrition occurs for a 

number of reasons, including the following: (1) changes in the 

number of Volunteers requested by posts; (2) posts’ caution in 

requesting more Volunteers than they need to compensate for 

attrition out of concern that they may receive more Volunteers 

than they are prepared to receive; (3) invitees withdrawing their 

applications after accepting their invitation but before their 

departure date for reasons not related to the Peace Corps; and 

(4) invitees not receiving medical or legal clearance in a limited 

number of cases. The agency will continue to improve upon 

attrition mitigation strategies—including researching ways to 

strengthen the engagement of invitees during the pre-departure 

environment—in order to meet the Volunteer requests of posts.

Data Source: Peace Corps database 

Lead Office: Office of Volunteer Recruitment and Selection
53 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

2.2

INCREASE SERVICE OPPORTUNITIES

Increase the number of Volunteers serving 

annually to 10,000 by FY 2018

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 7,600 8,200

 Result 8,655 9,095 8,073 7,209 6,818 6,919

 FY 2015 Status | TARGET NOT MET

Performance Goal 2.2 Results 

Change in the Number of Volunteers and 

Trainees from FY 2014 to FY 2015

-150 -100 -50 0 50 100

-101

-22

6

13

45

78

82 Eastern Europe/

Central Asia

Asia

Latin America

Pacific Islands

Caribbean

North Africa/

Middle East

Africa

150

ANALYSIS

The target was not met. In FY 2015, the Peace Corps 

maintained active programs in 63 countries, administered by 

59 overseas posts. Program closings and temporary program 

suspensions present substantial challenges to steadily 

increasing the number of Volunteers in the field. In FY 2015, 

the program in Jordan was temporarily suspended due to 

security concerns, and operations in Azerbaijan were suspended 

after 11 years due to a lack of agreement with the host 

government. In FY 2016, the agency plans to open a program 

in Myanmar (Burma) and to reopen a program in Timor-Leste. 

The figure below shows the change in the number of Volunteers 

in the field by sub-region, providing geographic context for the 

growing and shrinking presence of the Peace Corps in different 

areas of the world. The Africa region accounts for the largest 

decrease in Volunteers in FY 2015; this is primarily attributed 

to the number of Volunteers who were temporarily evacuated 

from Guinea, Liberia, and Sierra Leone due to the Ebola 

outbreak in FY 2014. In the Asia region, the increase was led 

by growth in the Philippines. In Eastern Europe and Central 

Asia, Kosovo and Ukraine contributed the most to the increase 

in the number of Volunteers.

Data Source: Peace Corps database

Lead Office: Office of Global Operations
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 54

PERFORMANCE SECTION

2.3 

INCREASE APPLICATIONS

Increase applications for Volunteer service to 

25,000 by FY 2018

a The definition of an application for Volunteer service was modified 

in FY 2014; results for FY 2010-13 are reported using the previous 

definition, which did not include Peace Corps Response and which 

did require that individuals submit both an application and a health 

history form. Under the updated definition, an “application” occurs 

when a qualified U.S. citizen submits a completed application for 

either the two-year Peace Corps Volunteer program or the short-term 

Peace Corps Response program. Results and targets for fiscal years 

2014 and beyond are reported based on this new definition, which 

includes applications from both the two-year program (22,956) and 

the Peace Corps Response program (1,892). In FY 2014, 17,336 

applications were received for the two-year program.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 20,000 22,000

 Result 13,430 12,206 10,091 10,118 19,151a 24,848

 FY 2015 Status | TARGET MET

Performance Goal 2.3 Results 

ANALYSIS

The target was met. The dramatic increase in the number of 

applications for Peace Corps service—currently at a 40-year 

high—is a clear indication of the competitiveness of the Peace 

Corps as a service opportunity of choice. The agency expects 

the revitalized recruitment and application processes in place 

will sustain high application numbers and ensure that there are 

multiple applicants for each Volunteer request. 

Data Source: Peace Corps database

Lead Office: Office of Volunteer Recruitment and Selection

Two-Year Applications Received

[FY 1961–2015]

50k

45

40

35

30

25

20

15

10

5

0

1961

‘63’65‘67’69‘71’73‘75’77‘79’81‘83’85‘87’89‘91’93‘95’97‘99’01‘03’05‘07’09‘11’13

2015

28,761

22,956

45,653

Year

Number of Applications

Note: This graph illustrates the trend in two-year 

applications since the Peace Corps launched in 1961.
55 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

2.4

REDUCE TIME FROM APPLICATION TO INVITATION

Reduce the average time from application to 

invitation to no more than 3 months by FY 2016

a In FY 2013, the application and medical review processes were

modified; invitations are now offered prior to medical clearance. 

This resulted in a reduction of the average time from application 

to invitation.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 5 months 4 months

 Result -- 10 months 11 months 6 monthsa 7 months 4 months

 FY 2015 Status | TARGET MET

ANALYSIS

The target was met. Recent improvements, such as the 

elimination of nominations and medical pre-screening as well 

as the overall simplification of the application process, have 

reduced the average time from application to invitation. The 

wait time decreased steadily throughout FY 2015 from a high of 

6.7 months at the beginning of the first quarter to 2.6 months 

by the end of the fourth quarter. The average time for FY 2015 

was 4.2 months.

Performance Goal 2.4 Results 

Average Time in Months 

from Application to Invitation by Month

8

7

6

5

4

3

2

1

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep

Target

Result

6.7

2.6

Number of Months

FY 2015

Data Source: Peace Corps database

Lead Office: Office of Volunteer Recruitment and Selection

Apply

Fill out the online 

application.

Complete the

Health History Form

Provide your health history 

so we can match you with 

countries that can support 

your medical needs.

Choose

Browse current 

openings and pick 

where you want to 

serve and what you 

want to do.

Interview

If selected to interview, 

talk to a Peace Corps 

placement officer about 

your skills and interests.

Invitation

If chosen, receive and 

respond to your 

invitation to serve. 

Congratulations!

Medical Clearance

Get the final OK from the 

Peace Corps Medical 

Office to serve abroad.

Departure Embark on your Peace 

Corps service assignment, 

starting with training

in the U.S.

peacecorps.gov

peacecorps.gov

peacecorps.gov

1 2 3 4 5 6 7 8

Soft Skills 

Questionnaire Give the Peace Corps

an idea of your work style 

and the environment in 

which you excel.

PEACE CORPS APPLICATION PROCESS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 56

PERFORMANCE SECTION

Advance community-based development by 

strengthening the capacity of local individuals 

and communities, focusing on highly effective 

technical interventions, and leveraging strategic 

partnerships 

The Peace Corps contributes to local development outcomes 

and strengthens local capacity by implementing Volunteer 

projects that utilize technical interventions proven to 

be successful. The agency also partners with other U.S. 

government, nongovernmental, and private sector development 

organizations to enhance Volunteers’ impact through knowledge, 

skill, and resource sharing.

The Peace Corps has prioritized further strengthening its 

capacity to measure the development impact of its Volunteers. 

Additional data are needed, however, to fully document the 

degree to which the agency’s strategies for programming, 

training, and evaluation are sufficient to lead toward gains in 

local development efforts.

KEY STRATEGIES AND ACTIVITIES3

• Revise Volunteer project frameworks:

In response to a recommendation in the 2010 

Comprehensive Agency Assessment (http://go.usa.gov/cq6A9) 

to bring greater focus to projects and more targeted training 

to Volunteers, the agency has invested in a multiyear effort 

to revise project frameworks in order to provide clear, concise 

logic to link goals, objectives, and activities with indicators of 

success. All Peace Corps posts around the world revised their 

Volunteer project frameworks in FY 2013 and were provided 

feedback from headquarters. This effort has continued in 

FY 2014 and FY 2015 in relation to project openings, 

reviews, and closings. It has resulted in project frameworks 

that contain a more streamlined set of indicators and targets 

against which Volunteers report their results.

• Actively participate in presidential and 

 whole-of-government initiatives:

Due to their location, intercultural competency, and language 

skills, Peace Corps Volunteers are well-positioned to expand 

the reach and enhance the efficacy of major development 

initiatives in local communities. Volunteers work on projects 

related to several presidential and whole-of-government 

initiatives, including the Energy and Climate Partnership of 

the Americas, Feed the Future, the Global Health Initiative, 

the President’s Emergency Plan for AIDS Relief (PEPFAR), 

the Global Education Framework Agreement, the President’s 

Malaria Initiative, and, most recently, Let Girls Learn.

• Establish regional standards for feedback to Volunteers: 

The agency recognizes the critical importance of providing 

timely and quality feedback to Volunteers on their work. 

To ensure that they benefit from the expertise of staff 

and the best practices of other Volunteers, the agency 

has established regional standards for the timeliness and 

frequency of this feedback. Dedicated staff members at all 

posts have been tasked with providing feedback to Volunteers 

on the quality of the data they provide on project indicators. 

Monitoring and evaluation coordinators are now onboard at 

many posts and are particularly important in facilitating this 

process. Some posts have also begun organizing collective 

reviews of project accomplishments among groups of 

Volunteers at Peace Corps trainings and conferences.

• Develop tools for data collection and feedback: 

During FY 2015, a successful effort by multiple offices in 

headquarters led to streamlining the number of standard 

sector indicators. Guidance was provided to support posts 

in meeting data quality expectations for the indicators 

they are using. To further improve data quality, the agency 

invested in the development of tools for Volunteers to use 

in reporting the results of their work. In addition, revisions 

to the Volunteer Reporting Tool in FY 2014 and FY 2015 

have allowed posts to manage their projects in a central 

database. Volunteers use this database to report their 

activities against project indicators. Program managers are 

able to immediately respond with feedback and questions. 

Additionally, data from Volunteers and posts can be rolled up 

to a central headquarters-based location and returned back 

to posts rapidly. This allows for more timely evidence-based 

decision making. 

STRATEGIC OBJECTIVE 3: 

DEVELOPMENT IMPACT Supports Strategic Goals 1 and 2

FY 2015 Status | AREA FOR IMPROVEMENT

3 Detailed information about Volunteer activities related to the

achievement of Strategic Objective 3: Development Impact can be 

found in the Work of the Volunteers Section.
57 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

3.1

ADVANCE COMMUNITY-BASED DEVELOPMENT OUTCOMES

Increase the percentage of projects with 

documented gains on community-based 

development outcomes

a The agency did not set targets for performance goals for which baseline 

data was collected in FY 2015. 

b FY 2015 results are preliminary and will be updated with the FY 2017 

Annual Performance Plan to be issued with the FY 2017 Congressional 

Budget justification in February 2016. It is expected that when the final 

Volunteer reports are submitted, the result will increase as it did in 

FY 2014. 

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Targeta -- -- -- -- -- --

 Result -- -- -- -- 76% 73%b

 FY 2015 Status | NO TARGET SET

Performance Goal 3.1 Results 

ANALYSIS 

This performance goal is measured using data from 19 standard 

sector indicators—reported by Volunteers in the Volunteer 

Reporting Tool (VRT)—which summarize their achievements 

across the Peace Corps’ six programmatic sectors. This 

performance goal’s result is based on an analysis of every 

project that includes one or more of the selected standard 

sector indicators in a Peace Corps post’s project framework. In 

FY 2015, 104 projects in 51 posts included one or more of the 

19 selected indicators. Within this set of 104, projects were 

considered to have demonstrated “gains” if their results for at 

least one of the indicators selected to measure this goal met the 

following two thresholds: (1) At least 25 percent of Volunteers 

reported results and (2) at least 25 percent of the annual target 

was achieved. This was a new performance goal in FY 2014. As 

such, the agency used baseline data from FY 2014 to establish 

the target beginning in FY 2016.

Data Source: Volunteer Reporting Tool 

Lead Office: Office of Global Operations
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 58

PERFORMANCE SECTION

3.2 

STRENGTHEN LOCAL CAPACITY

Increase the percentage of projects with 

documented gains in the capacity of host country 

individuals

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Targeta -- -- -- -- -- --

 Result -- -- -- -- -- 83%

 FY 2015 Status | NO TARGET SET

ANALYSIS

The agency launched its first survey of host country 

counterparts—the primary work partners of Volunteers—in 

FY 2014, reaching 1,436 out of an estimated 5,800 

counterparts globally (approximately 25 percent). The survey 

questions were designed to measure the counterparts’ 

perception of their own and their community’s capacity 

developed through working with Peace Corps Volunteers. In 

FY 2014, the percentage of surveyed counterparts was not 

sufficient to draw global or sector-specific results. As a result, 

the agency continued collecting baseline data in FY 2015 

using a revised approach that focused on a random sample of 

400 counterparts globally. The agency was able to survey 397 

of these 400 counterparts, thereby representing the entire 

population of Peace Corps counterparts worldwide. 

In order to minimize the potential for positive bias that 

might occur with a direct question on capacity development, 

the counterparts were asked to rank the importance of five 

Volunteer contributions to their work (identified in previous 

work) as proof of impact by counterparts, but only three of 

which were considered by the Peace Corps to be evidence of 

capacity development. Results for this performance goal were 

calculated as a percentage of the projects in which host country 

counterparts reported capacity development as Volunteers’ 

primary impact on their projects. 

Eighty-three percent of counterparts indicated that their 

Volunteers’ primary impact was related to capacity development. 

Counterpart responses that indicated that the largest impact of 

a Volunteer was “helped to improve the day-to-day work skills,” 

“motivated or inspired others to do better work,” or “suggested 

new ways to meet goals” were counted as evidence of capacity 

development. Responses that indicated that the largest impact 

of a Volunteer was “served as an extra staff member” or “helped 

to bring more money or prestige” were not counted as evidence 

of capacity development.

Performance Goal 3.2 Results 

Volunteer’s Greatest Impacts as Ranked by 

Counterpart Survey

36%

24%

22%

13%

4%

36% Helped improve day-to-day work skills of others

24% Motivated or inspired others to do better work

22% Suggested new ways to meet goals

13% Served as an extra staff member

4% Helped bring more money or prestige to work

Note: Results may not add to 100 percent due to rounding. The 

FY 2015 result for this performance goal was based on the 

following question: “Thinking of all of the Volunteers who you may have 

worked with, which of the following is the way in which those Volunteers 

have had the largest impact on your work, and which would you say is 

the way in which they have made the smallest impact?” (n=396).

Data Source: Global Counterpart Survey

Lead Office: Office of Global Operations

a The agency did not set targets for performance goals for which 

baseline data was collected in FY 2015. 
59 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

3.3 

IMPROVE FEEDBACK TO VOLUNTEERS

Increase the percentage of Volunteers satisfieda

with the timeliness and quality of feedback 

provided on their work to 68 percent by FY 2018

a

 Includes the top two positive response options on a balanced five-

 point scale. 

b

 Due to the improvements to the AVS in FY 2014, including

modifying the response scales and reducing the length of the 

questionnaire by half, results from FY 2010-13 (shaded in gray) may 

not be directly comparable to results in FY 2014 and future years. 

However, year-to-year comparison of results from FY 2014 onward is 

possible. Targets set for FY 2015 and beyond have been revised in 

view of the higher than projected FY 2014 results.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 40% 59%

 Result 35% 39% 33% 38% 55%b 54%

 FY 2015 Status | TARGET NOT MET

ANALYSIS

The target was not met in FY 2015. Volunteers live and work 

in local communities that are often long distances away from 

Peace Corps staff. When Volunteers receive timely, high-quality 

feedback on their work from staff via email, text messages, 

phone calls, responses to the Volunteer Reporting Tool, or other 

mechanisms, they are able to benefit from the experience 

and advice of staff, share successes, and address challenges. 

This interaction contributes to the ability of Volunteers to 

achieve their project outcomes. Notably, a little over half of all 

Volunteers who responded on the AVS reported feeling satisfied 

with the timeliness and quality of the feedback provided by 

Peace Corps staff on their work. The individual results on the 

two survey questions used to measure this performance goal 

showed that 61 percent of respondents were satisfied with 

timeliness of the feedback that they received, while 63 percent 

were satisfied with quality of feedback. Work availability at site 

proved highly correlated to Volunteer satisfaction with feedback 

on work reports. Volunteers who felt they had enough work at 

site were, on average, more satisfied with feedback on work 

reports than Volunteers who did not feel they had enough work 

at site. Additionally, Volunteers who were satisfied with the 

feedback received, on average, worked 10 more hours per week 

on their primary and secondary projects than Volunteers who 

were dissatisfied with the feedback they received. A number of 

new measures—including regional standards for feedback to 

Volunteers—have been implemented and are expected to lead 

to further improvement in FY 2016. 

Performance Goal 3.3 Results 

Volunteer Satisfaction with both 

timeliness and quality of feedback 

100%

37% 55%

Have enough

work at site

(n=3,490)

Don’t have enough 

work at site

(n=864)

Percentage of 

respondents 

who are 

satisfied or very 

satisfied with 

both timeliness 

and quality of 

feedback

80%

60%

40%

20%

Among Volunteers who:

Data Source: Annual Volunteer Survey

Lead Office: Office of Global Operations
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 60

PERFORMANCE SECTION

Build a deeper understanding of other 

cultures by developing long-lasting 

connections between American and host 

country individuals and communities 

Volunteers advance cultural understanding between the United 

States and the communities where they serve by living and 

working side by side with local partners and by sharing their 

experiences with family, friends, and the American public 

both during their service and when they return to the U.S. 

Through comprehensive intercultural4 learning opportunities, 

Volunteers acquire skills that allow them to not only understand 

other cultures but to navigate among cultures appropriately, 

responsibly, and effectively. In this way, Volunteers serve as 

cultural ambassadors between host countries and the United 

States, promoting mutual understanding among peoples 

through daily interactions and the use of new technology. 

Based on FY 2015 results, more progress is needed to improve 

outcomes related to cross-cultural understanding and facilitated 

interactions between Volunteers and host country communities. 

The agency is working to provide Volunteers and staff with 

effective training and resources that reflect recent advances in 

intercultural competence. 

KEY STRATEGIES AND ACTIVITIES5

• Develop intercultural competence training and tools:

Intercultural competence encompasses the knowledge, 

skills, and attitudes necessary to communicate effectively 

and appropriately with people from other cultures. In 

FY 2015, the agency released new online intercultural 

competence training for both staff and Volunteers. In FY 

2016, the agency will adopt newly designed intercultural 

competency tools for Peace Corps trainees, Volunteers, 

host country staff, U.S. direct hire staff, host families, and 

counterparts that will better equip them to interact and 

communicate effectively and appropriately across cultures.

• Leverage new platforms to promote cross-cultural understanding:

In FY 2015, the agency redesigned aspects of the 

Correspondence Match program to facilitate independently 

identified “matches” between Volunteers and U.S. teachers, 

improved methods for collaboration through social media, and 

the promotion of new technologies to enable communication 

between host and home communities. Additionally, the agency 

hosted eight model events where a Volunteer and a member 

of his or her host community participated in video chats with 

members of the American public. For more information on 

how the Peace Corps facilitates cross-cultural understanding 

in classrooms across the country, visit http://go.usa.gov/cYY8k. 

4 The term “intercultural” emphasizes the diversity found within groups 

 and the complex multicultural context in which the Peace Corps operates. 

5 Volunteer activities related to the achievement of Strategic Objective 4: 

 Cross-Cultural Understanding can be found in the Work of the Volunteers Section.

STRATEGIC OBJECTIVE 4: 

CROSS-CULTURAL UNDERSTANDING Supports Strategic Goals 1, 2, and 3

FY 2015 Status | AREA FOR IMPROVEMENT
61 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

4.1

GREATER UNDERSTANDING OF AMERICANS

Increase the percentage of counterparts who 

report a greater understanding of Americans 

after working with a Volunteer

a The agency did not set targets for performance goals for which baseline 

data was collected in FY 2015. 

b This result is based on the following question: “Have you learned 

 anything new about the United States or Americans through your 

 interactions with Peace Corps Volunteers?”

ANALYSIS

This performance goal is measured through the Global 

Counterpart Survey, first launched in FY 2014. Counterparts 

work closely with Volunteers and their increased understanding 

of the United States and the American people is a result of 

sustained day-to-day interactions with Volunteers. Nine in 10 

Peace Corps counterparts reported that they learned something 

new about the United States after working with Volunteers. The 

FY 2015 result is based on survey data collected from a random 

sample of counterparts. As a result, it has a lower margin of 

error than the census of counterparts that the agency attempted 

in FY 2014. It is, thus, a more reliable reflection of counterpart 

sentiment.

The survey included a supplemental question about the specific 

content that the counterparts reported learning through working 

with Peace Corps Volunteers. (See graph). Counterparts reported 

that they learned most about how Americans approach work, 

followed by American values and diversity. This data provides 

information on one aspect of the impact of Volunteers on the 

Peace Corps’ goal of promoting a better understanding of 

Americans.

Performance Goal 4.1 Results 

Percentage of Counterparts Surveyed Who 

Ranked Each Option Below as the Volunteers' 

Greatest Impact

51%

21%

21%

4% 3%

51% How Americans approach work

21% American values

21% How diverse Americans are 

4% How the United States government works

3% United States history

Note: The FY 2015 result for this performance goal was based on the 

following question: “Which of the following is the thing that you have 

learned the most about through working with Peace Corps Volunteers, 

and which is the thing that you have learned the least about through 

working with Peace Corps Volunteers?” (n=356).

Data Source: Global Counterpart Survey 

Lead Office: Office of Global Operations

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Targeta -- -- -- -- -- --

 Resultb -- -- -- -- 94% 90%

 FY 2015 Status | NO TARGET SET
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 62

PERFORMANCE SECTION

4.2

INCREASE CROSS-CULTURAL CONNECTIONS

Increase the percentage of Volunteers who report 

they facilitated direct interactions between 

American and host country individuals and 

communities to 62 percent by FY 2016

ANALYSIS 

FY 2015 results were slightly below the target. This 

performance goal captures Volunteers’ work to facilitate direct 

in-person and virtual interactions between Americans and 

host country peoples through participation in match programs, 

social media, in-person visits, web conferences, and other 

mechanisms. This question was included in the Annual 

Volunteer Survey for the first time in FY 2014 and therefore 

trend data is not available. In FY 2015, the agency worked 

to improve Volunteer integration by strengthening Volunteer 

training and Volunteer resources related to intercultural 

competence. Increases in Volunteers’ intercultural competence 

allow for more culturally appropriate and mutually beneficial 

interactions with host country individuals. As shown in the 

following graph, well-integrated Volunteers were far more likely 

to facilitate direct interactions between Americans and host 

country individuals. The agency expects that the adoption of the 

newly designed intercultural competence tools and training for 

Volunteers will improve performance in FY 2016.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- -- 60%

 Result -- -- -- -- 57% 57%

 FY 2015 Status | SLIGHTLY BELOW TARGET

Performance Goal 4.2 Results 

Data Source: Annual Volunteer Survey

Lead Offices: Office of Overseas Programming and Training 

Support, Office of Third Goal and Returned Volunteer Services

Integrated Volunteers are More Likely to 

Facilitate Direct Interactions Between 

Americans and Host Country Individuals

0 10 20 30 40 50 60 70 80 90 100%

Percent of Volunteers who responded to both questions

(n=5,160)

How integrated 

into your 

community 

do you feel?

Very well or

well integrated 

(70%)

Not well 

integrated 

(30%)

Did you facilitate direct interactions between Americans 

and host country individuals in the last 12 months?

44% 56%

62% 38%

Yes No
63 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

Support returned Volunteers’ continuation 

of service by fostering a vibrant alumni 

network, providing tools and resources 

to ease their transition after service, and 

offering opportunities for them to share 

their experiences 

More than 220,000 Americans have served as Peace Corps 

Volunteers since 1961—a significant “domestic dividend” of 

skilled and dedicated individuals who continue serving the 

American public and the overseas communities where they lived 

and worked long after they return home. By providing tools and 

resources to Volunteers to ease their transition after service, 

such as career counseling and best practices for sharing 

their experiences and promoting service, the Peace Corps is 

positioning returned Volunteers to be active contributors to 

the agency’s Third Goal. The agency also encourages returned 

Volunteers to share their experiences with family, friends, and 

the public; build and maintain connections among Americans 

and host country individuals and communities; and recruit 

the next generation of Volunteers. Significant additional work 

to advance the Peace Corps mission is undertaken directly 

by the returned Peace Corps Volunteer community through 

returned Volunteer groups and the actions of individual returned 

Volunteers—independent of the agency. Notably, a significant 

number of returned Volunteers continue their service as 

international development or foreign policy specialists.

KEY STRATEGIES AND ACTIVITIES:

• Leverage social media platforms to build returned Peace Corps 

Volunteer (RPCV) networks: 

The agency facilitated RPCV connections and career services 

through public platforms, such as LinkedIn, Facebook, and 

Twitter. At the end of FY 2015, there were nearly 13,000 

RPCVs on LinkedIn, 2,400 RPCV Friends and Family 

Facebook Group members, and 1,600 Twitter followers. 

The effective use of public platforms also provided more 

opportunities than ever before for RPCVs to share their 

stories and facilitate cross-cultural understanding. 

