Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding 2022-001, Financial Reporting
During the fiscal 2021 audit we disclosed a significant deficiency in internal controls over financial reporting and
during the fiscal 2022 audit we did not observe substantial improvement in financial reporting controls and
oversight. We continued to see a number of financial statement adjustments that were identified as part of the
audit process. In addition, in fiscal 2022 we noted a number of journal entries that required reversal and reposting due to the initial errors in the original journal entry. This occurred as the journal entries were not reviewed by someone other than the preparer prior to posting to the general ledger. This breakdown in internal control creates a risk that the consolidated financial statements are materially misstated. We recommend that management perform a review of the University’s policies and procedures for journal entry review, strengthen controls or add monitoring controls to ensure periodic reconciliation of all balance sheet accounts and the University’s process for timely compiling and reviewing the financial statements.
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-002
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Other – Inaccurate reporting of the Schedule of Expenditures of Federal Awards
Criteria
According to 2 CFR 200.510(b), a recipient of federal awards is required to prepare a schedule of expenditures of Federal awards (Schedule) for the period covered by the auditee’s financial statements which must include
the total federal awards expended as determined in accordance with 2 CFR 200.502. Additionally, 2CFR 200.303 requires non-Federal entities receiving Federal awards to establish and maintain internal controls
designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include procedures to ensure federal expenditures are
accurately reported on the Schedule and information provided for audit purposes is complete and accurate.
Conditions Found
The University did not have adequate controls relating to the reporting of expenditures on the Schedule for the Research and Development Cluster. Specifically, the University did not have documented procedures on how
to query and analyze expenditure data from the Peoplesoft system and the management review controls over the preparation of the Schedule were not designed to operate at an appropriate level of precision. As a result,
during 2023 the University determined that $1,552,891 related to the Research and Development Cluster were inadvertently omitted from the June 30, 2022 Schedule. Additionally, expenditures in the amount of $14,289
related to the National Endowment for the Humanities – Promotion of the Humanities Teaching and Learning Resources (ALN 45.162) had been incorrectly included as part of the Research and Development Cluster. The
combination of these errors resulted in a total of $1,538,602 of Research and Development Cluster expenditures being added to the June 30, 2022 Schedule.
The University also had incorrectly reported encumbrances, which represent future expenditures that have been obligated but not incurred.
Cause
In discussing these conditions with the University, they stated the errors were primarily due to turnover in staff responsible for preparation of the Schedule as well as a lack of documented procedures. Additionally, the
management review controls in place were not operating at a sufficient level of precision to detect the errors.
Effect
Failure to establish effective internal controls regarding financial reporting for the preparation of the Schedule may prevent the University from completing an audit in accordance with the timelines of Uniform Guidance.
Questioned Costs
Not applicable.
Statistical Sample
Not applicable.
Repeat Finding
This finding is not a repeat finding in the immediately prior audit.
Recommendation
We recommend the University implement a system of internal control that is designed and operating at a level of precision to ensure the Schedule is complete and accurate
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.
Finding Number: 2022-003
Program: Research and Development Cluster
Federal Agency Names: U.S. National Aeronoautics and Space Adminstration; U.S. Department of Agriculture; U.S. Department of Defense; U.S. Department of Energy; U.S. Department of Health and Human
Services; U.S. Department of Transportation; U.S. Department of Commerce; U.S. Environmental Protection Agency; U.S. Department of Homeland Security; U.S. Department of Interior; and National Science Foundation
Federal Award Numbers: Various – as listed on the Schedule
Federal Award Years: Various
Federal Assistance Listing Numbers: Various – as listed on the Schedule
Compliance Requirement: Allowable costs/Cost principles
Criteria
In accordance with 2 CFR 200.303(a), non-federal entities must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Additionally, 2 CFR 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated.
Conditions Found
The University performs certain manual calculations (total supplemental pay authorization divided by the number of pay periods over the summer as well as percentage allocations to multiple awards) to determine the amount to pay each pay period for both faculty and graduate assistants who work on Research and Development Cluster awards. During our testing of internal controls and compliance related to allowable costs/cost principles specific to payroll, we determined that internal controls were not designed at a level of precision to prevent or detect clerical errors associated with the manual calculations and the manual processing of payroll allocations to Research and Development Cluster awards. As a result, there were 14 errors in our sample of 81 transactions related to errors in the manual calculations, however only 7 of the errors resulted in overcharges to federal awards. The following were those errors that resulted in overcharges to federal awards:
Federal assistance listing Payroll Fringe Indirect
number Award number amount amount amount Total
12.300 N00014-21-1-2057 $ 170 — 90 260
13.300 N00014-21-1-2057 170 — 90 260
14.300 N00014-21-1-2057 1,425 — 755 2,180
47.041 2003307 5,744 439 3,044 9,227
47.076 1936144 7 1 4 12
47.076 2050074 10 1 5 16
47.076 1852820 20 2 11 33
$ 7,546 443 3,999 11,988
Cause
In discussing these conditions with the University, they stated the errors primarily stem from when there are multiple supplemental pay authorizations or superseding appointments that require a manual calculation of the pay per pay period, retroactive adjustments or changes in allocations to federal awards. There was no secondary review of such manual calculations by someone other than the preparer. The University did not have a system of internal control that was designed and operating at a level of precision to prevent or detect errors in manual calculations and other clerical errors associated with calculations and payroll allocations for Research and Development Cluster awards related to supplemental summer payroll and graduate assistant appointments.
Effect
Ineffective controls could result in unallowable costs being charged to the Research and Development Cluster awards.
Questioned Costs
$11,988 which includes payroll, fringe benefits and applicable indirect costs.
Statistical Sample
Our sample was not, and was not intended to be statistically valid.
Repeat Finding
This finding is a repeat finding – see prior year finding 2021-003.
Recommendation
We recommend the University design and implement a more precise system of internal control to ensure manual calculations and payroll allocations for Research and Development Cluster awards are accurate and an allowable cost prior to processing payroll and recording payroll allocations.