FAC Explorer

Audit 361417

FY End
2024-09-30
Total Expended
$865,238
Findings
2
Programs
1
Organization: International Registration Plan, Inc. (VA)
Year: 2024 Accepted: 2025-07-03
Auditor: Blue & CO LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
570470 2024-003 Material Weakness Yes H
1146912 2024-003 Material Weakness Yes H

Programs

ALN Program Spent Major Findings
20.237 High Priority Commercial Motor Vehicle Grant Program $690,773 Yes 0

Contacts

Name Title Type
MQGND4SXR357 Tim Adams Auditee
5028450398 Allen Norvell, CPA Auditor
No contacts on file

Notes to SEFA

Title: 1 Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. De Minimis Rate Used: Y Rate Explanation: IRP has elected and been approved to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance for the year ending September 30, 2024. The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of the International Registration Plan, Inc. (“IRP”) under programs of the federal government for the year ended September 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operation of IRP, it is not intended to be and does not present the financial position, changes in net assets or cash flows of IRP.
Title: 2 Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. De Minimis Rate Used: Y Rate Explanation: IRP has elected and been approved to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance for the year ending September 30, 2024. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements.
Title: 3 Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. De Minimis Rate Used: Y Rate Explanation: IRP has elected and been approved to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance for the year ending September 30, 2024. IRP has elected and been approved to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance for the year ending September 30, 2024.

Finding Details

Finding 2024-003
Federal Program: AL 20.237 – High Priority Commercial Motor Vehicle Grant Program, Federal Motor Carrier Safety Administration (FMCSA) Cluster. Compliance Requirements: Period of Performance. Type of Finding: Material Noncompliance and Internal Control Over Noncompliance. Criteria: Per guidance provided by Section 7.5 of the Motor Carrier Safety Assistance Program – Grant Comprehensive Policy, 49 U.S. Code § 31104(f)(2), and 200 Code of Federal Regulations (“CFR”) Section 200.309, only allowable costs incurred during the period of performance specified in the Notice of Grant Award may be charged to the related federal award. Condition and Context: On September 30, 2023, IRP prepaid $174,465 for data repository hosting and maintenance services that were not incurred until the quarter ended December 31, 2023. IRP reported this expenditure in Reports SF-425 and requested its reimbursement on form SF-270, for the quarter ended September 30, 2023, and charged the amount to federal award FM-MP- 0580-21. As expenditure occurred during the fiscal year ending September 30, 2024, it should be charged to federal award FM-MHP-0762-23, which has a period of performance from September 1, 2023, to September 30, 2025 per review of the notice of grant award. Questioned Costs: $174,465. Cause: Management lacked the appropriate knowledge of the period of performance requirements specified by the federal awarding agency and Uniform Guidance. Effect or Potential Effect: This error resulted in a $174,465 charge to award FM-MP-0580-21 for services that were incurred outside of the period of performance. Recommendation: We recommend management implement pre-submission controls, such as requiring date validation for all expenses against the award's period of performance and providing training to educate staff on 2 CFR requirements and period-of-performance limitations. We understand management has alerted FMCSA to the error and intends to work with them to correct the reporting of these expenditures, upon submission to the Federal Audit Clearinghouse of the data collection form and single audit reporting package for the year ended September 30, 2024. Views of Responsible Officials: Management acknowledges the finding and concurs with the recommendation. Grant management procedures have been revised to verify that services are received and costs incurred within the authorized period of performance in accordance with 2 CFR § 200.403 before the costs are charged to a federal award. Staff involved in grant management will receive targeted training on 2 CFR requirements related to period-ofperformance compliance and allowable cost timing.
Finding 2024-003
Federal Program: AL 20.237 – High Priority Commercial Motor Vehicle Grant Program, Federal Motor Carrier Safety Administration (FMCSA) Cluster. Compliance Requirements: Period of Performance. Type of Finding: Material Noncompliance and Internal Control Over Noncompliance. Criteria: Per guidance provided by Section 7.5 of the Motor Carrier Safety Assistance Program – Grant Comprehensive Policy, 49 U.S. Code § 31104(f)(2), and 200 Code of Federal Regulations (“CFR”) Section 200.309, only allowable costs incurred during the period of performance specified in the Notice of Grant Award may be charged to the related federal award. Condition and Context: On September 30, 2023, IRP prepaid $174,465 for data repository hosting and maintenance services that were not incurred until the quarter ended December 31, 2023. IRP reported this expenditure in Reports SF-425 and requested its reimbursement on form SF-270, for the quarter ended September 30, 2023, and charged the amount to federal award FM-MP- 0580-21. As expenditure occurred during the fiscal year ending September 30, 2024, it should be charged to federal award FM-MHP-0762-23, which has a period of performance from September 1, 2023, to September 30, 2025 per review of the notice of grant award. Questioned Costs: $174,465. Cause: Management lacked the appropriate knowledge of the period of performance requirements specified by the federal awarding agency and Uniform Guidance. Effect or Potential Effect: This error resulted in a $174,465 charge to award FM-MP-0580-21 for services that were incurred outside of the period of performance. Recommendation: We recommend management implement pre-submission controls, such as requiring date validation for all expenses against the award's period of performance and providing training to educate staff on 2 CFR requirements and period-of-performance limitations. We understand management has alerted FMCSA to the error and intends to work with them to correct the reporting of these expenditures, upon submission to the Federal Audit Clearinghouse of the data collection form and single audit reporting package for the year ended September 30, 2024. Views of Responsible Officials: Management acknowledges the finding and concurs with the recommendation. Grant management procedures have been revised to verify that services are received and costs incurred within the authorized period of performance in accordance with 2 CFR § 200.403 before the costs are charged to a federal award. Staff involved in grant management will receive targeted training on 2 CFR requirements related to period-ofperformance compliance and allowable cost timing.