• Strengthen RPCV services through online resources: 

The agency provided career and Third Goal-related resources 

to the RPCV community on the Peace Corps website 

(http://go.usa.gov/c36K4). Improvements in FY 2015 

included new resources on the RPCV Virtual Career Center 

and expanding the “Bring the World Home” section, which 

provides tools to help RPCVs share their stories.

• Expand RPCV career events across the country: 

In FY 2015, the agency worked to offer career events to 

RPCVs at a variety of locations outside of Washington, D.C. 

The Peace Corps held its first four-day career conference 

in Seattle and piloted a new Virtual Career Conference that 

included participants from across the country. 

STRATEGIC OBJECTIVE 5: 

CONTINUATION OF SERVICE Supports Strategic Goal 3

FY 2015 Status | AREA FOR IMPROVEMENT
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 64

PERFORMANCE SECTION

5.1

SUPPORT RPCV CAREER TRANSITION

Increase the number of returned Volunteers who 

access the Peace Corps’ career services to 3,000 

by FY 2016

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 2,500 2,750

 Result -- -- -- -- 2,649 2,831

 FY 2015 Status | TARGET MET

Performance Goal 5.1 Results 

ANALYSIS

The target was met. The career services included in the 

measure for this performance goal are career conferences and 

fairs, employer panels, employer information sessions, careerfocused webinars, résumé reviews, mock interviews, and career 

service consultations provided at headquarters and regional 

recruitment offices. The figure below displays the number of 

RPCVs who accessed these different types of the Peace Corps’ 

career services for FY 2015 by month.

Overview of Returned Volunteer Services (RVS) in FY 2015

Sum of Registered

Returned Volunteer

Services by Activity

Oct Nov Dec Jan Feb Mar Apr May Jun Jul

500

400

300

200

100

2014 2015

Career Event 

Participants

Resume, Cover 

Letter, Interviews

Career Center 

Usage

RVS Questions 

and Referrals

72

126

133

118

32

125

126

70

89

67

39

62

100

131

97

71

53

133

93

92

125

79

65

103

151

60

136

166

152

91

32

75

30

156

86

77

159

83

Aug Sep

70

89

129

98

24

130

60

62

114

27

Sums of Each:

Data Source: Peace Corps administrative records

Lead Office: Office of Third Goal and Returned Volunteer Services
65 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

5.2

INCREASE RPCV ENGAGEMENT

Increase the number of returned Volunteers who 

participate in agency-supported Third Goal 

activities to 16,000 by FY 2018

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 8,000 10,000

 Result -- -- -- -- 9,754 10,866

 FY 2015 Status | TARGET MET

ANALYSIS 

The target was met. This performance goal measures RPCV 

participation in agency-supported activities to increase 

Americans’ awareness and knowledge of other cultures, including 

the Coverdell World Wide Schools Speakers Match program, 

Peace Corps Week, Third Goal conferences and summits, and 

recruitment events. The majority of agency-supported Third 

Goal events are conducted at the Peace Corps headquarters in 

Washington, D.C., and at regional recruitment offices across 

the country. To expand the reach of Third Goal activities beyond 

agency-lead events, the Peace Corps will take steps to increase 

the resources and materials available for returned Volunteers to 

independently conduct Third Goal activities in their communities. 

Strategies to improve performance on this measure in the next 

year include further improving communication platforms for 

returned Volunteers, supporting the development of independent 

Volunteer alumni groups by providing materials on the promotion 

of the Third Goal, and developing a “Third Goal and Returned 

Volunteer Services” curriculum to be included in pre-departure, 

pre-service, and close-of-service training for Volunteers.

Data Source: Peace Corps administrative records

Lead Office: Office of Third Goal and Returned Volunteer Services

Performance Goal 5.2 Results 

Third Goal Activity Breakdown in FY 2015

Classroom Presentation

Community Group Presentation

Social Group

Workplace Presentation

Newspaper Article

Scouting Group

Other

47.5%

20.6%

6.0%

5.9%

1.7%

4.1%

14.3%

65 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 66

PERFORMANCE SECTION

Actively recruit, support, and retain a 

diverse workforce and Volunteer corps and 

build an inclusive culture that encourages 

collaboration, flexibility, and fairness

The Peace Corps recruits a diverse workforce and Volunteer 

corps to ensure that Volunteers are well-positioned to serve as 

cultural ambassadors in the local communities where they live 

and work. To promote a better understanding of America, it is 

critical that Volunteers represent the rich diversity of the U.S. 

population. In addition, since many staff are drawn from the pool 

of returned Volunteers, a diverse Volunteer corps contributes to 

building a more diverse workforce. To harness and support the 

unique perspectives of a diverse Peace Corps, the agency fosters 

an inclusive culture that encourages collaboration, flexibility, 

fairness, and meaningful ongoing dialogue.

KEY STRATEGIES AND ACTIVITIES

• Launch the Diversity Governance Council: 

The Peace Corps formally constituted the charter of its 

new Diversity Governance Council and held the inaugural 

meeting in September 2015. Senior staff will participate in 

the council’s quarterly meetings along with agency diversity 

practitioners and representatives from each employee 

resource group. The activities planned for this council 

include developing a four-year diversity and inclusion 

strategic plan and overseeing its implementation, monitoring 

compliance with Peace Corps regulations and presidential 

orders, facilitating the appointment of senior liaisons for 

employee groups, serving as a forum to address key issues, 

and providing advice to agency leadership.

• Integrate diversity, inclusion, and intercultural competence:

In FY 2015, the Peace Corps linked its diversity and 

inclusion efforts with intercultural competence. The agency 

developed intercultural training and consultations that 

specifically target Volunteers and the post staff who train 

Volunteers. Both the creation of the Diversity Governance 

Council and the development of a diversity dashboard have 

served as catalysts for cross-office collaboration throughout 

the agency. In FY 2016, the Peace Corps will revise its 

training for directors, managers, and supervisors to address 

new diversity and inclusion goals in addition to Equal 

Employee Opportunity policies and principles. 

• Reach underrepresented populations: 

The Peace Corps is committed to maintaining a diverse 

Volunteer corps that represents the U.S. population. 

In FY 2015, the agency sought new ways to reach 

underrepresented communities and retain diverse candidates 

throughout the application process. In FY 2015, the Peace 

Corps collaborated with strategic partners, local and regional 

groups connected to diverse communities, and returned 

Volunteer groups to support the engagement of diverse 

communities and potential applicants. The agency intends 

to build upon existing programs and develop a plan for a 

mentoring program to connect recently returned Volunteers 

with current Peace Corps applicants to improve retention. 

A new performance goal to advance this objective has been 

included in the FY 2017 Annual Performance Plan.

• Strengthen employee resource groups:

Peace Corps employee resource groups are created by 

employees around a shared area of interest or diversity 

aspect. They are supported by the agency to promote 

networking, career development, community service, and 

cross-cultural understanding. Each group developed a 

charter for its members and has a member of the senior 

staff serve as liaison between the group and other agency 

leaders. The Peace Corps currently has employee resource 

groups to support staff of African, Asian/Pacific Islander, and 

Hispanic ancestry; Jewish faith and ancestry; members of the 

LGBTQA (lesbian, gay, bisexual, transgender, queer, and ally) 

communities; parents; women; veterans; as well as groups 

on “mindfulness” (meditation and relaxation for managing 

stress) and non-denominational faith. These groups are 

open to all Peace Corps employees. The Peace Corps has 

also added full-time staff positions dedicated to promoting 

diversity in the agency. 

STRATEGIC OBJECTIVE 6: 

DIVERSITY AND INCLUSION Supports Strategic Goals 1, 2, and 3

FY 2015 Status | NOTEWORTHY PROGRESS
67 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

6.1

INCREASE APPLICANT DIVERSITY 

Increase applications for Volunteer service from 

individuals of minority racial and ethnic groups to 

35 percent by FY 2016

ANALYSIS

The target was met. In recognition of the fact that Peace Corps 

projects generally require at least a bachelor’s degree level of 

education, targets were developed based on diversity data from 

the college-degreed population of the United States. Minority 

racial and ethnic groups include the following designations 

on the Peace Corps application: Hispanic or Latino, Black or 

African American, Native Hawaiian or other Pacific Islander, 

Asian, American Indian or Native Alaskan, and two or more 

races. In the past decade, the percentage of applications from 

minorities has nearly doubled from 19 percent in FY 2005 to 

35 percent in FY 2015. The two largest minority groups are 

Hispanics (13 percent) and blacks or African-Americans 

(12 percent).

Performance Goal 6.1 Results 

Percentage of Applications Received from 

Individuals of Minority Racial and Ethnic Groups

50

45

40

35

30

25

20

15

10

5

%

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

19%

Fiscal Years

Percentage of Applications From Minorities

33%

35%

Data Source: Peace Corps database

Lead Office: Office of Volunteer Recruitment and Selection

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- 25% 26% 32% 34%

 Result 24% 26% 27% 30% 33% 35%

 FY 2015 Status | TARGET MET
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 68

PERFORMANCE SECTION

Performance Goal 6.2 Results 

6.2

BUILD AN OPEN AND INCLUSIVE 

ORGANIZATIONAL CULTURE

Increase the percentage of Peace Corps 

Volunteers, U.S. direct hire staff, and host country 

staff who report that the agency has an open and 

inclusive organizational culturea

 to 90 percent by 

FY 2016

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 85%b 88%

 Result U.S. direct hire staff

-- -- -- -- 88% 83%

Host country staff

-- -- -- -- 89% 92%

Volunteers

-- -- -- -- 80% 76%

a Includes the top two positive responses on a five-point balanced 

scale to the question: “To what extent do you agree or disagree that 

the organizational culture of the Peace Corps (including staff and 

Volunteers) is inclusive of diverse people?”

b The FY 2014 target only applied to U.S. direct hire staff and was 

based on an estimate derived from contextual information from the 

Employee Viewpoint Survey. Based on the collection of baseline data 

from host country staff and Volunteers through the Host Country Staff 

Survey and Annual Volunteer Survey, respectively (shaded in gray), 

targets for FY 2015 and beyond apply to all three groups. These 

results are based on 943 U.S. direct hire staff; 1,502 host country 

staff; and 5,189 Volunteers.

Data Sources: Annual Volunteer Survey, Employee Viewpoint Survey, 

Host Country Staff Survey

Lead Office: Office of Civil Rights and Diversity

Perception of Peace Corps as Inclusive

100

80

60

40

20

%

U.S. direct 

hire staff

Host country 

staff

Volunteers

Percentage of 

respondents 

who agreed or 

strongly 

agreed that 

Peace Corps 

is inclusive

83% 92% 76%

FY 2015 Target 88%

 FY 2015 Status | TARGET NOT MET

ANALYSIS

The target was not met among U.S. direct hire staff or 

Volunteers; it was met among host country staff. As a result, 

the overall target was not met. For this performance measure, 

an open and inclusive organizational culture constitutes a 

positive working environment as reflected in the interactions 

among members of the Peace Corps organization as a whole 

(e.g., Volunteers, post staff, and headquarters staff). This 

performance measure assesses the Peace Corps’ level of 

inclusivity by analyzing the perception of openness and 

inclusion of these groups with respect to race, ethnicity, age, 

sex, disability, religion, sexual orientation, veteran status, family 

status, and gender identity or expression.

Results from FY 2015 illustrate a difference between the 

perceptions of staff and Volunteers on the degree to which 

the Peace Corps’ organizational culture is open and inclusive. 

Ninety-two percent of host country staff, 83 percent of U.S. 

direct hire staff, and 76 percent of Volunteers agreed that 

the organizational culture of the Peace Corps (including staff 

and Volunteers) is inclusive of diverse people. The agency’s 

efforts to improve performance on this goal focus on narrowing 

this gap by facilitating the development of employee resource 

groups that are well-positioned to represent the perspective of 

their members. Currently, these groups are primarily utilized by 

headquarters staff. Discussions are underway to expand their 

reach to overseas staff and Volunteers.
69 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

Establish an environment conducive to 

Volunteer success through an integrated 

approach to developing effective projects, 

preparing work sites, and successfully 

collaborating with local partners

Before a Volunteer arrives in his or her country of service, 

the Peace Corps works to ensure that he or she will have 

meaningful work opportunities that meet the development 

needs of the local community and that there are local partners 

interested in working alongside the Volunteer. The agency 

also verifies that each work site can support the Volunteer’s 

safety, security, and medical and mental health needs. 

This foundation allows each Volunteer to focus on building 

relationships and strengthening local capacity both when he or 

she arrives in the community and throughout service.

KEY STRATEGIES AND ACTIVITIES

• Assess key drivers of effective site development: 

In FY 2015, the agency prioritized the rigorous analysis of 

two valuable data sources that inform site development: 

the Global Counterpart Survey and the Annual Volunteer 

Survey (AVS). Key findings from the AVS results shed new 

light on Volunteers’ perceptions of their sites and enable 

the agency to reassess site development priorities and 

strategies. Specifically, survey results showed that Volunteer 

site perception primarily consists of two broad areas: 

community demand for the Volunteer (as manifested in the 

perceived availability of quality work) and Volunteer comfort 

level (as manifested in the perceived degree of community 

integration, perceived safety risks, and the health-related 

lifestyle choices they make). Interestingly, Volunteer site 

perception was not associated with a number of other 

potentially relevant conditions, including housing adequacy, 

distance to other Volunteers, time spent with host families, 

and ongoing support functions provided by the Peace Corps, 

such as medical or administrative support. 

• Implement site development procedures: 

In FY 2015, the agency worked to implement the 

regional site development and monitoring standards, first 

introduced in FY 2014. In addition to adding staff in order 

to appropriately respond to new requirements at posts, 

the agency made progress on adapting site development 

criteria, policies, and procedures to specific conditions at 

each post. As a result, posts reported having clearer and 

better defined procedures to identify sites where Volunteers 

will have the resources they need. In FY 2016, the agency 

will continue to review and prioritize requests for additional 

resources in order for posts to continue to improve the site 

development process.

STRATEGIC OBJECTIVE 7: 

SITE DEVELOPMENT Supports Strategic Goals 1 and 2

FY 2015 Status | AREA FOR IMPROVEMENT
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 70

PERFORMANCE SECTION

7.1

IMPROVE SITE DEVELOPMENT 

Increase the percentage of Volunteers satisfieda

with site selection and preparation to 68 percent 

by FY 2018

a Includes the top two response options on a five-point balanced scale. 

b Due to the improvements to the Annual Volunteer Survey (AVS) in 

FY 2014, including modifying the response scales and reducing the 

length of the questionnaire by half, results from FY 2010–13 may not 

be directly comparable to results in FY 2014 and future years. However, 

year-to-year comparison of results from FY 2014 onward is possible. 

Targets set for FY 2015 and beyond have been revised in view of the 

higher than projected FY 2014 results.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 44% 62%

 Result 44% 42% 41% 42% 59%b 59%

 FY 2015 Status | SLIGHTLY BELOW TARGET

ANALYSIS

FY 2015 results were slightly below the target. This 

performance goal measures the percentage of Volunteers 

satisfied with site selection and preparation conducted by Peace 

Corps post staff. Site selection criteria address the planned 

work role for the Volunteers, the potential for integration, living 

arrangements, vulnerability to natural disasters, communication, 

availability of a local counterpart, transportation, access to 

essential health care and other support services, the security 

climate, and cooperation with host authorities. Consistent with 

FY 2014 results, Volunteer satisfaction with site selection 

and preparation remains heavily correlated with Volunteers’ 

perception of having adequate work at their sites. In FY 2015, 

nearly all respondents (97 percent) who perceived that they 

had high-quality work indicated that they liked their sites. 

Interestingly, the greatest difference between those who were 

satisfied with their site selection and preparation and those 

who were not satisfied related to the preparation of their 

counterparts. Volunteers who liked their site were 110 percent 

more likely to agree that host country individuals with whom 

they would be working were prepared for their arrival. The top 

five key drivers of Volunteer satisfaction with site selection and 

preparation are detailed in the graph below. By further analyzing 

these components of effective site development, the agency 

plans to develop targeted strategies on critical aspects of the 

site development process to improve future performance. 

Performance Goal 7.1 Results 

Data Source: Annual Volunteer Survey

Lead Offices: Africa Region; Europe, Mediterranean, and Asia Region; 

Inter-America and the Pacific Region

TOP FIVE DRIVERS OF VOLUNTEER SATISFACTION

1. Community members were prepared for the 

 Volunteer’s arrival.

2. Work is meaningful.

3. Work matches the Volunteer’s skills.

4. Sufficient work is available.

5. Work relates to community needs.
71 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

7.2

IMPROVE COUNTERPART SELECTION AND 

PREPARATION

Increase the percentage of Volunteers who are 

satisfieda

 with the community integration and 

project work support provided by their assigned 

counterpart to 61 percent by FY 2018

a

 Includes the top two response options on a five-point balanced scale.

b

 Due to the improvements to the AVS in FY 2014, including modifying 

the response scales and reducing the length of the questionnaire by 

half, results from FY 2010-13 (shaded in gray) may not be directly 

comparable to results in FY 2014 and future years. However, year-toyear comparison of results from FY 2014 onward is possible. Targets 

set for FY 2015 and beyond have been revised in view of the higher 

than projected FY 2014 results.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 34% 55%

 Result 33% 31% 32% 32% 53%b 51%

 FY 2015 Status | TARGET NOT MET

Performance Goal 7.2 Results 

Volunteer Satisfaction with Project Support by 

Assigned Counterpart and Community Integration

100

90

80

70

60

50

40

30

20

10

%

Felt very 

poorly or

poorly 

integrated

(n=263)

Felt neither 

poorly nor 

well 

integrated

(n=1,298)

Felt well or 

very well 

integrated

(n=3,577)

35%

54%

11%

31%

47%

23%

30%

30%

40% Respondents who 

are satisfied or

very satisfied with 

both project work

and integration

 Other respondents 

who answered both 

project work and 

integration questions

 Respondents who 

do not work with 

Peace Corps-assigned 

counterpart

Did not work with 

PC counterpart 

(n=1,497)

151

Answered both project

work and integration 

questions 

(n=1,813)

175

Satisfied or very

satisfied with both 

project work and

integration 

(n=1,764)

234

Estimated 

number of

days per

year

+1 est. month

+2 est. month

Percent of Respondents

ANALYSIS

The target was not met. This performance goal measures 

the percentage of Volunteers who are satisfied with both the 

community integration and project work support provided 

by their assigned counterpart. While Volunteers work with a 

variety of local partners throughout their service, the Peace 

Corps selects and assigns local counterparts to Volunteers 

when they first arrive at their sites to help integrate them into 

their communities and to serve as resources for their project 

work. Effective Volunteer integration in local communities is 

particularly critical to both Goal One and Goal Two success. 

When analyzed separately, Volunteers who felt more integrated 

in their communities were also more satisfied with the support 

provided by their counterpart. Additionally, respondents who 

were satisfied with their Peace Corps-assigned counterparts 

communicated with them more frequently, on average, than 

those who were less than satisfied. 

Recent Global Counterpart Survey data demonstrates that 

counterparts are aware of the critical nature of Volunteer 

integration. When asked for open-ended suggestions for 

increasing Volunteer impact in their communities, many more 

counterparts recommended an increased focus on integration, 

particularly through Volunteers’ cultural competency, than 

specific technical skills. The agency expects that increased 

cultural competency in both counterparts and Volunteers will lead 

to greater integration, which will lead to more satisfied Volunteers.

Note: Results may not add to 100 percent due to rounding.

Data Source: Annual Volunteer Survey

Lead Offices: Africa Region; Europe, Mediterranean, and Asia Region; 

Inter-America and the Pacific Region
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 72

PERFORMANCE SECTION

Develop a highly effective Volunteer 

corps through a continuum of learning 

throughout service 

High-quality training is central to the success of Volunteers. 

The Peace Corps invests in technical training to ensure that 

Volunteers have the necessary skills to lead and/or facilitate 

capacity-building efforts at the local level. Training also focuses 

on building Volunteers’ language skills and intercultural 

competence to advance their technical work and to facilitate 

cultural integration and mutual understanding. Providing 

a continuum of learning throughout service ensures that 

Volunteers receive the tools and support they need.

KEY STRATEGIES AND ACTIVITIES

• Expand training modalities: 

In FY 2015, the Peace Corps expanded its training 

modalities to provide staff, trainees, and Volunteers 

with distance learning opportunities through e-learning 

and virtual classrooms. Successful e-learning training 

initiatives completed in FY 2015 included two online 

courses for Volunteers on the Peace Corps’ Teaching 

English as a Foreign Language (TEFL) Certificate Program, 

an “HIV Basics” course for Volunteers, and a “Keys to 

Culture” course for all agency staff. The expansion of 

e-learning initiatives to diversify training delivery methods 

has enabled Volunteers to build their own continuum of 

learning outside of specified training and in-person events. 

For FY 2016, the agency has planned improvements to 

the online platform for staff knowledge management and 

exchange. The agency will continue to collaborate across 

offices and appropriate partners to ensure that coordinated 

learning paths are consistent and strategic in design and 

delivery. Training improvements include a self-directed, 

pre-departure learning program for invitees that will 

strengthen the link of pre-departure learning to training 

throughout service, as well as the development of distance 

learning programs to facilitate continuous learning.

• Evaluate the Peace Corps’ technical training: 

In FY 2015, the agency began the initial stages of a 

full-scale evaluation of technical training and key drivers 

of training effectiveness. Progress to date includes 

a submitted scope of work for the evaluation and an 

assembled evaluation team with representation from both 

headquarters and overseas post staff. In FY 2016, the 

evaluation planning will be completed, data collection and 

analysis activities launched and completed, and a final 

report—with clear, actionable recommendations—drafted 

and distributed to agency leadership. As sector-based 

technical training is one of the agency’s most critical 

processes and a cornerstone to Volunteer success, the 

evaluation findings will inform agencywide strategies and 

evidence-based decision making for several years.

STRATEGIC OBJECTIVE 8: 

TRAIN UP Supports Strategic Goals 1 and 2

FY 2015 Status | AREA FOR IMPROVEMENT
73 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

8.1

IMPROVE LANGUAGE LEARNING

Increase the percentage of Volunteers tested at 

close of service who achieve the “advanced” level 

or above on the language proficiency interview to 

70 percent by FY 2018

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 50% 55%

 Result -- -- -- -- 63% 63%

 FY 2015 Status | TARGET MET

ANALYSIS

This performance goal measures the percentage of Volunteers 

who achieve an “advanced” or “superior” level score on 

their language proficiency interview at their close of service. 

Although the target was met in FY 2015, the result represents 

only 54 percent of the Volunteers who closed their service. 

FY 2015 was the first year the Peace Corps required all posts 

to conduct close-of-service language testing for all Volunteers. 

The agency anticipates that results for this performance goal 

will change once all Volunteers are tested at close of service, 

but does not yet have sufficient evidence to indicate the 

direction of that change. 

Performance Goal 8.1 Results 

Percentage of Volunteers who are Tested

and Percentage who Achieved an Advanced 

Level or Above

Tested

54% 46%

Not tested

63%

37%

Of the Volunteers who were tested at close of service, 

63% achieved an advanced level or above.

Data Source: Peace Corps database

Lead Offices: Office of Overseas Programming and Training Support; 

Africa Region; Europe, Mediterranean, and Asia Region; Inter-America 

and the Pacific Region
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 74

PERFORMANCE SECTION

8.2

INCREASE EFFECTIVENESS OF TECHNICAL TRAINING

Increase the percentage of Volunteers who report 

that their technical training was effectivea

 in 

preparing them to work at their site to 67 percent 

by FY 2018

a Includes the top two positive response options on a five-point balanced 

scale.

b Due to the improvements to the Annual Volunteer Survey (AVS) in 

FY 2014, including modifying the response scales and reducing the 

length of the questionnaire by half, results from FY 2010–13 may not 

be directly comparable to results in FY 2014 and future years. However, 

year-to-year comparison of results from FY 2014 onward is possible. 

Targets set for FY 2015 and beyond have been revised in view of the 

higher than projected FY 2014 results.

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 52% 64%

 Result 44% 44% 44% 50% 63%b 63%

 FY 2015 Status | SLIGHTLY BELOW TARGET

ANALYSIS 

FY 2015 results were slightly below the target. This 

performance goal measures the percentage of Volunteers who 

reported that their training was effective in preparing them to 

perform the technical aspects of their work. Technical training 

includes the instruction Volunteers receive during pre-service 

training, in-service training, and other post-sponsored events 

that cover work activities related to their assigned project 

framework. In FY 2016, the agency will conduct an evaluation 

on the effectiveness of technical training to determine 

key levers of performance, both at overseas posts and at 

headquarters. The findings of the evaluation will provide more 

objective data on the effectiveness of technical training to 

supplement the data currently available from Volunteers.

