Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Material Weakness in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that all payroll costs and invoice allocations are properly calculated.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure payroll costs and invoice allocations are properly calculated.
Cause ‐ During the course of our engagement, we noted that 11 of the expenses selected for testing, stemming primarily from a change in payroll systems, for the program were not correctly calculated.
Effect ‐ The Organization’s internal controls failed to ensure costs to the program are properly calculated.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 11 out of the 60 costs tested lacked proper calculation of costs. These transactions totaled $13,955 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ Management should implement internal controls to ensure proper cost allocation calculations.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Allowable Costs and Allowable Activities
Significant Deficiency in Internal Control over Compliance
Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program.
Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved.
Cause ‐ During the course of our engagement, we noted that four costs under the program were not formally approved.
Effect ‐ The Organization’s internal controls failed to formally approve costs under the program.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ A nonstatistical sample of 60 costs were selected for expense testing. 4 out of the 60 transactions did not have formal approval. These transactions totaled $3,449 of $293,562 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Significant Deficiency in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance.
Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors.
Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance.
Questioned Costs ‐ None Reported.
Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety.
Repeat Finding from Prior Year(s) ‐ Yes.
Recommendation ‐ We recommend the Organization ensure its procurement policies are updated to conform to the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.
Department of Treasury
Federal Financial Assistance Listing/ALN 21.027
COVID‐19 Coronavirus State and Local Fiscal Recovery Funds
Procurement, Suspension, and Debarment
Material Noncompliance and Material Weakness in Internal Control over Compliance
Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards.
Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts.
Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance.
Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts.
Questioned Costs ‐ $424,081.
Context/Sampling ‐ A nonstatistical sample of 3 contracts were selected for testing. 2 out of the 3 contracts did not follow procurement compliance requirements. These transactions totaled $424,081 of $429,181 costs tested.
Repeat Finding from Prior Year(s) ‐ No.
Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance.
Views of Responsible Officials ‐ There is no disagreement with the finding.