Performance Goal 8.2 Results 

Data Source: Annual Volunteer Survey

Lead Offices: Office of Overseas Programming and Training Support; 

Africa Region; Europe, Mediterranean, and Asia Region; Inter-America 

and the Pacific Region

Evaluating the Key Levers of 

Technical Training Effectiveness

Standards

• Core & Sector competencies

• Terminal Learning objectives

• Adult learning methodologies

Learning Assessment

• Aligned with standards

• Variety of methods

Resources

• Learner-centered materials

• Sufficient training time

• Knowledge exchange

Qualified Trainers

• Effective staffing models

• Strategic and multi-modal 

 professional development

• Knowledge exchange

High Quality Taining
75 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

Cultivate a high-performing learning 

organization by investing in professional 

development for staff, improving 

staff retention, and strengthening 

institutional memory

Due to the five-year rule—the unique law that limits the 

majority of U.S.-based and American overseas staff to five-year 

appointments—the Peace Corps is routinely faced with high 

staff turnover that produces significant human capital and 

knowledge management challenges. The goal of this strategic 

objective is to mitigate these management challenges by laying 

the foundation for a high-performing learning organization 

through investments in staff development. The agency strives 

to increase retention of its employees to the fullest extent of 

the law, while recognizing the need to maximize knowledge 

exchange and institutional memory.

The Peace Corps employs multiple strategies for its work in 

this area, guided by three organizing principles: coordination, 

collaboration, and communication. Understanding that learning 

occurs through multiple means and modalities, a variety 

of resources have been made available to staff, including 

training workshops, conferences, self-directed learning, online 

resources, communities of practice, and staff exchanges. 

The agency is in the process of implementing multiyear 

initiatives to improve staff training and professional 

development for both U.S. direct hire staff (USDH) and host 

country staff. Additional progress is needed over time to realize 

this strategic objective.

KEY STRATEGIES AND ACTIVITIES

• Invest in a learning management system: 

The Peace Corps has allocated resources toward the 

development of a centralized learning management system, 

Peace Corps (PC) University. A significant overhaul of 

existing PC University content is underway to increase 

the functionality of the courses and ease of use. Through 

the acquisition of a new learning management system, 

PC University will include learning events to support staff 

development in addition to courses mandated by federal 

regulations and Peace Corps policy. It is also intended 

to include the capability to track individual development 

plans to support comprehensive learning for staff around 

the world. 

• Improve knowledge management: 

The agency created an enabling environment for knowledge 

management through the coordination of training and 

professional development, strengthened onboarding 

and off-boarding protocols, and the launch of the 

demonstration site for PCLive, a new online platform for 

Peace Corps Volunteers and staff to exchange knowledge 

and information. Volunteers will be able to access PCLive 

to search for relevant materials, share resources, and ask 

questions. Staff are able to use this new platform as a 

digital community to connect with Volunteers. It will serve 

as a key resource for best practices and new innovations.

• Expand staff learning and development: 

In FY 2015, an Internal Management Assessment on 

worldwide staff training recommended the creation of a 

new office for staff learning and development. Funding 

for this office was approved in FY 2015, and the Office 

of Staff Learning and Development will be established 

in FY 2016, drawing upon existing staff positions and 

the alignment of roles and responsibilities to streamline 

staff training development and to achieve other operating 

efficiencies. The Peace Corps has also made progress in 

developing a mentoring and coaching program for its staff, 

including components for host country staff that focus 

on effective strategies for advancing their careers and for 

working with Volunteers. 

STRATEGIC OBJECTIVE 9: 

HIGH-PERFORMING 

LEARNING ORGANIZATION

Supports Strategic Goals 1, 2 and 3

FY 2015 Status | AREA FOR IMPROVEMENT
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 76

PERFORMANCE SECTION

ANALYSIS

The target was met for the host country staff group, but not for 

the U.S. direct hire respondent group. As a result, the overall 

target was not met. Among the 2,950 host country staff, 2,084 

had an email address where they were able to receive the 

survey. Seventy-three percent of the staff with an email address 

(1,530 people) answered at least one question on the survey.

Other staff responses provide additional insights into how 

the agency supports staff training and development. The 

vast majority of the staff who responded to these two surveys 

agreed that they are given a real opportunity to improve their 

skills (73 percent of U.S. direct hire and 74 percent of host 

country staff respondents) and that supervisors in their units 

support employee development (78 percent of U.S. direct 

hire and 75 percent of host country staff respondents). It is 

interesting to note, however, that U.S. direct hire staff appear 

to be less likely than host country staff to agree that their 

training needs are assessed.

Note: The graph shows the top two positive response options to 

the following question: “How satisfied are you with the training 

you received for your present job?” (respondents: 924 USDH 

staff and 1,495 host country staff). The graph also includes 

those who “agree” or “strongly agree” with these statements: 

“My training needs are assessed” (948 USDH staff and 1,508 

host country staff); “I am given a real opportunity to improve 

my skills at the Peace Corps” (950 USDH staff and 1,510 host 

country staff); and, “Supervisors in my unit/at my post support 

employee development” (935 USDH and 1,513 host country 

staff).

Data Sources: Employee Viewpoint Survey and Host Country Staff Survey

Lead Offices: Office of Human Resource Management; Office of 

Overseas Programming and Training Support

Performance Goal 9.1 Results 

9.1

IMPROVE STAFF TRAINING

Increase the percentage of staff who are satisfieda

with the training they received to do their job to 62 

percent by FY 2018

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15 

 Target -- -- -- -- 54%b 56%

 Result U.S. direct hire staff

49% 50% 50% 57% 55% 52%

Host country staff

-- -- -- -- 62% 66%

a Includes the top two positive response options on a balanced 

 five-point scale.

b

 The FY 2014 target only applied to U.S. direct hire staff and was 

based on actual results from the Employee Viewpoint Survey. Based 

on the collection of baseline data from host country staff through the 

2014 Host Country Staff Survey, targets for FY 2015 and beyond 

apply to both U.S. direct hire staff and host country staff.

Responses to Training and Staff 

Development Questions

100

80

60

40

20

%

Satisfied 

with Training

Agreed that 

needs are 

assessed

Agreed that 

they have 

opportunities 

to improve 

skills

Agreed that 

supervisors 

support 

development

52% 66% 42% 66% 73% 74% 78% 75%

[Top two responses] Host Country Staff

FY 2015 Target

USDH Stafff

56%

 FY 2015 Status | TARGET NOT MET
77 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- -- --

 Resulta -- -- 3.5 years 4.5 years 4.0 years 4.2 years

 FY 2015 Status | NO TARGET SET

9.2

INCREASE STAFF TENURE

Increase the average tenure of U.S. direct hire staff 

to 4 years by FY 2016

a

 Results for FY 2012 to FY 2014 have been updated since the 

FY 2014 Performance and Accountability Report with the inclusion 

of data on additional staff who left the agency in those years. Those 

results are calculated for all staff who separated from the Peace Corps 

in each fiscal year using 8.5 years as the maximum time that any staff 

person could be extended as an employee of the Peace Corps. These 

results do not include senior executive staff in political appointments 

since their tenure is affected by factors external to the Peace Corps’ 

human resources system, such as changes in administration. The data 

are based on 183 employees who left the agency in FY 2012, 165 in 

FY 2013, 155 in FY 2014, and 178 in FY 2015.

ANALYSIS

Staffing at the Peace Corps is governed by the Peace Corps 

Act, which limits the appointments of most U.S. direct hire 

staff working in domestic and overseas offices to five years. The 

Peace Corps Act allows the Director to extend appointments 

for one additional year at her/his discretion and to offer an 

additional “tour” of 30 months for up to 15 percent of the U.S. 

direct hire staff. These additional appointments are generally 

offered to employees who have demonstrated an exceptional 

record of performance in order to achieve one of the following 

purposes: to promote continuity of functions in administering 

the Peace Corps; to permit individuals working at overseas posts 

to work in the United States; to permit individuals working 

in the United States to work at overseas posts; and to permit 

individuals working in a recruitment, selection, or a training role 

to serve in another capacity. Within the overall five-year limit, 

the agency works to retain high-performing employees for as 

long as possible in order to minimize staffing gaps. 

For the purpose of this performance goal, “average tenure” 

refers to the median months between an employee’s enter-onduty date and his or her separation date. Within the legislative 

limit of five years, the target for this goal is set at four years, in 

recognition of the fact that staff are aware of the five-year limit 

and will begin seeking other opportunities in their fourth year at 

the agency.

The Peace Corps continues to employ multiple strategies, both 

to increase staff tenure and to mitigate the effects of turnover, 

including improving the off-boarding process by investing 

in learning and knowledge management systems and by 

collaborating with other federal government agencies to place 

staff with noncompetitive eligibility. The rationale for these 

measures is that the additional support provided to assist Peace 

Corps staff in finding their next position allows them to delay 

their job search until much later in their five-year appointment. 

More time is needed to evaluate the effects of recent personnel 

staffing changes, including providing all employees with an 

initial five-year tour of duty (rather than an initial tour of 

30 months with an option to extend for a second tour of 30 

months), a policy change that began in the second quarter of 

FY 2013.

Note: Results may not add to 100 percent due to rounding.

Data Source: Peace Corps database

Lead Office: Office of Human Resource Management

Performance Goal 9.2 Results 

Length of Tenure by Tour and by Fiscal Year 

Percentage of staff leaving grouped by tour

First Tour Second Tour Third Tour Final Tour

FY 

20

35%

41

43

30

19%

28%

38

30%

34

28

23

11

16

8

8

8

12

FY 

2013

FY 

2014

FY 

2015
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 78

PERFORMANCE SECTION

Enable seamless communication and 

collaboration for all Volunteers and staff by 

modernizing and integrating information 

technology systems and leveraging the 

innovation of Volunteers and staff in the field

Although the Peace Corps operates in challenging host country 

environments, the rapid pace of improvement in connectivity 

and technology globally is creating new opportunities. The 

Peace Corps has embarked on an ambitious agencywide IT 

transformation effort focused on providing tools to allow staff 

and Volunteers to better communicate, collaborate, and report 

on their impact. 

KEY STRATEGIES AND ACTIVITIES

• Build modern and flexible systems that improve data access:

The Peace Corps has made progress on retiring old 

applications and developing new systems that are 

compatible with evolving technology. The agency retired a 

full 45 percent of legacy systems by the end of FY 2015. 

The agency is developing plans for significant migrations to 

cloud-based systems in FY 2016.

• Develop and implement a comprehensive, agencywide IT strategy:

In order to guide IT planning and future decision making, 

the agency completed an independent assessment of its 

IT strategy and operations in FY 2015. A team of external 

experts conducted the assessment which resulted in a 

forward-looking strategy for supporting staff and Volunteers 

with the most effective technology. The assessment team 

has been re-engaged to support a centralized planning and 

prioritization effort around a range of potential technology 

projects.

• Improve the agency’s knowledge exchange platform:

The agency relaunched an updated version of PCLive—

the Peace Corps’ knowledge and information exchange 

platform for Volunteers and staff—in FY 2015. In addition, 

the agency completed a significant market research effort 

around cloud-based email, productivity, and collaboration 

tools to prepare for migration to a cloud-based system in 

FY 2016, which will provide the agency’s increasingly 

mobile workforce with much-needed tools. 

STRATEGIC OBJECTIVE 10: 

GLOBAL CONNECTIVITY Supports Strategic Goals 1, 2 and 3

FY 2015 Status | NOTEWORTHY PROGRESS
79 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

10.1

DEVELOP AN INTEGRATED TECHNOLOGY PLATFORM

Retire all legacy applications and consolidate 

functions into an integrated platform by FY 2018

ANALYSIS

In FY 2014, the agency completed an audit of its legacy 

applications—defined as systems based on outdated technology 

that is no longer fully supported by the Peace Corps. Through 

the audit, the agency identified 131 legacy applications, 

one-third of which were identified as low-impact applications 

that could be retired without replacement. Other applications 

are being consolidated into the platform modernization project. 

In FY 2014, 19 of the low-impact applications were retired. In 

FY 2015, an additional 40 applications were retired.

Performance Goal 10.1 Results 

Develop an Integrated Technology Platform

Legacy Applications Modern Replacements

45%

Progress

Data Source: Peace Corps administrative records

Lead Office: Office of the Chief Information Officer

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 10% 30%

 Result -- -- -- -- 15% 45%

 FY 2015 Status | TARGET MET
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 80

PERFORMANCE SECTION

10.2

FACILITATE KNOWLEDGE SHARING

Increase the percentage of Volunteers who report 

that they use the digital materials provided by the 

Peace Corps in their work to 85 percent by FY 2016

a This question on the use of digital materials was included in the 

Annual Volunteer Survey for the first time in FY 2014; therefore, trend 

data is not available. This result is based on the following question: 

“How often did you use Peace Corps digital materials in your work in 

the last 12 months?”(n=5,183).

Performance Goal 10.2 Results 

ANALYSIS

FY 2015 results were slightly below the target. This 

performance goal measures the frequency of Volunteers’ use of 

the digital materials provided by the Peace Corps in their work, 

including materials received by email or downloaded through 

knowledge-sharing platforms such as PCLive. While Volunteers 

reported high usage of Peace Corps digital materials overall, 

survey results suggest that internet access is a constraint for 

some Volunteers in fully utilizing the digital materials provided 

by the Peace Corps. Twenty-four percent of Volunteers reported 

having used digital materials daily or weekly. Another 27 percent 

reported having used digital materials at least monthly, and 

26 percent used them less than once a month. 

Data Source: Annual Volunteer Survey

Lead Office: Office of Overseas Programming and Training Support

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- -- 80%

 Resulta -- -- -- -- 77% 78%

 FY 2015 Status | SLIGHTLY BELOW TARGET
81 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

STRATEGIC OBJECTIVE 11: 

MEASUREMENT FOR RESULTS Supports Strategic Goals 1, 2 and 3

Advance the agency’s ability to measure 

progress, improve performance, and 

demonstrate impact through integrated 

monitoring, reporting, and evaluation 

practices

The Peace Corps has significantly expanded its emphasis on 

evidence-based decision making and has newly developed capacity 

in monitoring, evaluation, evidence-gathering, and analysis, both 

in the posts abroad and at headquarters. These steps support the 

development of a larger culture of inquiry that encourages a critical 

mass of staff at all levels of the agency to question assumptions, 

test reality, and critically review current practices.

KEY STRATEGIES AND ACTIVITIES

• Ensure program planning includes monitoring and evaluation 

(M&E) functions from the outset: 

The agency has now hired M&E specialists at over half of its 

overseas posts and increased analytic staff at headquarters. 

It also established an M&E Task Force to streamline and 

better integrate monitoring and evaluation with programming. 

According to the recommendations of the task force, the 

agency will focus on more explicitly linking program theory 

with practice, using evidence in planning, and increasing the 

use of theories of change, logic models, and business cases.

• Expand the collection of baseline data for new country entries: 

In order to better evaluate the impact Peace Corps Volunteers 

have in the communities and countries they serve, the 

agency collected baseline data in a new country entry using a 

standardized approach for the first time in FY 2014 when it 

launched a program in Kosovo. The agency collected baseline 

data for a second country when it re-entered Comoros in 

FY 2015 after a 20-year absence. In FY 2016, the Peace 

Corps expects to conduct similar studies for new country 

entries and country re-entries, including Myanmar (Burma) 

and Timor-Leste (where Volunteer input was postponed from 

FY 2015 to FY 2016). While still receiving some technical 

support from headquarters, new Peace Corps posts will take 

on a greater role in developing baselines in FY 2016, thereby 

maximizing their utility of baselines in program development 

during the crucial start-up phase.

• Institutionalize new data sources: 

In FY 2015, the agency improved two surveys developed 

for initial use in FY 2014—the Global Counterpart Survey 

and the Host Country Staff Survey. In addition, significant 

improvements to the Annual Volunteer Survey (AVS) made 

in FY 2014 were maintained in FY 2015, enhancing the 

agency’s ability to generate accurate trend data into the 

future. Opinion data from these three key populations 

(counterparts, host country staff, and Volunteers), combined 

with data from the Volunteer Reporting Tool (VRT), provide 

the most comprehensive and quantitative measurement 

of the Peace Corps’ work in its history. Changes to survey 

questions and the VRT will be minimized going forward, 

while staff will support the collection of data and data-quality 

checks as an essential element of agency operations. 

FY 2015 Status | NOTEWORTHY PROGRESS
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 82

PERFORMANCE SECTION

11.1

CONDUCT BASELINES

Increase the percentage of new country entriesa

and new Volunteer project frameworks where 

baseline data has been collected or compiled to 

100 percent by FY 2016

a The term “new country entries” includes both countries that the Peace 

Corps is entering for the first time as well as countries it is returning to 

after a sustained absence.

b

 Peace Corps Volunteers collected baseline data in Kosovo shortly after 

arriving at their sites. Since the indicator in FY 2014 was framed as 

data collection prior to the arrival of the Volunteers, the timing of that 

baseline did not meet the criteria for this goal. 

ANALYSIS

The agency successfully initiated baseline data collection 

in Comoros—the one new country that Volunteers entered 

in FY 2015. The Volunteer project in Comoros is focused 

on education, and baseline data collection is concentrated 

on students’ English proficiency. The data collected and the 

analysis of the results will eventually inform an evaluation of the 

impact of Volunteers working in the country. 

The agency made preparations to collect baseline data in 

Timor-Leste, the second planned new country entry for FY 

2015. However, the input of Volunteers was postponed until 

the first quarter of FY 2016; results for the Timor-Leste baseline 

will be reported in FY 2016. 

Beginning in FY 2015, the agency revised the calculation for 

this performance goal to allow for the collection of baseline 

data either before the arrival of Volunteers or for a short period 

after their arrival. This revision recognizes that there is a delay 

between when Volunteers arrive at their sites and when the 

results of their work become apparent. It also allows posts to 

use Volunteers for data collection to inform project evaluations, 

as there are limited existing sources of data in many of the 

locations where Volunteers serve. This modification to the 

calculation allows the Peace Corps to collect baseline data that 

provide an accurate measure of Volunteers’ accomplishments 

over time while still maintaining methodological rigor. 

In the case of Education projects, many primary baseline 

data collection activities cannot occur until the academic 

year begins, as students and teachers must be available for 

interviews, observation, and testing. Given that Volunteers 

typically arrive at their sites at the beginning of the academic 

year, baseline data collection necessarily begins after 

Volunteers’ arrival. 

In all sectors, the specific geographic areas within a community 

or region where a Volunteer will work may not be fully identified 

until he or she arrives at site. In these cases baseline data 

collection may need to be delayed. 

Data Source: Peace Corps administrative records

Lead Offices: Office of Global Operations; Office of Strategic 

Information, Research, and Planning

Performance Goal 11.1 Results 

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 50% 75%

 Result -- -- -- -- 0%b 100%

 FY 2015 Status | TARGET MET
83 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

11.2

INCREASE EVIDENCE-BASED DECISIONS

Increase the percentage of posts and 

headquarters offices that demonstrate the use 

of evidence in program, policy, and/or budget 

decisions to 100 percent by FY 2016

ANALYSIS

This performance goal is measured through an annual data 

call to all posts and headquarters offices requesting that they 

provide the best example of an evidence-based decision that 

their post or office made that fiscal year in the areas of program, 

policy, or budget. All respondents were asked two questions: 

(1) What types of high-quality evidence were used to make the 

decision and (2) what was the expected level of impact of that 

decision on performance and/or cost-effectiveness. For the 

purposes of this calculation, the following were considered to 

be sources of high-quality evidence: official agencywide surveys; 

a formal evaluation with a defined methodology and analysis 

plan; a logic model to inform a project’s plan and design; the 

agency’s Country Portfolio Review summary or dataset; in-depth 

interviews with a formal questionnaire; focus group discussions 

with a structured question guide; administrative data, such as 

language test scores, data on early terminations, or budget; and 

data from established business processes or products, such 

as help desk tickets or numbers of applications. At least one 

of these data sources was a required element of this analysis. 

In addition, the office or post had to assert that the evidencebased decision would likely have at least a modest impact on 

their operations. Based on this analysis, a total of 87 percent of 

posts and 83 percent of headquarters offices used high-quality 

evidence for an overall result of 86 percent. 

Performance Goal 11.2 Results 

Data Source: Peace Corps administrative records

Lead Office: Office of Strategic Information, Research, and Planning

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- 50% 75%

 Result -- -- -- -- 68% 86%

 FY 2015 Status | TARGET MET
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 84

PERFORMANCE SECTION

11.3

USING EVIDENCE TO ENCOURAGE INNOVATION

Increase the percentage of posts and 

headquarters offices that conduct structured 

pilots to test new approaches to advance 

programmatic goals and/or address management 

challenges

Performance Goal 11.3 Results 

ANALYSIS

This performance goal is measured through an annual data 

call to posts and headquarters offices. The open-ended data 

call results from FY 2014 were used to develop the criteria for 

a structured, quantitative focus for the FY 2015 analysis. The 

data for this goal were measured as a proportion of the 18 posts 

and 10 offices that reported conducting a pilot in FY 2015. 

All responses were screened to ensure that they met all of the 

criteria below. Overall, 12 of the 28 pilots (44 percent of posts 

and 40 percent of headquarters offices) met these criteria. All 

posts and offices were asked to indicate which elements of a 

structured pilot had been developed using a provided checklist. 

The results were analyzed to ensure that each pilot included 

a combination of the following elements, at a minimum: 

(1) defined indicators (measures of success or failure) or an 

evaluation plan, (2) a written plan for data collection and 

analysis and/or key elements of the plan, including defined 

objectives and a timeline with a defined start and end date; 

and, (3) at least one source of high-quality evidence. The 

sources of “high-quality evidence” for this analysis were the 

same as those cited in Performance Goal 11.2. Finally, to 

be considered a “pilot,” with potential for scalability, the 

activity was expected to involve less than 60 percent of the 

target population. Posts with a greater percentage of the 

target population were seen as already implementing a revised 

practice or policy.

Data Source: Peace Corps administrative records

Lead Office: Office of Strategic Information, Research, and Planning

Elements of the Analysis of Pilot Projects

43% Met all criteria

Have a written plan

{defined objectives and timeline}

Have an 

evaluation plan

{defined indicators}

Use at least 

one high 

quality data source

>60% of target group are included in the pilot

43%

FY ‘10 FY ‘11 FY ‘12 FY ‘13 FY ‘14 FY ‘15

 Target -- -- -- -- -- 50%

 Result -- -- -- -- 70% 43%

 FY 2015 Status | TARGET NOT MET
85 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

Evaluation and Research

THE TASK FORCE’S RECOMMENDATIONS IN FY 2015 

CENTERED ON THREE NEEDS: 

• Explicitly linking theory with practice, evidence with 

planning, and programming with data through the use of 

logic models, theories of change, baseline development, and 

a renewed focus on data quality

• Simplifying M&E processes by outlining core competencies 

for new M&E staff, identifying clear roles and responsibilities 

across different functional units, and reducing the number of 

standardized project indicators reported by posts 

• Using visually compelling templates to communicate the 

impact of Volunteers work in each Peace Corps sector 

Once implemented, these recommendations will lower barriers 

for participation in monitoring, evaluation, and research 

activities for offices and posts across the Peace Corps. While all 

of the recommendations may not be endorsed or implemented 

in FY 2015, the efforts of the task force represent a major 

milestone in advancing evaluation, research, and evidencebased planning for the agency. 

Descriptions of the major evaluation and research activities 

conducted by the agency in FY 2015, as well as how they 

relate to agency strategic objectives, are provided below. 

Activities in FY 2015 relate to improving recently expanded or 

newly introduced sources of evidence; generating new insights 

through research; evaluating Peace Corps processes, initiatives, 

and impact; and strengthening the agency’s capacity to use 

evidence.

Summaries of performance audits and evaluations conducted by 

the Office of Inspector General are also provided in this section. 

Publicly available research and evaluation results and other 

data may be found at www.peacecorps.gov/open.

The Peace Corps undertook a major review of its monitoring and evaluation (M&E) resources in FY 2015 in an effort to strengthen 

and streamline its operations. Evaluation and research are critical to achieving a better understanding of agency performance on 

strategic objectives, providing actionable information to decision makers, identifying opportunities in project development, and 

demonstrating the impact of Volunteers to stakeholders. 

In response to the 2010 Comprehensive Agency Assessment, the Peace Corps launched a number of new processes in recent years, 

including hiring M&E coordinators in over half of the agency’s posts and in multiple headquarters offices. In addition, an M&E task 

force was created.6

6 The Peace Corps’ MRE Task Force changed its name in FY 2015 to 

the M&E Task Force to reflect the acronym more commonly used in 

the field of international development.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 86

PERFORMANCE SECTION

IMPROVING SOURCES OF EVIDENCE RELATED STRATEGIC 

OBJECTIVES

Maintaining improvements to the Annual Volunteer Survey.

The Annual Volunteer Survey (AVS)—celebrating its 40th anniversary in 2015—is one of 

the primary sources of evidence used by the agency to inform operations. In FY 2014, 

the agency substantially redesigned the survey questionnaire to improve data quality by 

reducing measurement error, strengthening respondent confidentiality, and shortening 

the survey by half. By maintaining these improvements and reducing the survey length 

even further in FY 2015, the agency is well on its way to being able to provide truly 

comparable, multiyear trend data to internal and external stakeholders. As a result of 

these enhancements to the AVS, the agency has gained a more accurate understanding 

of the perspectives of Volunteers. In FY 2016, the agency will expand data transparency 

to include regional and post-level AVS results on its open data site. Learn more about 

the Peace Corps’ Open Data Initiative at www.peacecorps.gov/about/open.

1.Volunteer Well-Being

3. Development Impact

4. Cross-Cultural Understanding

6. Diversity and Inclusion

7. Site Development

8. Train Up

10. Global Connectivity

Global Counterpart Survey.

In FY 2014, the agency conducted its first Global Counterpart Survey, designed 

to provide information on the impact of Volunteers on local communities from the 

perspectives of Volunteers’ primary work partners. After reaching approximately 25 

percent of counterparts globally in last year’s attempted census, agency leaders decided 

to administer future surveys as a random sample. In the second-annual survey fielded in 

FY 2015, the agency received 397 responses from the 400 counterparts who comprised 

the random sample. With this simplified yet robust design, the agency now has a 

globally representative set of data that accurately expresses the sentiment of Volunteers’ 

partners in the host communities.

3. Development Impact

4. Cross-Cultural Understanding

Host Country Staff Survey. 

In FY 2015, the Peace Corps launched its second agencywide survey to systematically 

gather perspectives from host country staff. The survey included all questions asked 

in FY 2014 related to staff training and the degree to which the Peace Corps has an 

inclusive culture. Additionally, the FY 2015 survey posed several new questions about 

the agency’s success in achieving its larger mission of community-based development 

and cross-cultural understanding. In order to accommodate host country staff with 

limited English skills, this year’s survey was professionally translated into French and 

Spanish. Another major improvement in FY 2015 was the expansion of the frame of 

potential respondents by approximately 10 percent through the enhancement of staff 

email lists.

6. Diversity and Inclusion

9. High-Performing Learning 

Organization

MAJOR EVALUATION AND RESEARCH ACTIVITIES
87 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

GENERATING NEW INSIGHTS THROUGH RESEARCH RELATED STRATEGIC 

OBJECTIVES

Analysis of Volunteers’ motivation to serve and perception of their sites. 

Based on the 2014 AVS data, the agency conducted an analysis of Volunteers’ 

motivation to serve in the Peace Corps. Applying advanced statistical analysis 

techniques, the agency found that, while the three major motivators of altruism, 

adventure, and practical/career considerations have not changed in the last 40 years, 

their relative influence on the Volunteer corps has. Altruism is overtaking adventure 

as the primary motivation to become a Peace Corps Volunteer. Additionally, the Peace 

Corps’ theoretical model of Volunteer site perception was tested through log-linear 

analysis. A major finding was that, out of all the elements the agency manages or 

supports to enhance site development, the biggest drivers of Volunteer satisfaction were 

the quality of available work, level of community integration, and the level of safety and 

health risks that Volunteers perceived at their sites. The complete study results can be 

found in the 2014 Annual Volunteer Survey Report, available at http://go.usa.gov/cYYhB.

1. Volunteer Well-Being

3. Development Impact

4. Cross-Cultural Understanding

7. Site Development

8. Train Up

Finalizing market research on Peace Corps brand perception among Millennials. 

In FY 2015, the agency completed a multiphase market research project to better 

understand the Peace Corps’ brand perception, application interest, and barriers to 

service among Millennials and their primary influencers (e.g., parents). The findings 

were disseminated to executive staff in the fourth quarter of FY 2015 and included 

the general consensus that altruism must be presented as the central theme in 

messaging around the Peace Corps brand. This market research will be used to inform 

a marketing campaign in FY 2016. 

2. Service Opportunity of Choice
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 88

PERFORMANCE SECTION

EVALUATING PEACE CORPS PROCESSES, INITIATIVES, AND IMPACT RELATED STRATEGIC 

OBJECTIVES

Volunteer Delivery System evaluation. 

In FY 2015, the agency completed an eight-month evaluation of the effectiveness and 

impact of recent reforms to the Volunteer Delivery System. These reforms included 

changes to the application and selection process, a reorganization of the Office of 

Volunteer Recruitment and Selection, an increase in recruitment and placement staff, 

and investments in technology and public outreach. Part of the evaluation included an 

extensive staffing analysis with return on investment calculated for categories of staff 

by gains in Volunteer applications. The evaluation findings supported decisions made in 

FY 2015 to merge two regional recruiting offices and to extend the contracts of certain 

field-based recruiters. 

2. Service Opportunity of Choice 

Project baselines in Comoros and Timor-Leste. 

In FY 2015, the agency continued the collection of baseline data for new Volunteer 

programs, constituting the first stage of future program evaluations. The Peace 

Corps’ new TEFL program in Comoros received its first input of Volunteers at the end 

of the fourth quarter in FY 2015, and a new economic and agricultural development 

program in Timor-Leste will welcome its first Volunteers in the first quarter of 

FY 2016. Peace Corps staff collected data in Comoros in FY 2015 through direct 

observation and key stakeholder interviews prior to the arrival of Volunteers at their 

sites, and through pre-testing students immediately after Volunteers arrived at their 

sites. Preparations for baseline data collection began for Timor-Leste in FY 2015 

and will be implemented in early FY 2016. Moving forward, staff will explore the 

collection of project-related data from communities that do not receive Volunteers. 

If successful, these data will serve as counterfactuals and provide evidence for an 

eventual quasi-experimental impact evaluation. The agency expects to initiate a 

similar evaluation for its new country entry into Myanmar (Burma) in FY 2016.

3. Development Impact

4. Cross-Cultural Understanding

11. Measurement for Results

Country Portfolio Review. 

Each year, the agency conducts a comprehensive review of active and potential Peace 

Corps posts based on external and internal data. The Country Portfolio Review informs 

decisions about new country entries, country graduations (closures), and the allocations of 

Volunteers and other resources. The review conducted in FY 2015 focused on Volunteer 

safety and security, medical infrastructure, host country need, development impact, 

cross-cultural impact, host country commitment and engagement, post management, 

congruence with U.S. government development priorities, and cost. The review included 

data from the following external sources: the World Bank, the United Nations Development 

Programme, the United Nations Office on Drugs and Crime, the U.S. Department of State, 

the Pew Research Center, Transparency International, the International Disaster Database, 

and the World Health Organization. Internal data sources included administrative and 

financial data, results from surveys of post staff, and AVS results. Through the review, the 

agency has begun using a host of indicators to match posts’ plans for expansion with past 

performance. As a result, the agency recommended smart growth strategies to ensure that 

increases in Volunteer numbers occur where there is the greatest opportunity for success. 

The review also highlighted the continued challenge represented by low levels of Volunteer 

satisfaction with technical training, which will begin undergoing a formal evaluation in 

FY 2016. For the first time in FY 2015, the findings of the Country Portfolio Review were 

open to all Peace Corps staff.

1. Volunteer Well-Being

2. Service Opportunity of Choice

3. Development Impact

4. Cross-Cultural Understanding

7. Site Development

8. Train Up
89 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

EVALUATING PEACE CORPS PROCESSES, INITIATIVES, AND IMPACT RELATED STRATEGIC 

OBJECTIVES

Global analysis of Host Country Impact Studies. 

The agency initiated a global analysis of the Host Country Impact Studies conducted 

between 2008 and 2011. These country- and project-specific studies were designed to 

measure how effectively Volunteers’ activities met the technical needs of host countries 

and promoted a better understanding of Americans. A global analysis of these studies 

will provide the agency and external stakeholders with additional information and 

insights on the impact of Volunteers across several countries and projects. In FY 2015, 

the agency conducted a thorough analysis of the comparability of every numeric variable 

found across all 24 individual studies to facilitate the global analysis. This analysis will 

seek to identify broader trends in Peace Corps successes and challenges during the 

period under study and point to areas for improvement in the future. The reports and 

summaries are available at www.peacecorps.gov/about/open/evaluations.

3. Development Impact

4. Cross-Cultural Understanding

Country Portfolio Review. Each year, the agency conducts a comprehensive review of 

active and potential Peace Corps posts based on external and internal data. The Country 

Portfolio Review informs decisions about new country entries, country graduations 

(closures), and the allocations of Volunteers and other resources. The review conducted 

in FY 2015 focused on Volunteer safety and security, medical infrastructure, host 

country need, development impact, cross-cultural impact, host country commitment 

and engagement, post management, congruence with U.S. government development 

priorities, and cost. The review included data from the following external sources: the 

World Bank, the United Nations Development Programme, the United Nations Office on 

Drugs and Crime, the U.S. Department of State, the Pew Research Center, Transparency 

International, the International Disaster Database, and the World Health Organization. 

Internal data sources included administrative and financial data, results from surveys 

of post staff, and AVS results. Through the review, the agency has begun using a host 

of indicators to match posts’ plans for expansion with past performance. As a result, 

the agency recommended smart growth strategies to ensure that increases in Volunteer 

numbers occur where there is the greatest opportunity for success. The review also 

highlighted the continued challenge represented by low levels of Volunteer satisfaction 

with technical training, which will begin undergoing a formal evaluation in FY 2015. For 

the first time in FY 2015, the findings of the Country Portfolio Review were open to all 

Peace Corps staff.

1. Volunteer Well-Being

2. Service Opportunity of Choice

3. Development Impact

4. Cross-Cultural Understanding

7. Site Development

8. Train Up

PILOTING NEW APPROACHES TO SOLVE PERSISTENT PROBLEMS RELATED STRATEGIC 

OBJECTIVES

More efficient psychological service delivery to Volunteers. 

Based on a successful pilot conducted in FY 2014, the agency adopted the use of an 

evidence-based mental health assessment tool called PROMIS for all posts. As a result, 

agreement over the clinical assessment of Volunteers between post-based Peace Corps 

medical officers and the headquarters-based Counseling and Outreach Unit increased 

from 26 percent to 76 percent. The increased consensus enabled medical officers 

to refer Volunteers for further psychological intervention with greater support and 

validation, resulting in more efficient service delivery.

1. Volunteer Well-Being

Utility of Duolingo for self-directed language learning.

In FY 2015, 13 posts participated in a pilot to test the value of Duolingo in 

developing language skills before trainees arrive in their country of service. Duolingo 

is a free Web and mobile app with over 100 million users. The Peace Corps has 

tracked the French and Spanish language development among 953 invitees who 

are participating in the pilot during various stages of their preparation for service. 

The results will be analyzed with standard Peace Corps language testing data to 

determine if and how Duolingo affects language learning for Volunteers. 

1. Volunteer Well-Being

7. Site Development

10. Global Connectivity
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 90

PERFORMANCE SECTION

STRENGTHENING AGENCY CAPACITY TO USE EVIDENCE RELATED STRATEGIC 

OBJECTIVES

Office- and system-based dashboards. 

The agency expanded the use of dashboards for several offices and major systems to 

provide agency leadership and staff with timely, actionable, and meaningful information 

to inform decisions. In FY 2015, the agency added new dashboards for three offices for 

internal management purposes.

11. Measurement for Results

Investments in M&E capacity at posts and headquarters offices.

In 2015, the agency hired new M&E staff at overseas posts and in two headquarters 

offices. More than half of all posts globally now have a dedicated M&E specialist. 

The development of M&E capabilities at posts continues through targeted workshops 

and trainings related to data collection, analysis, and reporting. 

11. Measurement for Results
91 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

PERFORMANCE SECTION

The Peace Corps Office of Inspector General (OIG) regularly conducts audits and evaluations of the effectiveness of programs that 

support Volunteers. The objectives of OIG audits and evaluations vary by project, but most aim to recommend improvements that 

will increase the effectiveness and efficiency of Peace Corps operations and strengthen the agency’s ability to implement country 

programs that increase host country capacity. OIG audits and evaluations are submitted to agency leadership, which then takes 

appropriate action to address the concerns that have been identified. Open recommendations are tracked by the agency’s chief 

compliance officer, who is responsible for assuring that actions are documented and advising OIG when actions have been confirmed. 

The OIG conducted the following program evaluations and performance audits in FY 2015. A complete list of all OIG audits and 

evaluations conducted during FY 2015 may be found at http://www.peacecorps.gov/about/inspgen/reports/.

AUDITS AND EVALUATIONS CONDUCTED BY THE OFFICE OF INSPECTOR GENERAL
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 92

PERFORMANCE SECTION

Country Program Evaluations

Peace Corps/Sierra Leone (IG-15-01-E)

Peace Corps/Lesotho (IG-15-02-E)

Peace Corps/Guatemala (IG-15-03-E)

Peace Corps/Benin (IG-15-04-E)

Through country program evaluations, OIG sought answers to 

four main questions:

• Had the post developed and implemented programs 

intended to increase the capacity of host country 

communities? 

• Did training prepare Volunteers for Peace Corps service?

• Had the post provided adequate support and oversight to 

Volunteers?

• Were post resources and management practices adequate 

for effective operations? 

Final Report on the Program Evaluation of the Peace Corps’ 

Training of Overseas Staff (IG-14-07-E). Note: This final 

report was issued on September 30, 2014, the last day of the 

2014 fiscal year.

The objective of this evaluation was to assess the Peace 

Corps’ provision and management of training for all overseas 

staff. OIG identified mandatory training requirements and 

described the training programs available to overseas staff. 

OIG also reviewed the way the agency manages staff training, 

how it tracks and measures training effectiveness, and how it 

manages the training budget.

Final Audit Report: Follow-Up Audit of the Peace Corps’ 

Volunteer Safety and Security Program (IG-15-03-A)

The objectives of this follow-up audit were to determine and 

assess whether:

• The memorandum of understanding (MOU) between the 

Peace Corps and the Department of State, Bureau of 

Diplomatic Security Office (DOS/DS), was disseminated 

and communicated to safety and security personnel.

• Peace Corps safety and security officer recommendations 

were effectively tracked, monitored, and implemented.

• The qualifications and trainings of safety and security 

officers and safety and security managers were consistent 

with their roles and responsibilities.

Management Advisory Report: The Peace Corps’ Cloud 

Computing Pilot Program (IG-15-01-SR)

The purpose of this report was to bring to the Director’s 

attention our significant concerns regarding the 

implementation of the agency’s cloud computing program.

Management Advisory Report: The Peace Corps’ Volunteer 

Health Care Administration Contract (IG-15-03-SR)

The purpose of this report was to bring to the Director’s 

attention our significant concerns regarding the Peace Corps’ 

contract for administering Volunteer health care.

Country Post Audits

Peace Corps/Cameroon (IG-15-01-A)

Peace Corps/Nepal (IG-15-02-A)

Peace Corps/Madagascar (IG-15-04-A)

Peace Corps/Guyana (IG-15-05-A)

Peace Corps/Vanuatu (IG-15-06-A)

The overall objective in auditing overseas posts is to determine 

whether the financial and administrative operations are 

functioning effectively and in compliance with Peace Corps 

policies and federal regulations during the period under audit.
93 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL

SECTION

Peace Corps Volunteer works with students to 

teach computer literacy.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 94
95 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL SECTION

In FY 2015, the agency was appropriated $379.5 million to fully support the work of the Volunteers and the supporting 

staff. The appropriated funding level remained relatively static when compared to the $379 million appropriated in FY 2014. 

In the financial statements and notes in this section it is difficult to show the actual complexity of our global mission in 59 

posts in 63 countries in 73 currencies. This year, I particularly want to thank the financial management workforce here at the 

headquarters and around the globe for their efforts in planning, executing, and accounting for our resources so effectively and 

for upholding the financial management mission of the agency.

The Peace Corps achieved an unmodified (clean) audit opinion on the financial statements during the FY 2015 financial statement 

audit conducted by Kearney & Company, P.C., an external independent auditor. The agency’s long-standing Property, Plant, and 

Equipment significant deficiency was closed during this audit. The audit did, though, identify three significant deficiencies and four 

instances of noncompliance with laws and regulations that are addressed in Appendix 1, Status of Audit Weaknesses.

This year, the extensive financial systems changes implemented during FY 2014 were stabilized, and the financial systems 

staff continues to push forward with plans to develop new browser-based software to replace existing old client-based financial 

application used by overseas posts for budget execution, cashiering, and financial reporting. This significant multi-year 

software development effort will be deployed in phases to the overseas posts in FY 2017.

The agency’s new timekeeping system was tested during FY 2015 and that will be rolled out to all direct-hire staff in 

FY 2016. Additionally, the E-Travel system that is being pursued through a collaborative agreement with the Department of 

Interior’s National Business Center will be integrated with the financial system and implemented in FY 2016.

A plan is underway to implement the requirements of the Digital Accountability and Transparency Act of 2014 (DATA Act) so 

that financial data will be available prior to the May 9, 2017, Treasury and OMB required reporting date.

The audited financial statements and notes that follow are reliable and complete and were prepared in accordance with 

generally accepted accounting principles for federal government entities.

We recognize that the financial statement audit issues require continued attention and improvement. We are committed to 

addressing those and will strive toward achievement of more effective internal controls that meet or exceed accountability objectives.

Message from the Chief Financial Officer 

Joseph L. Hepp, Jr.

Chief Financial Officer

November 16, 2015
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 96

FINANCIAL SECTION

 

Financial Statements 

The accompanying notes are an integral part of these statements

2015 2014

Assets

Intragovernmental

Fund Balance With Treasury (Notes 2 and 3) $ 209,057 $ 211,369

Accounts Receivable (Note 4) 3,914 2,758

Total Intragovernmental 212,971 214,127

Accounts Receivable, Net (Note 4) 553 334

General Property, Plant, and Equipment, Net (Note 5) 38,886 34,556

Other

Prepaid Volunteer Living Allowances (Note 6) 1,772 1,836

Other Assets (Note 7) 5,156 3,890

Total Assets $ 259,338 $ 254,743

Liabilities

Intragovernmental 

Accounts Payable $ 883 $ 396

Other

Unfunded FECA Liability (Note 8) 32,983 33,348

Other Liabilities (Notes 8 and 9) 109 71

Total Intragovernmental 33,975 33,815

Accounts Payable 8,080 9,487

Veterans Benefits (Note 8) 145,956 149,107

Other

Other Employment Related Liability (Note 8) 2,035 333

Non-Entity Funds (Note 2) 23,493 20,225

Accrued Funded Payroll and Leave 4,088 3,253

Unfunded Annual Leave (Note 8) 11,256 10,289

Other Liabilities (Notes 9 and 11)

FSN and PSC Severance Liability 23,447 25,849

Other Liabilities 303 202

Total Liabilities 252,633 252,560

Commitments and Contingencies (Note 11)

Net Position

Unexpended Appropriations 157,215 158,343

Cumulative Results of Operations (150,510) (156,160)

Total Net Position $ 6,705 $ 2,183

Total Liabilities and Net Position $ 259,338 $ 254,743

Peace Corps

Consolidated Balance Sheets

As of September 30, 2015 and 2014

(In Thousands)
97 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL SECTION

The accompanying notes are an integral part of these statements

2015 2014

Program Costs:

Gross Costs $ 392,316 $ 364,502

Less: Earned Revenue (Note 12) (10,117) (10,040)

Net Cost of Operations $ 382,199 $ 354,462

Peace Corps

Consolidated Statements of Net Cost

For The Years Ended September 30, 2015 and 2014

(In Thousands)
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 98

FINANCIAL SECTION

The accompanying notes are an integral part of these statements

2015 2014

Cumulative Results of Operations:

Beginning Balances $ (156,160) $ (161,632)

Budgetary Financing Sources:

Appropriations Used 380,424 350,413

Donations and Forfeitures of Cash and Cash Equivalents 2,267 2,846

Other Financing Sources (NonExchange):

Transfers-In/Out Without Reimbursement (65) 510

Imputed Financing (Note 18) 5,223 6,165

Total Financing Sources 387,849 359,934

Net Cost of Operations 382,199 354,462

Net Change 5,650 5,472

Cumulative Results of Operations (150,510) (156,160)

Unexpended Appropriations:

Beginning Balance 158,343 129,818

Budgetary Financing Sources:

Appropriations Received 379,500 379,000

Other Adjustments (204) (62)

Appropriations Used (380,424) (350,413)

Total Budgetary Financing Sources (1,128) 28,525

Total Unexpended Appropriations 157,215 158,343

Net Position $ 6,705 $ 2,183

Peace Corps

Consolidated Statements of Changes in Net Position

For The Years Ended September 30, 2015 and 2014

(In Thousands)
99 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL SECTION

The accompanying notes are an integral part of these statements

2015 2014

Budgetary Resources:

Unobligated Balance Brought Forward, Oct 1 $ 91,361 $ 72,018

Recoveries of Unpaid Prior Year Obligations 13,086 11,616

Other Changes in Unobligated Balance (204) (62)

Unobligated Balance from Prior Year Budget Authority, Net 104,243 83,572

Appropriations (Discretionary and Mandatory) 381,740 379,006

Spending Authority from Offsetting Collections (Discretionary and Mandatory) 15,441 16,967

Total Budgetary Resources $ 501,424 $ 479,545

Status of Budgetary Resources:

Obligations Incurred (Note 13) $ 431,898 $ 388,184

Unobligated Balance, End of Year:

 Apportioned 55,378 79,458

 Exempt from Apportionment 2,602 2,102

 Unapportioned 11,546 9,801

Total Unobligated Balance, End of Year 69,526 91,361

Total Budgetary Resources $ 501,424 $ 479,545

Change in Obligated Balance

Unpaid Obligations:

Unpaid Obligations, Brought Forward, Oct 1 $ 106,592 $ 97,280

Obligations Incurred 431,898 388,184

Outlays (Gross) (399,974) (367,256)

Recoveries of Prior Year Unpaid Obligations (13,086) (11,616)

Unpaid Obligations, End of Year 125,430 106,592

Uncollected Payments: 

Uncollected Pymts, Fed Sources, brought forward, Oct 1 (6,809) (4,011)

Change in Uncollected Pymts, Fed Sources (2,583) (2,798)

Uncollected Pymts, Fed Sources, End of Year (9,392) (6,809)

Memorandum (non-add) entries:

Obligated Balance, Start of year $ 99,783 $ 93,269

Obligated Balance, End of year $ 116,038 $ 99,783

Budget Authority and Outlays, Net

Budget Authority, Gross (Discretionary and Mandatory) $ 397,181 $ 395,973

Actual Offsetting Collections (Discretionary and Mandatory) (12,858) (14,169)

Change in Uncollected Pymts, Fed Sources (Discretionary and Mandatory) (2,583) (2,798)

Budget Authority, Net $ 381,740 $ 379,006

Outlays, Gross (Discretionary and Mandatory) $ 399,974 $ 367,256

Actual Offsetting Collections (Discretionary and Mandatory) (12,858) (14,169)

Outlays, Net (Discretionary and Mandatory) 387,116 353,087

Distributed Offsetting Receipts (1,616) (1,193)

Agency Outlays, Net (Discretionary and Mandatory) $ 385,500 $ 351,894

Peace Corps

Combined Statements of Budgetary Resources

For The Years Ended September 30, 2015 and 2014

(In Thousands)
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 100

FINANCIAL SECTION

 

Notes to the Financial Statements 

a) Reporting Entity

The Peace Corps was initially established by President John F. Kennedy pursuant to Executive Order 10924 on

March 1, 1961, and was subsequently formalized by the Peace Corps Act of 1961. The Peace Corps is an

independent agency within the executive branch of the United States government.

The core mission of the Peace Corps is to promote world peace and friendship by making available to interested,

less developed countries men and women of the United States qualified for service abroad and willing to serve,

even under conditions of hardship if necessary. The Peace Corps’ goals are to help the people of interested

countries in meeting their need for trained men and women; to help promote a better understanding of Americans

on the part of the peoples served; and to help promote a better understanding of other peoples on the part of

Americans.

b) Basis of Presentation

The financial statements present the financial position, the net cost of operations, and changes in net position,

along with budgetary resources activities of the agency pursuant to the requirements of 31 U.S.C. 3515(b). They

have been prepared using Peace Corps’ books and records in accordance with agency accounting policies, the most

significant of which are summarized in this note. The statements are in addition to the financial reports used to

monitor and control budgetary resources, which are prepared from the same books and records. The statements are

presented in accordance with the applicable form and content requirements of OMB Circular A-136, Financial

Reporting Requirements, issued August 4, 2015. The statements should be read with the realization that they are

for a component of the U.S. government, a sovereign entity.

The financial activities of the agency are categorized between entity and non-entity assets and reported and nonreported balances. Entity assets are those assets which the agency has authority to use in it operations, while nonentity assets are assets that are currently held by the Peace Corps but are not available for use by the agency.

Although both entity and non-entity assets are in the custody and management of the agency, they are reported but

segregated for presentation purposes.

The Peace Corps’ accounting policies follow Federal Accounting Standards Advisory Board standards and other

generally accepted accounting principles for the United States federal government.

The financial statements represent intragovernmental and public activities. The intragovernmental balances,

revenues, and costs reflect financial transactions between the Peace Corps and other federal agencies. Public

activities are those with non-governmental customers, including Volunteers, contributors, employees, contractors,

and vendors.

c) Basis of Accounting

Accounting principles encompass both accrual and budgetary transactions. Under the accrual method, revenues are

recognized when earned and expenses are recognized when a liability is incurred, without regard to receipt or

Note 1 Significant Accounting Policies

Statement Federal Objective

Balance Sheet

Statement of 

Net Cost

Statement of 

Changes in 

Net Position

Statement of 

Budgetary 

Resources

Federal Financial Statements

Reflects the agency's financial position as of the statement date. The assets are the amount of current and 

future economic benefits owned or managed by the agency. The liabilities are amounts owed by the agency. 

The net position is the difference between the assets and liabilities.

Shows separately the components of the net cost of the agency's operations for the period. Net cost is 

equal to the gross cost incurred by the agency, less any exchange revenue from its activities.

Explains how the net cost of the agency's operations was funded, and reports other changes in the equity 

that are not included in the Statement of Net Cost. It reflects the changes in both the proprietary and the 

budgetary activities through the respective components: Cumulative Results of Operations and 

Unexpended Appropriations.

Provides information about how the budgetary resources were made available as well as their status at the 

end of the period. It is the only financial statement exclusively derived from the agency's budgetary general 

ledger in accordance with budgetary accounting rules.
101 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL SECTION

payment of cash. Under the budgetary basis, however, fund availability is recorded based upon legal 

considerations and constraints. The agency receives financing sources through direct appropriations from the 

general fund of the U.S. Treasury and offsetting collections to support its operations. “Appropriations Used”

recognizes that appropriation authority has been applied against received goods and services.

d) Fund Accounting Structure

The agency’s financial activities are accounted for by the U.S. Treasury Appropriation Fund Symbols. They 

include accounts for appropriated funds and other fund groups described below for which the Peace Corps 

maintains financial records.

General Funds - These funds consist of the receipts and expenditures by the Peace Corps that are not earmarked by 

law for a specific purpose and used to fund agency operations and capital expenditures.

Special or Trust Funds - These funds consist of receipts and expenditures by the Peace Corps for carrying out 

specific purposes and programs in accordance with terms of the statute that designates the fund as a special fund or 

trust fund. 

Deposit Funds - These funds consist of monies held temporarily by the Peace Corps as an agent for others. These 

include allowance and allotment accounts for employees and Volunteers. The balances in these funds are nonentity assets and are only reported on the face of the Balance Sheet.

General Fund Receipt Accounts - These funds consist of monies collected by the Peace Corps that are returned to 

the U.S. Treasury and not available for Peace Corps’ use. The balances in these funds are excluded from the 

financial statements.

e) Budget Authority

Congress annually passes multi-year appropriations that provide the agency with authority to obligate funds over a 

two-year period for necessary expenses to carry out operations. After the right to create new obligations has 

expired, this two-year budget authority is available for five additional years for adjusting obligations and for 

completing the liquidation of open obligations, advances, and receivables. After the five-year period, all open 

transactions for the respective fiscal year will be cancelled and funds will be returned to the U.S. Treasury. Any 

valid claims associated with these funds after closure must be processed against current year appropriations.

In addition, Congress enacts no-year appropriations that are available until expended. All appropriations are 

subject to OMB apportionment as well as Congressional restrictions. The agency places internal restrictions to 

ensure the efficient and proper use of all funds.

Peace Corps has discretionary and mandatory spending of its budget authority. The general funds, which are 

funded by multi-year appropriations from Congress are discretionary. The special and trust funds, which were

authorized by permanent laws are considered mandatory spending for donations received from the private entities 

and to account for retirement and severance of Host Country Resident Personal Services Contractors and Foreign 

Service Nationals.

f) Revenues and Other Financing Sources

Peace Corps’ operations are financed through appropriations, proceeds from the sale of property, and inter-agency 

agreements. For financial statement purposes, appropriations are recorded as a financing source and reported on 

the Statement of Changes in Net Position at the time they are recognized as expenditures. 

g) Fund Balance with the Treasury

Fund Balance with the U. S. Treasury consists of general, special, and trust funds that are available to pay current 

liabilities and finance authorized purchase commitments, and special funds that periodically are direct-financing 

reimbursements to the appropriated funds. 

The agency does not maintain agency cash in commercial bank accounts. All cash receipts and disbursements are 

processed by the U.S. Treasury or the Department of State (DOS).

The funds that make up post cashiers’ imprest funds belong to the U.S. Treasury through DOS’s accountability.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 102

FINANCIAL SECTION

These funds are routinely used to pay for small-value purchases of goods and services and are also used to make 

an occasional emergency payment. Per agreement with DOS, the Peace Corps is responsible for paying for any 

losses incurred by the cashiers that would normally fall on the account holder. All international payments made by 

DOS on behalf of the Peace Corps are charged to the Peace Corps and reduce the applicable Peace Corps’

appropriation unexpended balance in U.S. Treasury records. As of September 30, 2015, cashier imprest funds 

represented by cash on hand, checks on hand, interim advances, and cashier checking account balances totaled 

approximately $1,049,197 in U. S. dollar equivalents.

Fund balance with Treasury is carried forward until such time as goods or services are received and payment is 

made, or until the funds are returned to the U.S. Treasury.

h) Foreign Currency 

Accounting records for the agency are maintained in U.S. dollars, while a significant amount of the overseas 

expenditures are in foreign currencies. For accounting purposes, overseas obligations and disbursements are 

recorded in U.S. dollar equivalents, based on the budgeted rate of exchange as of the date of the transaction. 

Foreign currency payments are made by the U.S. disbursing officers located at the Global Financial Services

centers in Charleston, South Carolina, and Bangkok, Thailand. 

i) Accounts Receivable

Accounts receivable includes amounts due from other federal entities and from current and former employees and 

Volunteers. Annually, a determination of the amount of the Allowance for Doubtful Accounts will be established 

for material amounts of nonfederal (public) debt exceeding $30,000. The agency recognizes an Allowance for 

Doubtful Accounts when it is determined that the amounts are not likely to be collected. Accounts with approved 

payment plans in place and for which the debtor is meeting the terms of the plan are exceptions to this write-off 

policy.

j) Advances and Prepayments

Payments in advance of the receipt of goods and services are recorded as advances and recognized as expenses 

when the related goods and services are received. Advances are made principally to agency employees for official 

travel and prepayments to Volunteers for living allowances. 

Pursuant to Section 5(b) of the Peace Corps Act, Peace Corps Volunteers are entitled to a living allowance in order 

that they may serve effectively and safely overseas. Living allowances are paid to Volunteers to provide support 

while in their country of assignment. Allowances are based on local living standards and costs, including food, 

clothing, household items, rent, utilities, and local transportation. 

k) Property, Plant, and Equipment (PP&E)

The agency capitalizes Property, Plant, and Equipment that has an individual acquisition cost of $25,000 or 

greater, a useful life of two years or more, is not intended for sale in the ordinary course of business, and is 

intended to be used or available for use by the entity. Aggregate purchases of General Property, Plant, and 

Equipment in the amount of $500,000 or greater are capitalized. Costs incurred for major building rehabilitations 

of $25,000 or greater are initially recorded as Construction in Progress then after project completion are transferred 

to Leasehold Improvement and amortized over the remaining life of the lease. Software purchased for $25,000 or 

developed for internal use at a cost of $25,000 or greater is capitalized and amortized over its expected life 

(currently three to nine years). IT hardware is capitalized and amortized over its expected life of three to fifteen 

years. Vehicles in the amount of $10,000 and over are capitalized over their useful life of five years for assets 

acquired FY 2013 and prior and six years for purchases made on or after FY 2014. The agency uses an estimated 

salvage value of 40 percent for vehicles. Land and anything attached to it, such as buildings, located overseas are 

capitalized at their fair market value at the time of transfer, regardless of their acquisition cost. Buildings are 

depreciated with a ten year asset life. Acquisitions that do not meet these criteria are recorded as operating 

expenses. Assets are capitalized at historical cost and depreciated using the straight-line method. 
103 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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l) Accounts Payable and Other Liabilities

Liabilities represent the amount of monies or other resources that are likely to be paid as the result of a transaction 

or event that has already occurred. Liabilities classified as not covered by budgetary resources are liabilities for 

which appropriations have not been enacted.

m) Employee Benefits

I. Federal Employees’ Compensation Act (FECA) Accrued Claims - FECA provides income and medical cost 

protection to covered federal civilian employees injured on the job, to employees who have incurred work-related 

occupational diseases, and to beneficiaries of employees whose deaths are attributable to job-related injuries or 

occupational diseases through the Department of Labor (DOL). The FECA liability consists of two components. 

The first component is based on actual claims paid by DOL but not yet reimbursed by the Peace Corps. The Peace 

Corps reimburses DOL as funds are appropriated for this purpose, generally resulting in a two-year lag in 

payment. This is the liability for the actual claims paid by DOL to be reimbursed by the Peace Corps.

II. Future Workers Compensation Benefits - The second component of FECA is the estimated actuarial liability for 

future benefit payments as a result of past events. This liability includes death, disability, medical, and 

miscellaneous costs. DOL determines this component annually as of September 30, and the Peace Corps 

recognizes an unfunded liability to DOL for estimated future payments.

III. Accrued Leave - A liability for annual leave is accrued as leave is earned and paid when leave is taken or 

employment terminates. Accrued annual leave is paid from future funding sources and is reflected as a liability 

not covered by budgetary resources. Sick and other leave is expensed as taken.

IV. Employee Health Benefits and Life Insurance - The agency’s employees are eligible to participate in the 

contributory Federal Employees Health Benefit Program and the Federal Employees Group Life Insurance 

Program. The agency contributes to each program to pay for current benefits.

V. Post-Retirement Health Benefits and Life Insurance - Agency employees who may be eligible to participate in the 

Federal Employees Health Benefit Program and the Federal Employees Group Life Insurance Program could 

continue to do so during retirement. The Office of Personnel Management (OPM) has provided the agency with 

cost factors that estimate the true cost of providing the post-retirement benefit to current employees. The agency 

recognizes a current cost for these and other retirement benefits at the time of employment with the agency. The 

other retirement benefit expense is financed by OPM and offset by the agency through the recognition of an 

imputed financing source on the Statement of Changes in Net Position.

VI. Employee Retirement Benefits - Peace Corps direct hire employees participate in one of three retirement systems: 

Civil Service Retirement System, Federal Employees Retirement System, or the Foreign Service Retirement and 

Disability System. Foreign Service National (FSN) employees at overseas posts who were hired prior to January 

1, 1984, are covered under the Civil Service Retirement System. FSNs hired after that date, as well as most host 

country residential personal services contractors (PSC), are covered under a variety of local compensation plans in 

compliance with the host country’s local laws and regulations.

The Peace Corps recognizes its share of the cost of providing future pension benefits to eligible employees 

throughout their period of employment. The pension expense not covered by budgetary resources is calculated 

using actuarial factors provided by OPM and is considered imputed cost to the agency.

VII. Valuation of Host Country Resident Personal Services Contractor Severance and Retirement Liability - The 

Peace Corps is generally liable for separation or retirement payments to eligible PSCs in countries that require 

payments under local labor laws. The estimate of the current and future costs of the severance and retirement 

liability is determined quarterly.

VIII.Valuation of Foreign Service National Liability - The Peace Corps is generally liable for separation or retirement 

payments to FSNs who are employed by the agency in countries that require payments under local labor laws. The 

estimate of the current and future costs of the severance and retirement liability is determined quarterly.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 104

FINANCIAL SECTION

n) Commitments and Contingencies

The agency is involved in various administrative proceedings, legal actions, and claims arising in the ordinary 

course of executing the Peace Corps mission. Contingencies are recognized as a liability when a future outflow or 

other sacrifice of resources is probable and measurable.

o) Funds from Dedicated Collections

Under 22 U.S.C § 2509(a)(4) of the Peace Corps Act, the agency is authorized to accept gifts of voluntary service, 

money, or property, for use in the furtherance of the purposes of its mission. The donated monies received by the 

agency from non-federal sources meet the prescribed criteria of Funds from Dedicated Collections. The amount of 

donations received was $2,233,840 as of September 30, 2015 and $1,836,567 as of September 30, 2014.

p) Use of Estimates

The preparation of financial statements required management to make some estimates and assumptions that affect 

the reported amount of assets and liabilities, the disclosure of contingent liabilities at the date of the financial 

statements, and the amount of revenues and costs reported during the period. Actual results could differ from those 

estimates.

q) Interest on Late Payments

Occasionally, the agency incurs interest penalties on late payments. Such interest penalties are paid to the 

respective vendor in accordance with the guidelines mandated by the Prompt Payment Act of 1985, P.L. 97–177, 

as amended.

r) Intragovernmental Net Costs 

The Statement of Net Cost is consolidated for the agency using a budget functional classification code. This code 

is used to classify budget resources presented in the budget of the United States government per OMB. The agency 

is categorized under budget functional classification code number 150—International Affairs. Gross cost and 

earned revenues from other intragovernmental agencies (reimbursable agreements) fall under this code. 

s) Adjustments to Maintain Inherent Account Relationship Integrity

The agency performs analytical tie-points to maintain inherent accounts relationships between proprietary and 

budgetary accounts, in compliance with United States Standard General Ledger posting logic. Adjustments are 

made at the appropriation fund code level prior to the submission of the agency’s monthly trial balance via 

Treasury’s Governmentwide Treasury Account Symbol Adjusted Trial Balance System.

t) Allocation Transfer

The Peace Corps is a party to allocation transfers with the DOS as a receiving (child) entity. Allocation transfers 

are legal delegations by one agency of its authority to obligate budget authority and outlay funds to another 

agency. A separate fund account (allocation account) is created in the U. S. Treasury as a subset of the parent fund 

account (DOS) for tracking and reporting purposes. All allocation transfers of balances are credited to this account, 

and subsequent obligations and outlays incurred by the child entity (Peace Corps) are charged to this allocation 

account as they execute the delegated activity on behalf of the parent entity. All financial activity related to these 

allocation transfers (e.g., budget authority, obligations, and outlays) is reported in the financial statements of the 

parent entity, from which the underlying legislative authority, appropriations, and budget apportionments are 

derived.

u) Fiduciary Activities

Fiduciary activities consist of Host Country Contributions provided to the Peace Corps by the host country 

government which are accepted under the authority of Section 22 U.S.C. 2509(a)(4) of the Peace Corps Act. 

These contributions provide host country support for the Peace Corps and help defray expenses, enabling the 

agency to use its budget more effectively. The host country retains ownership though the funds are deposited in 

special foreign currency accounts in the U.S. Treasury. Any funds not used are returned to the host country.
105 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL SECTION

Non-entity assets are composed of deposit fund and clearing accounts. These funds are not available for the use of the 

Peace Corps and are not part of the Peace Corps’ resources. The Peace Corps monitors collections, status, and 

distribution. Below, as information, are the U.S. Treasury fund balances of non-entity assets which are nongovernmental. 

Deposit Fund - The deposit fund is comprised of the Volunteer readjustment allowance earned by Volunteers for each 

month of satisfactory service and payable upon their return to the United States. 

Clearing Accounts - The proceeds of sales funds represent cash received from the sale of assets, primarily vehicles, 

and are available once transferred to Peace Corps appropriated funds to be reinvested in a like-kind replacement 

purchase (e.g., proceeds from vehicle sales used to purchase replacement vehicles).

The Fund Balance with Treasury is equal to the unobligated balance of funds plus the obligated balance not yet 

disbursed.

Available Unobligated Balance - Composed of apportionments available for allotment plus allotments available for 

obligation or commitment.

Unavailable Unobligated Balance - Composed of unapportioned authority plus unobligated appropriation authority 

from prior years that is no longer available for new obligations. This latter authority is only available for adjustments to 

existing obligations.

Non-Budgetary Fund Balance with Treasury - This represents non-entity assets of the agency.

Note 2 Non-Entity Assets

Non-Entity Assets 

Deposit Fund $ 22,556 $ 19,806

Clearing Accounts 937 419

Total Non-Entity Assets 23,493 20,225

Total Entity Assets 235,845 234,518

Total Assets $ 259,338 $ 254,743

September 30, 2015

(In Thousands)

September 30, 2014

(In Thousands)

Fund Balances

Appropriated Funds $ 159,416 $ 163,143

Special Funds 20,444 22,460

Trust Funds 5,704 5,541

Non-Entity Assets (Note 2) 23,493 20,225

Total $ 209,057 $ 211,369

Status of Fund Balance with Treasury

Unobligated Balance

Available $ 57,980 $ 81,560

Unavailable 11,546 9,801

Obligated Balance Not Yet Disbursed 116,038 99,783

Non-Budgetary FBWT 23,493 20,225

Total $ 209,057 $ 211,369

(In Thousands)

September 30, 2015

(In Thousands)

(In Thousands)

September 30, 2014

September 30, 2014

(In Thousands)

September 30, 2015

Note 3 Fund Balance with Treasury
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 106

FINANCIAL SECTION

Intragovernmental receivables are due from other federal agencies for services provided under reimbursable 

agreements. Other accounts receivable are due from nonfederal entities, consisting primarily of receivables from 

employees. Based upon the agency’s policy, it was determined that the establishment of an Allowance for Doubtful 

Accounts was not necessary as of September 30, 2015 and September 30, 2014.

As of September 30, 2015, Peace Corps’ fixed assets include internally developed software and those assets that are 

reflected as active in the property management databases. These assets are located at headquarters in Washington, D.C., 

the seven regional offices, and the overseas posts. Values for all assets other than internally developed software were 

Note 4 Accounts Receivable, Net

Accounts Receivable as of 

September 30, 2015

(In Thousands)

Intragovernmental $ 3,914 $ - $ 3,914 

Other 553 - 553 

Total $ 4,467 $ - $ 4,467 

Accounts Receivable as of 

September 30, 2014

(In Thousands)

Intragovernmental $ 2,758 $ - $ 2,758 

Other 334 - 334 

Total $ 3,092 $ - $ 3,092 

Accounts

Receivable,

Gross

Accounts

Receivable,

Net

Allowance for

Doubtful 

Accounts

Accounts

Receivable,

Gross

Allowance for

Doubtful 

Accounts

Accounts

Receivable,

Net

Components of Fixed Assets as of 

September 30, 2015

(In Thousands)

Useful

Life

in Years

Land $ 43 $ - $ 43 

Buildings 10 463 178 285 

Construction in Progress 230 - 230 

General Property, Plant, and Equipment 5–10 4,694 2,030 2,664 

Vehicles 5-6 24,821 8,593 16,228 

IT Hardware 3–15 16,426 8,938 7,488 

Leasehold Improvements 2–10 7,562 4,097 3,465 

Internal-Use Software in Development 4,920 - 4,920 

Internal-Use Software 3–9 38,389 34,826 3,563 

Total $ 97,548 $ 58,662 $ 38,886 

Components of Fixed Assets as of 

September 30, 2014

(In Thousands)

Useful

Life

in Years

Land $ 43 $ - $ 43 

Buildings 10 463 116 347 

Construction in Progress 417 - 417 

General Property, Plant, and Equipment 5–10 4,735 1,932 2,803 

Vehicles 5-6 23,768 8,962 14,806 

IT Hardware 3–15 19,500 13,444 6,056 

Leasehold Improvements 2–10 6,338 2,869 3,469 

Internal-Use Software in Development 4,564 - 4,564 

Internal-Use Software 3–9 35,361 33,310 2,051 

Total $ 95,189 $ 60,633 $ 34,556 

Note 5 General Property, Plant, and Equipment, Net

Cost Net Book Value Accumulated 

Depreciation

Cost Accumulated 

Depreciation Net Book Value
107 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

FINANCIAL SECTION

obtained from data extracted from the databases. Values for internally developed software were derived from the most 

reliable available data for each system. 

Prepaid Volunteer Living Allowances - Payments of Volunteer living allowances are made prior to the entitlement 

month so the posts can ensure timely payments of the allowances to the Volunteers. These payments are pre-positioned 

so that Volunteers will not incur a financial burden for their living costs.

Travel Advances to Employees - Travel advances are provided to employees when appropriate. Advances remain in 

the financial records until they are offset against travel entitlements or collected.

Relocation Advances to Employees - Direct-hire employees are provided a relocation advance when appropriate.

Prepaid Rent - Prepaid Rent includes the advance payment for some of the residential and commercial office spaces 

in support overseas operations. 

Other Advance – Other Advances include prepayments of periodic expenses for IT maintenance costs.

Unfunded FECA Liability - A liability for the direct dollar costs of compensation and medical benefits paid on the 

agency’s behalf by DOL. Since the agency is dependent on annual appropriation, it will include the amount billed for 

the direct costs in its budget request two years later. 

Unfunded Annual Leave - A liability for annual leave is accrued as leave is earned and paid when leave is taken or 

when the individual terminates. The balance represents the estimated value of annual leave earned but not taken as of

September 30, 2015 for U.S.-hired employees. The valuation of the accrued annual leave for FSN employees and the 

foreign national PSCs has been estimated for this financial statement. There were 106 FSNs and 2,832 foreign 

national PSCs working for the Peace Corps at the end of the September 30, 2015. Annual leave earned is based on

Prepaid Volunteer Living Allowances $ 1,772 $ 1,836 

Note 6 Prepaid Volunteer Living Allowances

September 30, 2015

 (In Thousands)

September 30, 2014

 (In Thousands)

Travel Advances to Employees $ 694 $ 403

Relocation Advances to Employees 19 -

Prepaid Rent 3,350 2,908

Other Advances 1,093 579

Total Other Assets $ 5,156 $ 3,890

Note 7 Other Assets

September 30, 2015

 (In Thousands)

September 30, 2014

 (In Thousands)

Intragovernmental Liabilities

Unfunded FECA Liability $ 32,983 $ 33,348

Unfunded Employment-Related Liability 90 -

Public Liabilities

Unfunded Annual Leave 11,256 10,289

Unfunded Employment-Related Liability 2,035 333

Federal Employee and Veterans Benefits 145,956 149,107

Non-Entity Liabilties 23,493 20,225

Total Liabilities Not Covered by Budgetary Resources $ 215,813 $ 213,302

Total Liabilities Covered by Budgetary Resources $ 36,820 $ 39,258

Total Liabilities $ 252,633 $ 252,560

Note 8 Liabilities Not Covered by Budgetary Resources

 (In Thousands) (In Thousands)

September 30, 2015 September 30, 2014
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 108

FINANCIAL SECTION

local labor law requirements. Annual leave is paid out of current appropriations when taken.

Unfunded Employment Related Liability - A liability for the estimated severance of foreign national PSCs. Lump-sum 

payments are generally made to eligible international long-term personal services contractors based on local labor law 

requirements for separation. These payments are made when the individual terminates and are paid out of current 

appropriations. 

Federal Employee and Veterans Benefits - Liability for the actuarial value of future payments for FECA as estimated 

by DOL for the agency.

Liabilities Covered by Budgetary Resources - Liabilities covered by budgetary resources include accounts payable for 

goods and service received by the agency, liability for the separation and retirement payments for eligible foreign 

service PSCs and FSNs, and other liabilities as shown in Note 9.

Advances from Others - The balance of amounts advanced by other federal entities for goods and services to be 

furnished (e.g., money advance for Small Project Assistance grants.) All advances are considered current liabilities. 

Foreign Service National Liability (FSN) and Host Country Resident Personal Services Contractor (PSC) Severance 

and Retirement Liability - The estimated future liability cost to be paid to eligible FSNs and foreign national PSCs 

upon separation from the agency. FSN and PSC Severance/Retirement Liability are considered non-current liabilities.

For overseas operations, Peace Corps rents residences, office space and training facilities. Leases overseas contain a 

termination clause, allowing the agency to terminate any lease with a 30-90 day notice. Peace Corps leases are all 

operating leases and are considered cancellable. 

The agency enters into Occupancy Agreements with the General Services Administration (GSA) for its building in 

Washington, DC and its regional recruiting offices throughout the continental U.S. GSA leases commercial facilities 

and provides spaces in federal buildings for occupancy by the agency. Occupational Agreements range from five to 

ten year terms, however, leased spaces can be vacated within a 120-day notice to GSA. Future operating lease 

payments for domestic leases are depicted below:

Intragovernmental 

Advances from Others $ 19 $ 71

Other Liabilities

Contingent Liability (Note 11) 303 202

FSN and PSC Severance/Retirement Liability 23,447 25,849

Total Other Liabilities $ 23,769 $ 26,122

Note 9 Other Liabilities

 (In Thousands)

September 30, 2015 September 30, 2014

 (In Thousands)

Note 10 Leases

Fiscal Year 2016 6,739

Fiscal Year 2017 6,421

Fiscal Year 2018 4,253

Fiscal Year 2019 613

Fiscal Year 2020 499

After Fiscal Year 2020 765

Total Future Lease Payments $ 19,290

Fiscal Year Future Lease Payments

 (In Thousands)
109 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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In the opinion of the management and legal counsel, the agency is liable for contingent liabilities related to 

administrative proceedings, legal actions, or claims associated with employee grievances that are probable and 

measurable in the amount of $302,800 as of September 30, 2015 and $202,035 as of September 30, 2014. These 

contingencies are considered current liabilities.

Disclosure is required if there is a reasonable possibility that a loss may be incurred. The likelihood of a reasonable 

possibility of a loss related to administrative proceedings, legal actions, or claims related to employee grievances are

estimated to be $575,000 as of September 30, 2015 and $300,000 as of September 30, 2014. 

Intragovernmental activity represents the costs of goods and services provided to other federal agencies. Costs of 

goods and services and any revenue earned from outside federal sources are classified as public costs.

Exchange revenues represent revenue from services provided. This includes reimbursable agreements from other 

government agencies such as U.S. Agency for International Development sponsored HIV/AIDS education, 

prevention, and mitigation activities; and umbrella programs covering environment, health, youth, micro-enterprise, 

and Small Project Assistance technical assistance.

All obligations incurred are Category A or Exempt from Apportionment. 

The undelivered orders are budgetary obligations with and without advances/prepayments placed against federal 

budget authority where goods or services have yet to be received. 

Note 11 Commitments and Contingencies

Intragovernmental Costs $ 71,694 $ 66,812

Intragovernmental Earned Revenue (9,744) (9,853)

Total Intragovernmental $ 61,950 $ 56,959

Public Costs $ 320,622 $ 297,690

Public Earned Revenue (373) (187)

Total Public $ 320,249 297,503$ 

Total Net Cost $ 382,199 354,462$ 

 (In Thousands)

Note 12 Intragovernmental Costs and Exchange Revenue

September 30, 2015 September 30, 2014

 (In Thousands)

Note 13 Apportionment Categories of Obligations Incurred: Direct vs. Reimbursable Obligations

Category A $ 418,003 $ 10,468 $ 372,508 $ 10,310

Exempt from Apportionment 3,427 - 5,366 - 

Total Obligations Incurred 421,430$ $ 10,468 377,874$ $ 10,310

 Direct Reimbursable Direct

September 30, 2015

(In Thousands)

September 30, 2014

(In Thousands) 

Reimbursable

Undelivered Orders – End of Period $ 95,860 $ 73,327

Note 14 Undelivered Orders at the End of the Period

September 30, 2015 September 30, 2014

 (In Thousands) (In Thousands)
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 110

FINANCIAL SECTION

The Budget of the United States (also known as the President’s Budget), with actual numbers for FY 2015 was not 

published at the time that these financial statements were issued. The President’s Budget is expected to be published

in February 2016, and can be located at the OMB website http://www.whitehouse.gov/omb/budget and will be 

available from the U.S. Government Printing Office. The above chart displays the differences between the Combined 

Statements of Budgetary Resources (SBR) in the FY 2014 Performance and Accountability Report and the actual FY

2014 balances included in the FY 2016 President’s Budget. The differences are attributable to activities associated 

with expired funds that are excluded from the President’s Budget. 

Host Country Contributions are provided to Peace Corps by the host government and are accepted under the authority 

of Section 22 U.S.C. 2509(a)(4) of the Peace Corps Act. These contributions indicate host country support for the 

Peace Corps and help defray expenses, enabling the agency to use its budget more effectively. The host country 

retains ownership though the funds are deposited to special foreign currency accounts in the U.S. Treasury. In the 

event the funds are not used, funds are returned to the host country. The agency received cash and in-kind 

contributions from host countries. In-kind contributions estimated at $2,802,574.10 in fair market value were 

received at posts through the end of September 30, 2015, for services, supplies, equipment, and facilities. The host 

country cash balance is $744,774 as of September 30, 2015. 

Note 15 Explanation of Differences between the SBR and the Budget of the U.S. Government

(In Millions)

Combined Statements of Budgetary Resources $ 480 $ 388 $ (1,193) $ 353

Distributed Offsetting Receipts 1,193

Budget of the U.S. Government 476 388 - 355

Difference $ 4 $ - $ - $ (2)

Budgetary 

Resources 

Obligations 

Incurred Net Outlays

Distributed 

Offsetting Receipts

Note 16 Fiduciary Activities

Schedule of Fiduciary Activity

(In Thousands)

Fiduciary Net Assets, Beginning $ 746 $ 887 $ - $ -

 Contributions 604 658 2,803 2,717

 Disbursements (606) (799) (2,803) (2,717)

Increase/(Decrease) in Fiduciary Net Assets (2) (141) - -

Fiduciary Net Assets, Ending $ 744 $ 746 $ - $ -

Schedule of Fiduciary Net Assets

(In Thousands)

Fiduciary Net Assets

Cash and Cash Equivalents $ 745 $ 887 $ - $ -

Less: Liabilities 1 - - -

Total Fiduciary Net Assets $ 744 $ 887 $ - $ -

HCC

Cash

2015 

HCC

Cash

2014 

HCC

In-Kind

2015 

HCC

In-Kind

2014 

HCC

Cash

2015 

HCC

Cash

2014 

HCC

In-Kind

2015 

HCC

In-Kind

2014 
111 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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The Reconciliation of Net Cost of Operations to Budget reflects the budgetary and non-budgetary sources that fund 

the Net Cost of Operations for the agency.

Imputed financing recognizes actual costs of future benefits which include the Federal Employees Health Benefit 

Program, Federal Employees Group Life Insurance Program, and pension benefits that are paid by other federal 

entities.

Resources Used to Finance Activities:

Budgetary Resources Obligated:

Obligations Incurred $ 431,898 $ 388,184

Less: Spending Authority from Offsetting Collections and Recoveries 28,527 28,583

Obligations Net of Offsetting Collections and Recoveries 403,371 359,601

Less: Offsetting Receipts (1,616) (1,193)

Net Obligations 404,987 360,794

Other Resources

Transfers in/out without reimbursement (+/-) (65) 510

Imputed financing from costs absorbed by others 5,223 6,165

Net resources used to finance activities 5,158 6,675

Total resources used to finance activities 410,145 367,469

Resources Used to Finance Items Not Part of the Net Cost of Operations:

Change in budgetary resources obligated for goods, services and benefits ordered but 

not yet provided (+/-) (21,176) (5,626)

Budgetary offsetting collections and receipts that do not affect net cost of operations - 1,840 

Resources that finance the acquisition of assets (14,158) (12,178)

Other resources or adjustments to net obligated resources that do not affect net cost of 

operations (+/-) 628 (510)

Total resources used to finance items not part of the net cost of operations (34,706) (16,474)

Total resources used to finance the net cost of operations 375,439 350,995

Components Requiring or Generating Resources in Future Periods:

Future Funded Expenses 2,495 1,088

Changes in Actuarial Liability (3,151) (4,290)

Components not Requiring or Generating Resources:

Depreciation and amortization 7,584 6,722

Other (+/-) (168) (53)

Total Components of Net Cost of Operations that will not require or generate resources 6,760 3,467

Net Cost of Operations $ 382,199 $ 354,462

Note 17 Reconciliation of Net Cost of Operations (Proprietary) to Budget 

September 30, 2015

(In Thousands)

September 30, 2014

(In Thousands)

Note 18 Imputed Financing

Federal Employees Health Benefit Program $ 4,796 $ 4,038

Federal Employees Group Life Insurance Program 16 15

Civil Service Retirement System 423 559

Federal Employees Retirement System (32) 1,532

Foreign Service Retirement and Disability System 20 21

Total Imputed Costs $ 5,223 $ 6,165

September 30, 2015

 (In Thousands)

September 30, 2014

 (In Thousands)
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 112

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Inspector General’s Audit Transmittal Letter
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 114

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• There were no material weaknesses in internal control.1

• Three significant deficiencies related to internal control were disclosed by Kearney:

2

 Information technology security needs improvement. Kearney cited 

continuous monitoring and the agency’s risk management program as areas 

needing improvement. 

 De-obligation of unliquidated obligations (ULO) is not always timely.

Specifically, Kearney cited that an effective ULO control environment is not 

being maintained and needs to be strengthened and better integrated into the 

agency’s obligation review process.

 Effective controls over the agency’s obligations are not being maintained. 

Kearney indicated that steps need to be taken to improve and integrate the 

obligation process. 

• Four instances of reportable noncompliance were found relating to complying with

applicable provisions of laws, regulations, contracts, and grant agreements which are 

required to be reported under GAGAS or OMB guidance. Kearney found that the Peace 

Corps did not fully comply with:

 OMB Circular A-11 relating to the timely, complete, and accurate reporting of 

federal agency consolidated financial statements.

 31 U.S.C § 1501, regarding the requirement for documentary evidence of 

government obligations. 

 Federal Information Security Modernization Act of 2014.

 Ethics in Government Act of 1978 associated with the timely reviewing of 

annual Public Financial Disclosure Reports.

OIG Evaluation of Kearney’s Audit Performance

In connection with the contract, we reviewed Kearney’s reports, related documentation and 

inquired of its representatives. Our review, as differentiated from an audit in accordance with 

GAGAS, was not intended to enable us to express, and we do not express, opinions on the 

Peace Corps’ financial statements or conclusions about the effectiveness of internal control 

or compliance with laws, regulations, contracts, and grant agreements. Kearney is 

1 A material weakness is defined as a deficiency, or combination of deficiencies, in internal control, such that 

there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be 

prevented, or detected and corrected on a timely basis.

2 A significant deficiency is defined as a deficiency, or a combination of deficiencies, in internal control that is 

less severe than a material weakness, yet important enough to merit attention by those charged with governance.
115 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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responsible for the attached auditor’s reports dated November 6, 2015 and the conclusions 

expressed in the reports. However, our review disclosed no instances where Kearney did not 

comply in all material respects, with GAGAS.

We would like to express our appreciation to the Peace Corps staff involved in working with 

the auditors and issuing the financial statements within the established OMB milestones.

Their professionalism, cooperation, and timely responsiveness allowed us to overcome the 

many challenges associated with performance of the audit and our oversight of the audit 

process. If you or a member of the Peace Corps staff has any questions about Kearney’s audit 

or our oversight please contact me or Assistant Inspector General for Audit Judy Leonhardt,

at 202-692-2914.

Attachment

cc: Laura Chambers, Chief of Staff

Carlos Torres, Senior Advisor to the Director

Joseph L. Hepp, Jr., Chief Financial Officer

Francisco Reinoso, Chief Information Officer

Anne Hughes, Acting Chief Compliance Officer
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 116

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1701 Duke Street, Suite 500, Alexandria, VA 22314

PH: 703.931.5600, FX: 703.931.3655, www.kearneyco.com

INDEPENDENT AUDITOR’S REPORT

To the Director and Inspector General of United States Peace Corps

Report on the Financial Statements

We have audited the accompanying consolidated financial statements of the United States Peace 

Corps (Peace Corps), which comprise the consolidated balance sheets as of September 30, 2015

and 2014, the related consolidated statements of net cost and changes in net position, and the 

combined statements of budgetary resources (hereinafter referred to as the “consolidated 

financial statements”) for the years then ended, as well as the related notes to the consolidated 

financial statements.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these consolidated 

financial statements in accordance with accounting principles generally accepted in the United 

States of America; this includes the design, implementation, and maintenance of internal control 

relevant to the preparation and fair presentation of consolidated financial statements that are free 

from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express an opinion on these consolidated financial statements based on 

our audits. We conducted our audits in accordance with auditing standards generally accepted in 

the United States of America; the standards applicable to financial audits contained in 

Government Auditing Standards, issued by the Comptroller General of the United States; and 

Office of Management and Budget (OMB) Bulletin No. 15-02, Audit Requirements for Federal 

Financial Statements. Those standards require that we plan and perform the audits to obtain 

reasonable assurance about whether the consolidated financial statements are free from material 

misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and 

disclosures in the consolidated financial statements. The procedures selected depend on the 

auditor’s judgment, including the assessment of the risks of material misstatement of the 

consolidated financial statements, whether due to fraud or error. In making those risk 

assessments, the auditor considers internal control relevant to the entity’s preparation and fair 

presentation of the consolidated financial statements in order to design audit procedures that are 

appropriate in the circumstances, but not for the purpose of expressing an opinion on the 

effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit 

also includes evaluating the appropriateness of accounting policies used and the reasonableness 

of significant accounting estimates made by management, as well as evaluating the overall

presentation of the consolidated financial statements.

Auditor’s Report
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We believe that the audit evidence we have obtained is sufficient and appropriate to provide a 

basis for our audit opinion.

Opinion

In our opinion, the consolidated financial statements referred to above present fairly, in all 

material respects, the financial position of the Peace Corps as of September 30, 2015 and 2014

and its net cost of operations, changes in net position, and budgetary resources for the years then

ended, in accordance with accounting principles generally accepted in the United States of 

America.

Other Matters

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the 

Management’s Discussion and Analysis and Required Supplementary Information (hereinafter 

referred to as the “required supplementary information”) be presented to supplement the 

consolidated financial statements. Such information, although not a part of the consolidated 

financial statements, is required by OMB and the Federal Accounting Standards Advisory Board

(FASAB), who consider it to be an essential part of financial reporting for placing the 

consolidated financial statements in an appropriate operational, economic, or historical context. 

We have applied certain limited procedures to the required supplementary information in 

accordance with auditing standards generally accepted in the United States of America, which 

consisted of inquiries of management about the methods of preparing the information and 

comparing the information for consistency with management’s responses to our inquiries, the 

consolidated financial statements, and other knowledge we obtained during our audits of the

consolidated financial statements. We do not express an opinion or provide any assurance on the 

information because the limited procedures do not provide us with sufficient evidence to express 

an opinion or provide any assurance.

Other Information

Our audits were conducted for the purpose of forming an opinion on the consolidated financial 

statements taken as a whole. Other information is presented for purposes of additional analysis 

and is not a required part of the consolidated financial statements. Such information has not

been subjected to the auditing procedures applied in the audits of the consolidated financial 

statements; accordingly, we do not express an opinion or provide any assurance on it.

Reports on Internal Control, Compliance, and Other Matters

In accordance with Government Auditing Standards and OMB Bulletin No. 15-02, we have also 

issued a report, dated November 6, 2015, on our consideration of the Peace Corps’ internal 

control over financial reporting and on our tests of the Peace Corps’ compliance with provisions 

of applicable laws, regulations, contracts, and grant agreements, and other matters for the year 
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 118

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ended September 30, 2015. The purpose of this report is to describe the scope of our testing of 

internal control over financial reporting and compliance and the results of that testing, not to 

provide an opinion on internal control over financial reporting or on compliance and other 

matters. This report is an integral part of an audit performed in accordance with Government 

Auditing Standards and OMB Bulletin No. 15-02 and should be considered in assessing the 

results of our audits.

Alexandria, Virginia

November 6, 2015
119 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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1701 Duke Street, Suite 500, Alexandria, VA 22314

PH: 703.931.5600, FX: 703.931.3655, www.kearneyco.com

INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER 

FINANCIAL REPORTING AND COMPLIANCE WITH LAWS, REGULATIONS, 

CONTRACTS, AND GRANT AGREEMENTS 

To the Director and Inspector General of the United States Peace Corps

We have audited the consolidated financial statements of the United States Peace Corps (Peace 

Corps) as of and for the year ended September 30, 2015, and we have issued our report thereon 

dated November 6, 2015. We conducted our audit in accordance with auditing standards 

generally accepted in the United States of America; the standards applicable to financial audits 

contained in Government Auditing Standards, issued by the Comptroller General of the United 

States; and Office of Management and Budget (OMB) Bulletin No. 15-02, Audit Requirements 

for Federal Financial Statements.

Internal Control over Financial Reporting

In planning and performing our audits of the consolidated financial statements, we considered 

the Peace Corps’ internal control over financial reporting (internal control) to determine the audit 

procedures that are appropriate in the circumstances for the purpose of expressing our opinion on

the consolidated financial statements, but not for the purpose of expressing an opinion on the 

effectiveness of the Peace Corps’ internal control. Accordingly, we do not express an opinion on 

the effectiveness of the Peace Corps’ internal control. We limited our internal control testing to 

those controls necessary to achieve the objectives described in OMB Bulletin No. 15-02. We did 

not test all internal controls relevant to operating objectives as broadly defined by the Federal 

Managers’ Financial Integrity Act of 1982 (FMFIA), such as those controls relevant to ensuring 

efficient operations.

A deficiency in internal control exists when the design or operation of a control does not allow 

management or employees, in the normal course of performing their assigned functions, to 

prevent or detect and correct misstatements on a timely basis. A material weakness is a 

deficiency, or combination of deficiencies, in internal control, such that there is a reasonable 

possibility that a material misstatement of the entity’s consolidated financial statements will not 

be prevented or detected and corrected on a timely basis. A significant deficiency is a 

deficiency, or combination of deficiencies, in internal control that is less severe than a material 

weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the preceding 

paragraph and was not designed to identify all deficiencies in internal control that might be 

material weaknesses or significant deficiencies; therefore, material weaknesses or significant 

deficiencies may exist that were not identified. Given these limitations, during our audits, we did 

not identify any deficiencies in internal control that we consider to be material weaknesses. 

However, material weaknesses may exist that have not been identified. We did identify certain 

deficiencies in internal control, described in the accompanying Schedule of Findings, that we 

consider to be significant deficiencies.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 120

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We noted certain additional matters involving internal control over financial reporting that we 

will report to the Peace Corps’ management in a separate letter.

Compliance and Other Matters

As part of obtaining reasonable assurance about whether the Peace Corps’ consolidated financial 

statements are free from material misstatement, we performed tests of its compliance with 

provisions of applicable laws, regulations, contracts, and grant agreements, noncompliance 

which could have a direct and material effect on the determination of consolidated financial 

statement amounts. We limited our tests of compliance to these provisions and did not test 

compliance with all laws, regulations, contracts, and grant agreements applicable to the Peace 

Corps. Providing an opinion on compliance with those provisions was not an objective of our 

audits; accordingly, we do not express such an opinion. The results of our tests disclosed 

instances of noncompliance or other matters that are required to be reported under Government 

Auditing Standards and are described in the accompanying Schedule of Findings.

The Peace Corps’ Response to Findings

The Peace Corps’ response to the findings identified in our audits is described in a separate 

memorandum attached to this report. The Peace Corps’ response was not subjected to the 

auditing procedures applied in our audit of the consolidated financial statements; accordingly, we 

do not express an opinion on it.

Purpose of this Report

The purpose of this report is solely to describe the scope of our testing of internal control and the 

results of that testing and not to provide an opinion on the effectiveness of the Peace Corps’ 

internal control. Additionally, the purpose of this report is solely to describe the scope of our 

testing of compliance and the results of that testing, and not to provide an opinion on the 

effectiveness of the entity’s compliance. This report is an integral part of an audit performed in 

accordance with Government Auditing Standards and OMB Bulletin No. 15-02 in considering 

the entity’s internal control. Accordingly, this communication is not suitable for any other 

purpose.

Alexandria, Virginia

November 6, 2015
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Schedule of Findings

Significant Deficiencies

I. Information Technology Security (Repeat Condition)

The Peace Corps’ information technology (IT) internal control structure, both for the General 

Support Systems and critical financial reporting applications, did not include a comprehensive 

risk analysis, proof of effective monitoring of design and performance, and evidence of an ability 

to identify and respond to changing risk profiles. The Peace Corps’ IT control environment 

included design and operation weaknesses that, when combined, are considered to be a 

significant deficiency, as summarized below:

• During fiscal year (FY) 2015, the Office of the Chief Information Officer continued the 

process of implementing a Continuous Monitoring Program. However, it was not fully 

implemented at the information system level in accordance with its current Information 

Security Continuous Monitoring (ISCM) strategy. The Federal Information Security 

Modernization Act of 2014 (FISMA) Evaluation Team identified the following control 

deficiencies:

- One of seven FISMA reportable systems of non-financial applications has an 

expired Authorization to Operate

- The Peace Corps has not implemented a capability to detect unauthorized 

connections to its networks

- Security weaknesses identified by vulnerability assessments were not tracked and 

monitored within the Cyber Security Assessment and Management (CSAM) tool 

using the Plan of Action and Milestones process.

• The Peace Corps does not have a robust agency-wide Risk Management Program to 

manage information security risks. While OCIO has formalized an overall Risk 

Management strategy in February 2014, there was no evidence that demonstrated that the 

agency was able to identify, assess, respond, and monitor information security risk at the 

entity or business process levels. The Senior Assessment Team holds regular meetings 

with the Chief Information Officer and Risk Executive to discuss the agency’s risk 

posture; however, this process does not follow any formal standard. In addition, the 

Peace Corps has not developed relevant security policies and procedures to effectively 

manage the FISMA system inventory, establish system boundaries, and conduct 

appropriate Security Testing and Evaluation as part of the Security Assessment and 

Authorization (SA&A) process. Specifically, the FISMA Evaluation Team identified the 

following control deficiencies:

- Two conflicting system inventory lists (i.e., operating systems and databases) 

were maintained

- External system connections were not documented within the official system 

repository, the CSAM tool
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 122

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- Three major applications (i.e., Volunteer Delivery Service, Management Services 

System, and Safety and Security System) were missing up-to-date authorization 

packages.

As defined in Generally Accepted Government Auditing Standards, information system controls 

consist of those internal controls that are dependent on information systems processing and 

include general controls and application controls. General and application controls, while 

effective, may not be sufficient to address and minimize the risks due to weaknesses in the Peace 

Corps’ Information Security Program. Security Program policies and procedures apply to most, 

if not all, the Peace Corps’ information systems. The effectiveness of these procedures is a 

significant factor in determining the confidentiality, integrity, and availability of the information 

contained in the applications.

The lack of a comprehensive Continuous Monitoring Program prevents the Peace Corps from 

clearly understanding the security state of all of its systems over time. It also prevents the 

agency from effectively monitoring a dynamic IT environment with changing threats, 

vulnerabilities, technologies, business processes/functions, and critical missions. Without a fully 

implemented Continuous Monitoring Program, potential damage to agency systems could occur, 

which may result in system downtime, unauthorized access, changes to data, data loss, or 

operational failure.

Without effectively implementing a comprehensive risk management process at the agency level, 

the Peace Corps may be unable to address the root causes associated with the existing 

information security risks. In addition, appropriate resources may not be effectively assigned to 

make the correct risk decisions to ensure the results align with the agency’s business priorities. 

Recommendation #1: Kearney & Company, P.C. (Kearney) recommends that the Peace Corps’

OCIO:

1. Develop and adhere to a formal project plan to assign the proper resources required to 

fully implement all components of its current ISCM strategy

2. In coordination with the Risk Executive, continue to implement its risk management 

strategy that identifies, assesses, and remediates security-related risks at all levels, 

consistent with FISMA requirements and National Institute of Standards and Technology 

Special Publication 800-39

3. Perform SA&A on all FISMA-reportable systems in accordance with the Risk 

Management strategy. 
123 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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II. Untimely De-Obligation of Unliquidated Obligations (Repeat Condition)

Unliquidated Obligations (ULO) represent: 1) the cumulative amount of orders, contracts, and 

other binding agreements for which the goods or services ordered have been paid for but have 

not yet been received or 2) the goods or services have been received but payment has not yet 

been made. Agencies should maintain policies, procedures, and information systems to ensure 

that ULOs represent future Federal outlays. Failure to maintain an effective ULO control 

environment may result in difficulties in managing funds, improper payments, inaccurate 

budgetary reports, and violations of Federal regulations.

The Peace Corps records obligations in its financial management system when it enters into a

binding agreement, such as a contract or purchase order, to purchase goods or services. Once 

recorded, obligations remain open until they are fully reduced by disbursements or de-obligated 

or the appropriation that is funding the obligation is canceled. As invoices are received and 

payments are made, obligations are liquidated by the amount of the payments.

The Peace Corps reported domestic and overseas ULOs worth $91 million as of June 30, 2015. 

Kearney evaluated the validity and liquidation status of domestic and overseas non-Federal 

ULOs with a statistical sample of 36 and judgmentally sampled the 10 largest domestic Federal 

ULOs. The combined 46 domestic and overseas ULOs sampled had a recorded value of $4.5 

million, and Kearney noted:

• Eleven domestic non-Federal ULOs in the statistical sample, valued at $612,582, should 

have been de-obligated. These errors produced a projected error of $1,077,807

• One out of 10 judgmentally sampled domestic Federal ULOs, valued at $65,251, should 

have been de-obligated as of June 30, 2015. This error comprised 5% of the sampled

domestic Federal ULO balance. 

In total, Kearney identified 12 exceptions with a recorded value of $677,833 that the Peace 

Corps should have de-obligated. The 12 identified exceptions produced a projected likely error 

of approximately $1,077,807 in the non-Federal ULO balance as of June 30, 2015.

In addition, Kearney tested 42 additional overseas ULOs during post visits and identified 

one open ULO, valued at $2,489, that should have been de-obligated. 

The Peace Corps’ failure to maintain an effective domestic ULO control environment in 

which invalid open obligations are identified and de-obligated in a timely manner may 

result in difficulties in managing funds, improper payments, inaccurate budgetary reports, 

and possible violations of Federal regulations.
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Recommendation #2: Kearney recommends that the Peace Corps take steps to strengthen and 

better integrate its obligation process, including the following:

• Review open obligations and ensure the ultimate disposition of open obligations is 

formally documented, reviewed, and certified by a senior official in a timely and routine 

manner

• Continue to provide annual training on related policies and procedures to ensure 

consistency between posts

• Review policy regarding the de-obligation of domestic obligations.
125 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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III. Budgetary Accounting (New Condition)

The Peace Corps should record an obligation in its financial management system when it enters 

into a binding agreement, such as a contract or purchase order, to purchase goods and services. 

Agencies should only record legitimate obligations, which would include a reasonable estimate 

of the Government’s potential liability. Agencies should maintain policies, procedures, and 

information systems to ensure that obligations represent future Federal outlays, comply with 

laws and regulations, and are appropriately approved. In order to determine the status of 

appropriations, obligations must be recorded in the accounting records on a factual and 

consistent basis. Failure to maintain effective obligation controls may result in difficulties 

managing funds, improper payments, inaccurate budgetary reports, and violation of Federal 

regulations, including the Antideficiency Act.

Kearney statistically sampled 45 new obligations, valued at $8,070,169, created October 1, 2014 

through June 30, 2015, and noted the following issues:

• Two obligations were recorded in Odyssey after the period of performance began. For 

both obligations, the delay between the obligation date recorded in Odyssey and the 

period of performance start date was seven days

• The two obligation exceptions consisted of a $115,000 modification to an existing 

contract and a $1,839,032 contract that was not signed before the period of performance

Additionally, during post visits, Kearney noted that three obligation samples were created in 

Financial Operations Room (FOR) Post prior to an approved obligating document and one 

expense sample had two obligations created for the same purchase order.

The Peace Corps recorded obligations that were not supported by binding agreements. In

analyzing obligations of the Peace Corps as of September 30, 2015, Kearney identified 215 

obligations with original obligation amounts between $0.01 and $1.00 created as placeholders for 

future obligations. The Peace Corps could not provide evidence of binding agreements to 

support these obligations. However, 31 United States Code (U.S.C.) § 1501 requires 

documentary evidence for Government obligations.

Obligations that are not recorded timely in the financial information system preclude the 

effective operation of automated controls and may increase the risk that goods or services may 

be acquired and/or received prior to an authorized obligation certifying the availability of funds 

or prior to an authorized contract or purchase order being established. The process of 

authorizing the obligation and certifying fund availability ensures the completeness of the 

recorded obligation balances.

Establishing obligations for inaccurate amounts limits the Peace Corps’ ability to evaluate 

program accomplishments and identify additional funding requirements.
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Recommendation #3: Kearney recommends that the Peace Corps take steps to strengthen and 

better integrate the obligation process, including implementing a process to reduce the delay 

between execution and data entry.

Recommendation #4: Kearney recommends that the Peace Corps implement controls that 

ensure that only valid obligations are recorded. In addition, the Peace Corps should provide 

training to the Director of Management Operations and Financial Assistants to help them 

understand why they should not create placeholder obligations.

* * * * *
127 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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Noncompliance and Other Matters

IV. OMB Circular Number A-11, Preparation, Submission, and Execution of the Budget 

(Repeat Condition)

As discussed in Section III: Budgetary Accounting, Kearney statistically sampled 45 new 

obligations, created October 1, 2014 through June 30, 2015, and noted that the Peace Corps 

recorded two obligations after the start of the period of performance. During post visits, Kearney 

also noted that three obligations sampled were created prior to an approved obligating document 

and one expense sample had two obligations created for the same purchase order.

V. 31 U.S.C. § 1501, Documentary evidence requirement for Government obligations

(New Condition)

As discussed in Section III: Budgetary Accounting, obligations are definite commitments that 

create a legal liability of the Government for payment. The Peace Corps should only record 

legitimate obligations; Kearney noted that the Peace Corps recorded obligations that were not 

supported by binding agreements.

VI. FISMA (Repeat Condition)

FISMA requires agencies to provide information security controls commensurate with the risk 

and potential harm of not having those controls in place. The heads of agencies and Offices of 

Inspectors General are required to annually report on the effectiveness of the agencies’ security 

programs.

As noted in its Assurance Statement, the Peace Corps disclosed an instance of noncompliance

with FISMA that is required to be reported under Government Auditing Standards and OMB 

Bulletin No. 15-02.

By not complying with FISMA, the Peace Corps has potentially weakened security controls, 

which could adversely affect the confidentiality, integrity, and availability of information and 

information systems.

VII. Ethics in Government Act of 1978 (Repeat Condition) 

The Ethics in Government Act of 1978, as amended on October 26, 1978, requires senior 

officials in the Executive, Legislative, and Judicial branches to file public reports of their 

finances, as well as other interests outside the Government. The primary purpose of this 

disclosure is to assist agencies in identifying potential conflicts of interest between a filer’s 

official duties and their private financial interests and affiliations. The Peace Corps Senior 

Executive Service employees are required to annually complete and file Public Financial 

Disclosure Reports (Office of Government Ethics [OGE]-278) to declare their financial assets 

and affiliations. OGE-278s are to be filed within 30 days of appointment or termination, or by 

May 15 of that calendar year, whichever is later. 
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The Designated Agency Ethics Official (DAEO) is responsible for reviewing all OGE-278s to 

determine if any actual or potential conflicts of interest exist between the filer’s public 

responsibilities and private interests and activities within 60 days of the filing date. Timely 

submission of the OGE-278 allows the filer and the Peace Corps to address such conflicts when 

they first appear and take appropriate actions to protect the filer and the Peace Corps. 

Kearney evaluated 100% of the Peace Corps’ 28 Public Financial Disclosure Forms (i.e., OGE278). We noted the DAEO did not start the review of four OGE-278s within the required 60

days of receipt of the employees OGE-278. The DAEO started these reviews 67, 78, 84, and 93 

days late, respectively.

Untimely review and completion of an OGE-278 could cause potential conflicts of interest 

between the filer’s official Government duties and private financial interests from not being 

detected and resolved. They can result in affiliations going undetected and unresolved for 

extended periods of time. The Peace Corps may be exposed to negative publicity and legal 

events if apparent and/or actual conflicts of interest and violations of Federal ethics laws and 

regulations are not disclosed and remediated in a timely manner.
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FINANCIAL SECTION

APPENDIX A: STATUS OF PRIOR YEAR DEFICIENCIES

Three issues were noted relating to internal control over financial reporting in the Independent 

Auditor’s Report on Internal Control over Financial Reporting and Compliance with Applicable 

Provisions of Laws, Regulations, Contracts, and Grant Agreements on the Peace Corps’ FY 

2014 consolidated financial statements.

1 The table below presents a summary of the current year 

status of these issues.

Prior Year Internal Control Significant Deficiencies

Control Deficiency 2015 Status 2014 Status

Property, Plant, and Equipment Closed Significant Deficiency

Information Technology Internal 

Control Environment Significant Deficiency Significant Deficiency

Untimely De-Obligation of 

Unliquidated Obligations Significant Deficiency Significant Deficiency

 1 Independent Auditor’s Report on the Peace Corps’ 2014 and 2013 Financial Statements
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FINANCIAL SECTION

Peace Corps has reviewed the Auditor’s Report and concurs with the findings in the report.

AGENCY COMMENTS TO THE AUDITOR’S REPORT
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Natural resource management Volunteer 

works with local farmers to create an irrigation 

system to water soy fields in Malawi.

OTHER 

INFORMATION
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 132
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Inspector General’s Statement on the Peace Corps’ Management and Performance Challenges 

Office of Inspector General

TO: Carrie Hessler-Radelet, Peace Corps Director 

Anne Hughes, Acting Chief Compliance Officer 

FROM: Kathy A. Buller, Inspector General 

SUBJECT: Inspector General’s Statement on the Peace Corps’ Management and Performance

Challenges 

DATE: October 30, 2015

In accordance with the Reports Consolidation Act of 2000, the Office of Inspector General 

(OIG) is submitting what it has determined to be the most significant management and 

performance challenges facing the Peace Corps. The challenges discussed in the attachment to 

this memo are to be included in the agency’s Performance and Accountability Report for fiscal 

year (FY) 2015.

OIG has concluded that the following five areas present significant challenges at the Peace 

Corps: 

• IT Security Management (first reported in FY 2009) 

• Business Processes (first reported in FY 2011) 

• Excessive Personnel Turnover (first reported in FY 2012) 

• Training Overseas Staff (FY 2014)

• Acquisition and Contract Management (new for FY 2015)

These challenges illustrate the most significant areas OIG believes need improvement for the 

Peace Corps to effectively manage its resources and minimize the potential for fraud, waste, and 

abuse occurring in its operations. Addressing the issues related to these challenge areas would 

enable the agency to increase operational efficiencies and improve mission effectiveness. 

Attachment

cc: Laura Chambers, Chief of Staff

Carlos Torres, Senior Advisor to the Director

Becca Sharp, Deputy Chief of Staff

Lyzz Ogunwo, White House Liaison

Rudy Mehrbani, General Counsel

Carl Sosebee, Senior Advisor
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Joseph Hepp, Chief Financial Officer

Paul Shea, Deputy Chief Financial Officer

Linda Brainard, Chief Acquisition Officer

Francisco Reinoso, Chief Information Officer

Vincent Groh, Deputy Chief Information Officer

Alan Price, Associate Director, Office of Management

Garry Stanberry, Deputy Associate Director, Office of Management

Paul Jung, Associate Director, Office of Health Services

Helen Lowman, Associate Director, Volunteer Recruitment and Selection

Melissa Silverman, Director of Communications

Shawn Bardwell, Director for Safety and Security

Ken Yamashita, Acting Director for Office of Global Operations

Cathryn Thorup, Director, Office of Strategic Information, Research and Planning

Sonia Stines Derenoncourt, Director, Office of Overseas Programming and Training

Marie McLeod, Director, Office of Global Health and HIV

Kate Beale, Director, Peace Corps Response

Tonia Wellons, Associate Director, Office of Strategic Partnerships

Sue Larson, Contractor, Office of the Chief Financial Officer
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Challenge Information Technology Security Management

Why This Is a Challenge

An effective information technology (IT) security program helps protect an agency’s data from 

being misused by both internal and external sources and minimizes the potential of having its 

most sensitive data compromised. The federal laws and regulations governing IT security are 

specifically designed to strengthen an agency’s management of its operations. They also 

provide significant guidance that serves to prevent the occurrence of serious information 

security incidents. The Federal Information Security Management Act of 2002 (FISMA), as 

amended, is central to the federal environment’s IT security program.

1 The objective of FISMA 

is to develop a comprehensive framework to protect the government’s information, operations, 

and assets. Since FY 2009, OIG has reported in its management and performance challenges

that the Peace Corps has not achieved full compliance with FISMA or fully implemented an 

effective IT security program. Some of the identified issues have been outstanding for over 

seven years and the agency has struggled to implement corrective actions.

Further complicating this challenge, the Peace Corps has been trying to modernize its IT 

environment. Despite good intentions, there has not been adequate attention paid to IT

security and its implications for the network and sensitive information. For example, in FY 

2015, the Peace Corps participated in a cloud email pilot program with GSA. This program

neither followed the proper acquisition policies or processes, nor conducted a standard

security assessment prior to initiating the pilot. The agency has since suspended the pilot

program and began pursuing cloud email through appropriate agency processes making IT 

security a key component of the acquisition.

Progress in Addressing Challenge

Management has made some progress in strengthening the Peace Corps’ IT security 

management programs through measures taken to improve its FISMA compliance, beginning 

with the onboarding of a new Chief Information Security Officer. The agency has developed and 

begun implementing key policies and procedures, such as user access management, incident 

response and reporting, and user security awareness and training. However, there are a number 

of FISMA issue areas that were discussed in prior year challenge statements that have not been 

fully resolved. For example: although management has initiated a continuous monitoring

program, including documenting some of the agency’s systems and their associated risk, the

program does not contain all the required components and remains incomplete; some

configuration management processes have not been fully implemented; contingency plan testing 

weaknesses still exist at overseas posts, headquarters, and regional recruiting offices; and

systems security assessment documentation has not been completely updated and is not being 

reviewed periodically by key stakeholders. Furthermore, the Peace Corps has not fully 

implemented a comprehensive agency- wide risk management program that is effective in

monitoring, identifying, and assessing security weaknesses, and resolving related problems at 

the entity, business process, and information system levels, in-line with the National Institute of 

Standards and Technology Risk Management Framework.

 1 FISMA was amended in December 2014 by the Federal Information Security Modernization Act of 2014 (Pub. L. 

No. 113-283).
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What Needs to be Done

Achieving full compliance with FISMA and other federal laws and regulations that apply to 

managing the Peace Corps’ IT security infrastructure is critical to having a program that is 

effective in ensuring the agency’s information, operations, and assets are adequately protected. 

The Peace Corps needs to place greater emphasis on improving its information security

program, including accomplishing greater FISMA compliance, and timely remediation of IT 

security weaknesses that have been identified internally, and through the annual FISMA audit 

and other reviews. The Peace Corps will need to place a sharper focus on improving its IT 

security program by assigning sufficient qualified personnel and prioritizing the agency time

and resources necessary to become fully FISMA compliant and eliminate weaknesses. 

Implementation of the Risk Management Framework will facilitate the tailoring of an 

information security program that meets Peace Corps’ mission/business needs across a 

decentralized organization.

Key OIG Resources

Peace Corps’ FY 2014 Performance and Accountability Report

Peace Corps’ FY 2015 Performance and Accountability Report

Management Advisory Report: The Peace Corps’ Cloud Computing Pilot Program

OIG Semiannual Report to Congress, April 1 to September 30, 2015

Challenge Business Processes

Why This Is a Challenge

Although the Peace Corps continues to improve key business processes and critical Volunteer

support functions, as well as streamlining its operations, it is constrained by decentralized 

processes and a lack of modern systems. Specifically, the agency continues to be challenged in 

the areas related to Volunteer safety and security, data management, and property 

management.

Volunteer Safety and Security

In May 2012, the Peace Corps Director and the Department of State (DOS) signed a 

memorandum of understanding (MOU) to formalize the relationship and further define and 

clarify individual roles and responsibilities for overseas safety and security regarding Peace 

Corps staff and Volunteers. However, consistent implementation of the agency’s 

responsibilities remains a challenge because the agency’s safety and security program is 

decentralized, with the responsible staff located within multiple offices both at headquarters and

overseas.

The lack of consistent communications with DOS regional security officers (RSOs) has 

impacted the agency’s implementation of the MOU. In a follow up audit of the Volunteer Safety

and Security Program we found Peace Corps safety and security officers’ (PCSSO) trip reports 

were not consistently reported to the Regional Security Officer (RSO) as required by the MOU. 

The audit also found that there is no consistent communication structure between Peace Corps 

and the RSO and there is a lack of agency guidance on how to report serious incidents to the

RSO. In the report we noted that almost half of the serious incidents we analyzed were not 

reported to RSOs in a timely manner.
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Further, on September 1, 2013, in response to the Kate Puzey Act, the Peace Corps changed 

its crime reporting system to remove sensitive sexual assault details. However, the Peace

Corps erroneously stopped sending RSOs details for all crime incidents, not just those 

classified as sexual assaults. It took over six months for RSOs to receive any official 

explanation from the Peace Corps about the reporting change. This communication failure 

damaged the relationship between the Peace Corps and the RSOs.

Data Management

Although the Peace Corps is working on modernizing some of its businesses processes, OIG 

audits and evaluations continue to find that several essential business functions remain largely 

paper-based, such as processes for travel, medical supply management, payment vouchers, and 

several human resource functions (leave approval, performance appraisals, training records, 

and travel compensation time). The Peace Corps lack of automated business processes has led 

to inefficiencies and duplication of efforts, and makes data more prone to human error.

The agency lacks a centralized case management system to document the response to sexual 

assault incidents and services provided to victims. In a 2012 evaluation report, OIG 

recommended the agency develop a case management system and noted the lack of a

centralized system makes it difficult to confirm the quality or consistency of care provided to 

victims or to identify and correct lapses in services or response provided to victims.

Property Management

At year end the Peace Corps reported having a total property net book value of $38.9 million. 

OIG and Peace Corps external audits continue to find issues with property system reliability. 

In FY 2012, the agency implemented a new property accountability system to better manage 

its assets; however, significant problems with data accuracy have persisted through FY 2015.

Progress in Addressing the Challenge

The agency’s safety and security program has begun to mature in recent years, with the

development of more vigorous roles and responsibilities for the safety and security 

manager position, updated guidance materials, and more formal involvement of security 

experts in the hiring of overseas security personnel. The agency is currently working with 

Department of State to revise and update the MOU.

The Peace Corps has implemented, and is working to implement, several systems to better

manage agency records. Specifically, the Office of Volunteer Recruitment and Selection

implemented the Database of Volunteer Experience to manage volunteer applicant data, and in 

August 2012, the Office of Health Services implemented a medical applicant exchange system.

The agency has completed piloting an electronic medical records system that will provide online 

storage of Volunteer medical data. Full implementation of the system at over 90 percent of

Peace Corps posts is planned for October 2015.

In FY 2015 the agency initiated the development of a case management system which it expects 

will become operational in FY 2016 and would allow the agency to verify that appropriate 

services are being provided to victims of assault, to assess performance and training of staff,

and to comply with all of the requirements of the Kate Puzey Volunteer Protection Act of 2011.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 138

OTHER INFORMATION

Progress is also being made to address property management deficiencies. The Office of the 

Chief Financial Officer is in the process of replacing the existing property management

system. The agency plans to perform pilot tests at six Peace Corps posts during the first quarter

of FY 2016, with full implementation of the new system scheduled for February 2016. 

According to management the replacement system has greater capability and they are

confident that it will significantly improve property inventory accuracy.

What Needs To Be Done

The agency needs to continue to assess its operations and modernize its business processes 

accordingly. Furthermore, agency business processes must also support effective internal 

control and provide for access to reliable data. For the safety and security program, in addition

to providing training, the agency should put in place formal guidance to ensure roles and

responsibilities are defined and the MOU requirements are understood by all involved parties. 

Additionally, the Peace Corps needs to continue its focus on developing or acquiring more 

modern and automated systems to replace business processes that are manual or rely on

inadequate systems. The agency also needs to complete the design and implementation of a

centralized case management system for sexual assault incidents so that they are able to verify

appropriate services have been provided, sexual assault response requirements have been met, 

assess performance, and provide feedback to responders to make process improvements.

Key OIG Resources

Follow-up Evaluation of the Volunteer Delivery System

Final Audit Report: Training Peace Corps’ Overseas Staff

Final Audit Report: Peace Corps Applicant Screening Process 

Review of the Peace Corps’ Implementation of Guidelines Related to Volunteer Victims of 

Rape and Sexual Assault

Final Audit Report on the Follow-up Audit of the Peace Corps’ Safety and Security Program

OIG’s FY 2016 Annual Plan

Management Advisory Report: Certification of Volunteer Payments

Recurring Issues: OIG Post Audits and Evaluations FYs 2009-2011

Challenge Excessive Personnel Turnover

Why This Is a Challenge

In June 2012, OIG issued its final report on the impacts of the “five-year rule” (FYR) on 

operations of the Peace Corps. Peace Corps management concurred with the report’s five 

recommendations. The FYR became law in 1965 and limited employment of Peace Corps’ 

U.S. direct hire personnel to five consecutive years. OIG’s evaluation found that the FYR, as

intended, enabled the agency to create a constant flow of new employees including Returned 

Peace Corps Volunteers; avoid the inflexibility associated with the civil service system; and 

prevent employees from working their entire career at the Peace Corps. However, the FYR 

accelerated the annual pace of employee turnover to between 25 percent and 38 percent,

quadruple the average turnover rate in the federal government. OIG estimated that over the 

five- year period from 2005-09, excessive turnover driven by the FYR accounted for 
139 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

OTHER INFORMATION

approximately 60 percent of $20.7 million in total turnover management costs.

2 Excessive 

personnel turnover at the Peace Corps exacerbated a range of common management

challenges. Excessive turnover has undermined the agency’s ability to retain employees on the

basis of performance; to conduct succession planning; to manage the continuity and transfer of

essential knowledge, skills, and abilities; to provide training and professional development to 

staff; and to deploy its workforce efficiently. In addition, the FYR weakened the agency’s 

ability to attract and retain highly qualified professionals in the areas of contracting, financial 

management, information technology, human resources management, and medical support. It

has also led to frequent staffing gaps in mission-critical positions overseas.

In 2013, OIG reported on challenges related to hiring overseas staff in its Final Audit Report: 

Peace Corps Overseas Staffing. OIG reported that the agency struggled to maintain a robust 

pool of qualified applicants and ensure positions were filled in a timely manner. It had difficulty 

managing hiring and administrative timelines for open positions, maintaining consistency in the

interview and hiring process, planning for transfers, and dealing with unexpected vacancies. 

These challenges were aggravated by the agency’s accelerated rate of overseas staff turnover.

Progress in Addressing the Challenge

As highlighted in the FY 2013 Management and Performance Challenges, the agency revised 

certain policies and practices related to the administration of its personnel system. Specifically, 

it started to make initial appointments of 60 months for new staff and converted the staff

members that were on 30-month tours to 60-month appointments; it has maximized the 

allowable percentage (15 percent) of staff employed for an additional 30-month tour beyond the

5-year limit; it exercised its authority to retain more employees for “special circumstances”

through 12- month extension appointments; and it implemented an exit survey in November 

2013 to better understand the reasons for employee departures. The agency informed OIG in 

July 2015 that where appropriate, it had hired additional “experts” (who are not subject to the 

FYR) to mitigate the loss of institutional memory and capacity caused by excessive personnel 

turnover.

3

Additionally, the agency has compiled a list of individuals (“intermittent experts” and

“rovers”) with experience in mission-critical positions overseas that it can call upon in order to

fill vacant overseas positions until a permanent replacement is on board.

However, the agency has not provided documentation to OIG that would allow for a review and 

response to the steps it has taken to address the 5 recommendations we made in our 2012 final 

report on the impacts of the FYR. As of September 2015, all five recommendations remain open. 

They are: (1) to reduce the rate of employee turnover and increase direct hire employees’ length 

of employment; (2) to identify which functions should be subject to periodic turnover, and 

implement a process to manage turnover; (3) to identify the core business functions and

 2 This estimate only included direct costs and did not take into account costs that were more difficult to quantify,

including: the loss of expertise when high-performing staff appointments ended; reductions in productivity; or

gaps in institutional memory and knowledge.

3 The OIG has not examined whether the agency’s use of this authority has been an appropriate mitigation strategy to

counter the impact of excessive turnover.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 140

OTHER INFORMATION

positions that suffer from frequent staff turnover, and determine and implement a process for 

acquiring and retaining qualified personnel; (4) to raise expectations among supervisors to 

address employee performance issues and provide supervisors with the training and support; and

(5) to gather and analyze data on the causes of unwanted, early employee resignations, and 

develop data-driven solutions to curb the pace at which employees resign early. Six audit

recommendations OIG made in its report on the Peace Corps overseas staffing to improve how 

the agency hires certain overseas staff also remain open.

What Needs To Be Done

The agency needs to address each of the five recommendations from the final report on the 

impacts of the FYR and the six relevant open recommendations from the final report on Peace 

Corps overseas staffing.

Key OIG Resources

Final Evaluation Report: Impacts of the Five Year Rule on Agency Operations

Final Audit Report: Peace Corps Overseas Staffing

Challenge Training Overseas Staff

Why This Is a Challenge

The Peace Corps relies on its overseas staff to ensure the success of its programs around the 

world. Overseas staff members have many responsibilities; including identifying jobs where 

Volunteers can be productive and contribute to host country development needs, managing 

financial and administrative operations, and ensuring the health and safety of Volunteers. 

Even though they work outside of the United States, overseas staff often has to abide by the

rules of the federal government, including those related to ethics, contracting, and

whistleblower protection. Ensuring overseas staff has the skills and information they need for 

their jobs requires training.

In September 2014, OIG issued its final report on the training the Peace Corps provides to its 

overseas staff. During this evaluation, OIG reviewed the training provided on a number of 

different topics, including cashier functions, classified materials handling, continuing

medical education, medical overseas staff training, confidential handling of Volunteer

allegations, contracting functions, equal opportunity employment, ethics, information 

security, purchase card, sexual assault policy, supervisory training, and travel card training.

Although there were many areas where the agency dedicated resources to staff training, OIG 

work uncovered a number of challenges.

An underlying problem was that the agency did not have a central office to develop, manage, 

and coordinate the training of overseas staff. The responsibility for managing training was 

largely decentralized, with different headquarters offices and posts responsible for identifying

training needs, developing and delivering training, and using their own methods and systems to 

track training participation. There was no senior official to develop a learning strategy for the

entire agency and ensure the Peace Corps had the financial and human resources needed to

implement the strategy.
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Another significant challenge was that the agency did not have a training coordinator for host 

country nationals (HCNs), who make up over 90 percent of Peace Corps’ overseas workforce. 

Even though HCNs made up the majority of Peace Corps’ overseas workforce, the agency had 

not always extended the same training opportunities to them.

The agency’s primary training and orientation for overseas staff members, called overseas staff

training (OST), was not available to every staff member. According to OIG data, as of 

November 2013, only 18 percent of all overseas staff (and nine percent of HCNs) hired between 

2008 and 2013 had attended OST. The agency lacked an alternate mechanism for orienting new 

post staff members. Without a comprehensive, standardized orientation and training program for 

all overseas staff, each post decided what information would be provided to new staff. This 

created variability in the quality of staff training, and there was no assurance that new staff was

properly trained on important policies and procedures.

OIG also reported that the agency lacked training records and a robust learning management 

system. As a result it was challenging for the agency to identify everyone who needed to take 

certain trainings and track training completion. Peace Corps could not ensure that employees had 

received training on mandatory and job-essential topics.

Additionally, as OIG reported in the management challenge related to excessive staff turnover, 

time-limited staff appointments under the FYR created an accelerated rate of turnover and 

underscored the need for a comprehensive staff training program to fully prepare new hires to 

perform their jobs.

Progress in Addressing the Challenge

In its response to the 2014 OIG report on training overseas staff, the agency committed to take 

further action to improve its training program. The Peace Corps conducted an Internal

Management Assessment on worldwide staff training during this year. As a result of this 

assessment the agency initiated the establishment of the Office of Staff Learning and 

Development, to be overseen by the Associate Director for Management. According to the 

Peace Corps, the purpose of this new office is to “promote a culture of learning and

professional development for Peace Corps staff.”

Additionally, the agency has responded to specific staff training recommendations in the 2014

OIG report, including recommendations related to training for travel cards and classified 

information, and ethics training for staff hired since January 1. The agency has continued to 

develop and implement trainings needed to comply with federal laws, such as a training 

program for sexual assault response liaisons, a sexual assault policy training for all overseas 

staff, and supervisory training.

The agency has upgraded its learning management systems (LMS) and reports that its LMS will 

enable it to reliably track and report on important training for staff and Volunteers, including, for 

example, training for staff on the agency’s policies and procedures for responding to a sexual 

assault against a Volunteer. OIG has not yet assessed the effectiveness of the agency’s learning 

management systems. 
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What Needs To Be Done

OIG issued 25 recommendations in its 2014 report, and closed 11 in FY 2015 based on

documentation of actions the agency had taken; 14 recommendations remain open. The agency 

addressed a number of recommendations to provide specific types of training required by law or 

agency policy. The recommendations aimed at addressing the systemic issues uncovered during 

the evaluation remain open, including: to designate responsibility for the oversight of the 

agency’s staff training program; to implement a training needs assessment process; to create a

standardized training program for new overseas staff; and to implement an improved 

learning management system.

The agency should ensure that all overseas staff receives training on the Standards of Ethical 

Conduct for Employees of the Executive Branch. Recent OIG investigative activity indicates 

not all overseas staff is knowledgeable of their ethical obligations. As part of the training 

effort, the agency should consider extending the new staff hire policy to overseas staff and 

ensure that overseas staff hired prior to January 2015 have read and understand their ethical 

obligations. Additionally, documentation of ethics training should be maintained by the 

agency.

Key OIG Resources

Final Program Evaluation: The Peace Corps’ Training of Overseas Staff

Final Evaluation Report: Impacts of the Five Year Rule on Agency Operations

Recurring Issues: OIG Post Audits and Evaluations FY 2009-2011

Challenge Acquisitions and Contract Management

Why This Is a Challenge

During FY 2015 the Peace Corps obligated $160.8 million in contract costs for goods and 

services, or approximately 42 percent of their total annual budget. This included $63.8

million for domestic contractual costs and about $97 million related to overseas operations. 

As illustrated here, the cost of contracts usually represents a significant part of an agency’s 

budget, resulting in significant challenges to risk management. Managing federal contracting

more effectively has continuously appeared on the Government Accountability Office’s 

“High Risk List” since 1990. The issues related to federal contacting have become more 

apparent in recent years and the Peace Corps is not an exception as the government as a

whole focuses more attention on effectively managing contracts. For the Peace Corps, the

timely and cost-effective acquisition of essential goods and services is critical to supporting 

Volunteers assigned to remote areas throughout the world and accomplishing its multifaceted mission. To achieve continuous improvement and minimize the risks associated with 

contracts it is also important that the agency follow Peace Corps policies, laws, and

regulations that are applicable to government procurement.

We included acquisitions and contract management as one the agency’s greatest management 

and performance challenges in both FY 2009 and 2010. Staff resourcing of the Peace Corps’ 

acquisition workforce was highlighted as a significant challenge in the past and continues to 
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OTHER INFORMATION

impact the agency’s ability to effectively manage its contracting workload. Resourcing of the 

acquisition workforce encompasses being able to recruit and retain a sufficient number of 

experienced and skilled contracting professionals to manage the workload and efficiently 

meet the needs of its customers.

Progress in Addressing Challenge

Since first reporting the significant management and performance challenges facing the Peace 

Corps’ contracting operation, some improvements had been made. Many of those improvements 

were attributed to remediation of OIG audit recommendations made in March 2010. During this 

remediation period the Peace Corps’ progress included increasing the contracting office’s 

professional staff and upgrading certain personnel positions; ensuring that contracting officer’s 

representatives received minimum technical training; strengthening internal contracting policies; 

eliminating unnecessary cost reimbursement contracts; increasing surveillance over high risk 

contracts; and improving its overall acquisition planning. However, in a recent audit of the 

Peace Corps’ largest contract we noted significant issues of noncompliance with laws, 

regulations, and Peace Corps policy. Also, in some cases the same deficient conditions found

during the 2010 audit had recurred and certain areas of improvement had deteriorated or were 

not apparent. For example, we determined that the acquisition planning for the contract

reviewed was untimely and flawed. We also noted that surveillance over this high risk contract

was ineffective. Further, based on information regarding personnel turnover during FY 2015, 

the contracting operation experienced high turnover rates that have significantly challenged its

capability to effectively manage its workload. Some of this turnover can be linked to the Peace 

Corps’ legislative mandate to limit most assignments at the agency to a maximum of five years. 

We reported the negative impact on Peace Corps’ personnel recruitment and retention that

resulted from term assignments in a 2012 report. This area continues to be a significant 

challenge and is discussed in more detail earlier in this memorandum in our management and 

performance challenge entitled “Excessive Personnel Turnover.”

What Needs to be Done

Peace Corps management needs to ensure they consistently maintain an acquisition workforce 

that possesses the necessary experience and skill sets capable of effectively managing its 

contracting workload. To accomplish this they will need to improve their program for recruiting, 

retaining, and training the agency’s contracting professionals. Significant improvements in 

reducing excessive personnel turnover can be achieved through implementation of 

recommendations made in our report, “Impacts of the Five Year Rule on Operations of the 

Peace Corps” discussed earlier in this memorandum. The agency also needs to assess its 

contracting policy and procedural weaknesses related to governance compliance, acquisition 

planning, and contract surveillance and take active and timely steps to strengthen these areas.

Key OIG Resources

Final Audit Report: Peace Corps Process for Soliciting, Awarding, and Administering Contracts

Final Evaluation Report: Impacts of the Five Year Rule on Operations of the Peace Corps

Management Advisory Report: Peace Corps’ Volunteer Health Care Administration Contract
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Summary of Financial Statement Audit and Management Assurances

SUMMARY OF FINANCIAL STATEMENT AUDIT

Audit Opinion Unmodified

Restatement No

Material Weaknesses Beginning 

Balance

New Resolved Consolidated Ending 

Balance

Total Material Weaknesses 0 0 0 0 0

SUMMARY OF MANAGEMENT ASSURANCES

Effectiveness of Internal Control over Financial Reporting (FMFIA § 2)

Statement of Assurance Unqualified

Material Weaknesses Beginning 

Balance

New Resolved Consolidated Reassessed Ending 

Balance

Total Material Weaknesses 0 0 0 0 0 0

Effectiveness of Internal Control over Operations (FMFIA § 2)

Statement of Assurance Unqualified

Material Weaknesses Beginning 

Balance

New Resolved Consolidated Reassessed Ending 

Balance

Total Material Weaknesses 0 0 0 0 0 0

Conformance with Financial Management System Requirements (FMFIA § 4)

Statement of Assurance Systems conform, except for the below nonconformance, to financial 

management system requirements

Nonconformances Beginning 

Balance

New Resolved Consolidated Reassessed Ending 

Balance

FISMA 1 0 0 0 0 1

Total Nonconformances 1 0 0 0 0 1

DEFINITION OF TERMS

Beginning Balance: The beginning balance will agree with the ending balance of material weaknesses from the prior year.

New: The total number of material weaknesses that have been identified during the current year.

Resolved: The total number of material weakness that have dropped below the level of materiality in the current year.

Consolidated: The combining of two or more findings.

Reassessed: The removal of any finding not attributable to corrective actions (e.g., management has re-evaluated and determined a material weakness does not meet 

the criteria for materiality or is redefined as more correctly classified under another heading (e.g., Section 2 to a Section 4 and vice versa).

Ending Balance: The agency’s year-end balance.
145 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

 

APPENDICES

Health Volunteer works with a hospital to grow 

a garden to provide fresh vegetables to patients 

who cannot afford vitamin pills in Senegal. 
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 146
147 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

APPENDICES

Appendix 1 | Status of Audit Weaknesses

The FY 2015 financial statement audit report by Kearney & Company, P.C., external 

independent auditor, begins on page 116 and was transmitted through the Inspector General. The 

report identified three significant deficiencies and four instances of noncompliance with laws and 

regulations.

The three significant deficiencies identified include the Information Technology Security 

(Repeat Condition), the Untimely De-Obligation of Unliquidated Obligations (Repeat Condition) 

and Budgetary Accounting (New Condition), and the status of each is shown below in Part I 

Significant Deficiencies. The four instances of noncompliance shown below in Part II include 

Budgetary Accounting (OMB Cir No. A-11) (1) and (31 U.S. Code § 1501) (2), Federal 

Information Security Modernization Act of 2014 (FISMA) (Repeat Condition), and Filing of 

Public Reports (Ethics in Government Act of 1978) (Repeat Condition). Both parts identify 

whether corrective actions are on target to achieve resolution or whether progress slipped. Both 

parts also show FY 2015 Completed Corrective Actions and FY 2016 and Out Planned 

Corrective Actions.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 148

APPENDICES

Status at End of Year Projected Resolution Date

PART I – Significant Deficiencies

Information Technology Security Open as Projected Sep 2017

Untimely De-Obligation of Unliquidated Open Jul 2016

Obligations

Budgetary Accounting (New Condition) Open Jul 2016

Information Technology Security – On Target – No Slippage

FY 2015 Completed Corrective Actions

1. Completed deployment of the remaining 15 AlienVault devices to actively perform continuous diagnostic 

monitoring of all posts in real time

2. Adopted Office of Personnel Management (OPM) executive and privilege level role based training

3. Completed Gap Analysis for the Risk Management agency strategy

4. Completed remaining security assessments and authorizations of the seven FISMA systems

5. Restructured the seven FISMA systems

FY 2016 and Out Planned Corrective Actions

1. Conduct executive and privilege level role based training

2. Develop Risk Management framework

Untimely De-Obligation of Unliquidated Obligations – Slippage

FY 2015 Completed Corrective Actions

1. Implemented an audit process to strengthen the review of obligations and the process for establishing and 

liquidating obligations.

2. Implemented procedures to address the closing of obligations when a post closes.

FY 2016 Planned Corrective Actions

1. Strengthen the focus of the open obligations review to ensure all open obligations are formally documented, 

reviewed, and certified timely on a routine basis.

2. Provide more training to posts on obligations and the policies and procedures for de-obligation.

3. Review and strengthen the policy regarding the de-obligation of domestic obligations.

4. Reinforce training on the de-obligation of domestic obligations.

Budgetary Accounting – New Condition - Open

FY 2016 Planned Corrective Actions

1. Strengthen oversight and ensure obligations are not started by the posts after the period of performance begins.

2. Implement policies to ensure posts record only legitimate obligations supported by binding agreements.

3. Reinforce training on obligations procedures for the posts.
149 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

APPENDICES

Status at End of Year Projected Resolution Date

PART II – Noncompliances

Budgetary Accounting New Condition Jul 2016

 (OMB Circular No. A-11 (1) and 31 U.S.C. Code § 1501 (2))

FISMA Open – On Target – No Slippage Sep 2017

Filing of Public Reports Open – Slippage Jun 2016

 (Ethics in Government Act of 1978)

Budgetary Accounting (OMB Circular No. A-11 (1) and 31 U.S.C. Code § 1501 (2) – New Condition

See Budgetary Accounting FY 2016 Planned Corrective Actions in Part I above

Federal Information Security Modernization Act (FISMA) of 2014

FY 2015 Completed Corrective Actions

1. Continued the identification and analysis of all external connections

2. Assessed all remaining FISMA system packages to include system security plans, standards for security 

categorization, and minimum security requirements.

FY 2016 and Out Planned Corrective Actions

1. Complete the identification and analysis of all external connections

2. Replace all existing ColdFusion applications

Filing of Public Reports (Ethics in Government Act of 1978)

FY 2015 Completed Corrective Actions

1. Conducted Active Engagement and Oversight between White House Liaison and General Counsel Ethics Officer

FY 2016 Planned Corrective Action

1. Strengthen internal oversight to ensure all OGE-278 forms will be reviewed in accordance with the Federal 

regulations. The Ethics team will implement a monthly status check process and the Office of General Counsel 

Policy and Program Analyst will ensure that all reviewing attorneys are beginning their review within the required 

timeframe.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 150

APPENDICES

Appendix 2 | Verification and Validation of Performance Data

Data collection and reporting consistency are supported by 

the use of detailed performance goal data reference sheets, 

which include operational definitions, data sources, and a 

comprehensive methodology for measuring each performance 

goal. The agency ensures the data are complete and accurate 

through oversight and review by the Office of Strategic 

Information, Research, and Planning. The major data sources 

for performance goals in the FY 2014–18 Strategic Plan and 

FY 2017 Annual Performance Plan are detailed below. 

ANNUAL VOLUNTEER SURVEY 

The Annual Volunteer Survey (AVS) is an anonymous, voluntary 

online survey of all currently serving, two-year Volunteers. This 

comprehensive survey provides Volunteers’ assessments of the 

effectiveness of Peace Corps training, in-country staff support, 

their personal health and safety, and their overall service 

experience. 

In FY 2014, the agency substantially redesigned the survey 

questionnaire to improve data quality by reducing measurement 

error, strengthening respondent confidentiality, and shortening 

the survey by half. By maintaining these improvements and 

reducing the survey length even further in FY 2015, the agency 

is well on its way to being able to provide truly comparable, 

multiyear trend data to internal and external stakeholders. As 

a result of these enhancements to the AVS, the agency has 

gained a more accurate understanding of the perspectives of 

Volunteers.

The 2015 AVS was fielded from June 8 to August 14, 2015, 

and 90.6 percent of Volunteers completed the survey. The 

high response rate from Volunteers and the data verification 

and validation measures utilized minimize total survey error at 

the global level. The survey is not, however, administered to a 

random sample of Volunteers. As with other non-randomized 

surveys, the AVS is subject to non-response bias. 

Survey respondents in FY 2015 reflected the Peace Corps’ 

overall composition by gender, age, geographic location, and 

length of service. Responses to all AVS questions were directly 

provided by the Volunteers and housed in an external, electronic 

survey database. To ensure data quality, rigorous data cleaning 

procedures were applied to the dataset prior to analysis. 

The results were used to inform agency leadership about the 

Volunteers’ perspectives on key issues. 

It is worth noting that, as with any survey, the AVS reflects the 

experiences and opinions of Volunteers at a fixed point in time 

and can be influenced by various factors, such as major external 

events or the ability to recall information. The agency takes 

into consideration both statistical and practical significance 

to account for variation in AVS results from year to year. Thus, 

nominal percentage point movements may not be practically 

meaningful or significant. In using AVS results, the agency 

reviews longer-term trends to account for normal, expected 

variations in responses. 

EMPLOYEE VIEWPOINT SURVEY

The Employee Viewpoint Survey is administered to all U.S. 

direct hire staff annually. The survey measures employees’ 

perceptions about how effectively the agency is managing its 

workforce. The agency utilizes the survey results to compare 

working conditions at the Peace Corps with other federal 

government agencies and to identify opportunities to improve 

workforce management. In 2014, the Peace Corps ranked third 

among small federal agencies in the Best Places to Work index 

published by the Partnership for Public Service.

The demographic profile of survey respondents is consistently 

representative of the U.S. direct hire staff. In 2015, 96 percent 

of employees completed the survey. The survey is administered 

electronically, and with very few exceptions (related to the 

Peace Corps’ performance goals), most questions are identical 

to the Federal Employee Viewpoint Survey fielded each year 

across the federal government by the Office of Personnel 

Management. 

The survey is not administered to a random sample of Peace 

Corps employees; as a result, the survey is subject to nonresponse bias. Additionally, the survey represents the views of 

employees at a fixed point in time and can be influenced by 

external factors. The agency accounts for these data limitations 

by drawing conclusions from multiyear trends and by comparing 

the results with those from other federal agencies.
151 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

APPENDICES

GLOBAL COUNTERPART SURVEY 

In FY 2014, the agency conducted its first Global Counterpart 

Survey, designed to provide information on the impact of 

Volunteers on local communities from the perspectives of 

Volunteers’ primary work partners.

The second Global Counterpart Survey was launched in FY 2015 

and consists of a short interview of Volunteers’ primary work 

partners administered by overseas staff. The survey is designed 

to provide information on the impact of Volunteers from the 

perspectives of the individuals with whom Volunteers work 

most closely. 

The survey was administered either over the phone or in person 

from May 4 through July 3, 2015, by overseas staff. Global 

results are drawn from a randomly selected group of 400 

respondents, of whom 397 were interviewed by post staff in 

2015. Additional post-level results are provided to any post 

interviewing at least 75 percent of its Volunteers’ counterparts, 

but the results reported in this document are based on the 

globally representative sample.

 

Data quality challenges include potential interviewer error 

and ambiguity in the total survey population. The interviews 

are conducted by staff experienced in project fieldwork and 

counterpart communication but who may not have extensive 

survey interviewing and data collection experience. Issues of 

translation, variation in interview styles, and accuracy of coding 

may have unpredictable influences on the results. The agency is 

addressing this challenge by providing extensive tools, training, 

and support to staff and by closely monitoring survey results to 

identify inconsistencies. Prior to initiating the interviews, three 

training sessions were conducted via WebEx for interested post 

staff. The agency also provided translations of the survey into 

French and Spanish. 

Determining the survey population is a challenge. Since no 

direct sampling frame exists that lists all Volunteer counterparts 

at all posts, Volunteers are used as a selection proxy for the 

counterparts who make up the random sample. In addition, 

there are multiple utilizations and interpretations of the title 

“counterpart” across the agency, which will influence the 

survey population. To address this, the agency has defined 

counterpart as the Volunteer’s primary work partner as reflected 

in post records for his or her primary project. In cases where a 

Volunteer no longer has any working relationship with their postassigned counterpart, the Volunteer is asked to identify their 

primary work partner. For the purposes of Performance Goals 

3.2 and 4.1, it is assumed that each Volunteer will have one 

official counterpart. 

HOST COUNTRY STAFF SURVEY 

The Host Country Staff Survey is a short, confidential, voluntary 

survey designed to learn more about the agency’s impact in the 

posts where it operates by gathering input from host country 

staff for two performance goals in the agency’s strategic plan, 

as well as achievements in the Peace Corps’ Goals One and 

Two. The survey was administered online from August 10 to 

September 11, 2015, and was completed by 52 percent of 

the total host country staff population. The survey includes 

14 questions covering the following topics: diversity and 

inclusion, staff training, contributions to the Peace Corps’ goals, 

development impact, and job satisfaction. 

In future years, the agency expects to expand the survey 

to include additional questions to more fully capture the 

perspectives of host country staff on a range of topics related to 

post operations and support.

As in 2014, the primary data quality challenge with the survey 

in FY 2015 was the development of the sampling frame. 

Identifying and contacting all host country staff proved difficult; 

some staff members in administrative or support positions did 

not have official email addresses. Due to this challenge, the 

sampling frame in FY 2014 only consisted of the host country 

staff who could be reached via email (approximately 2,050 out 

of 2,950 staff). Overall, 37 percent of all eligible host country 

staff responded to the survey in FY 2014. Additionally, while 

the FY 2015 Host Country Staff Survey was offered in English, 

French, and Spanish, limited ability in those languages, as well 

as factors such as lack of computer access or familiarity with 

online survey tools for some staff, may have contributed to nonresponse bias. 

PEACE CORPS DATABASES 

The agency maintains several database systems to collect 

Volunteer and program information. In order to maintain data 

integrity and ensure that the appropriate data entry methodology 

is followed, only authorized staff who have been properly trained 

can access key systems. Regular reconciliation processes 

among agency units enable users to verify and test performance 

data to isolate and correct data entry or transfer errors. Internal, 

automated system processes also ensure data is appropriately 

transferred among different applications. The required level of 

accuracy to provide current and historical information about 

programs and Volunteers is met through database rules and 

business processes. Where data limitations do exist, largely due 

to data-entry compliance in isolated systems, they are noted in 

the appropriate performance goal section.
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 152

APPENDICES

PEACE CORPS ADMINISTRATIVE RECORDS

The agency collects data annually from headquarters offices and 

overseas posts that do not exist in a centrally managed database 

through an online data call (survey). Responses are housed in 

an external, electronic database. Data cleaning procedures are 

applied to the dataset prior to analysis. Staff in positions of 

leadership at all overseas posts and headquarters offices are 

required to complete the survey. The survey is designed with 

clear logic and data validation rules to minimize data entry 

error. The data are independently reviewed by the Office of 

Strategic Information, Research, and Planning and anomalies 

are addressed to improve data quality. Other data are collected 

from specific headquarters offices individually. 

While these administrative records do not have the benefit of 

the verification and validation standards executed in Peace 

Corps database systems, the agency is able to ensure a high 

level of accuracy by working with individual offices and posts to 

develop reliable data collection and analysis procedures.

VOLUNTEER REPORTING TOOL

Volunteers report on their work and the progress they are making 

toward their project outcomes through the Volunteer Reporting 

Tool (VRT). The VRT is also utilized to report on Volunteers’ 

contributions to agency strategic partners, such as the President’s 

Emergency Plan for AIDS Relief and Feed the Future. 

Since the development of the first version of the VRT, the 

agency has made numerous enhancements to improve the user 

experience, reduce data entry errors, and improve reporting. 

Volunteer reports are submitted to overseas post staff through 

the VRT on a quarterly or semi-annual basis. Staff review all 

reports and work with Volunteers to verify data and correct 

anomalies prior to end-of-year analysis. The agency provides 

in-depth VRT training and support to Volunteers and staff to 

ensure data are collected, analyzed, and reported properly. The 

agency has also developed data collection tools for the project 

indicators related to Performance Goal 3.1 to standardize the 

methods that Volunteers use to collect data prior to entry into 

the VRT. 

The primary data quality challenge that remains is ensuring 

an adequate percentage of Volunteers report on the project 

indicators related to Performance Goal 3.1. The agency is 

addressing this challenge by working with overseas posts 

to encourage higher reporting rates and by appropriately 

documenting and considering reporting rates when conducting 

analyses.
153 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

APPENDICES

Appendix 3 | Glossary of Acronyms

Africa Region

Annual Volunteer Survey

Bystander Intervention Training

Cyber Security Assessment and Management

Designated Agency Ethics Official

Department of Labor

Department of State

Europe, Mediterranean, and Asia Region

Federal Accounting Standards Advisory Board

Federal Employees Compensation Act

Federal Information Security Modernization Act

Federal Managers’ Financial Integrity Act

Financial Operations Room

Foreign Service National

Five-Year Rule

Generally Accepted Government Auditing Standards

General Services Administration

Host Country National

Inter-America and the Pacific Region

Integrated Planning and Budget System

Information Security Continuous Monitoring

Information Technology

Learning Management System

Monitoring and Evaluation

Memorandum of Understanding

Nongovernmental Organization

Office of the Chief Information Officer

Office of Government Ethics

Office of Inspector General

Office of Management and Budget

Office of Personnel Management

Overseas Staff Training

Peace Corps Medical Officer

Peace Corps Safety and Security Officer

Peace Corps University

Peace Corps Volunteer

President’s Emergency Plan for AIDS Relief

Property, Plant, and Equipment

Personal Services Contractor

Recognize, Assess, Decide, Act, Reassess

AF

AVS

BIT

CSAM

DAEO

DOL

DOS

EMA

FASAB

FECA

FISMA

FMFIA

FOR

FSN

FYR

GAGAS

GSA

HCN

IAP

IPBS

ISCM

IT

LMS

M&E

MOU

NGO

OCIO

OGE

OIG

OMB

OPM

OST

PCMO

PCSSO

PC UNIVERSITY

PCV

PEPFAR

PP&E

PSC

RADAR
PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015 | 154

APPENDICES

Returned Peace Corps Volunteer

Regional Security Officer

Returned Volunteer Services

Security Assessment and Authorization

Sexual Assault Risk Reduction and Response

Statement of Budgetary Resources

System of Rice Intensification

Teaching English as a Foreign Language

Unliquidated Obligations

U.S. Agency for International Development

U.S. Direct Hire

Volunteer Reporting Tool

RPCV

RSO

RVS

SA&A

SARRR

SBR

SRI

TEFL

ULO

USAID

USDH

VRT
155 | PEACE CORPS | Performance and Accountability Report | Fiscal Year 2015

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