2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-002: Allocation of Costs Other Than Payroll
Criteria or specific requirement: In accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200.414, the Alliance must allocate indirect costs appropriately.
Condition and context: The Alliance allocates certain shared costs, other than payroll, using an approach that details the full-time equivalents performing work on each grant. During the year ended June 30, 2024, costs were allocation using a schedule that did not agree to actual underlying payroll data. Additionally, the schedule that was used was not reviewed by the Executive Director.
Cause: The Alliance does not have adequate staffing in place to ensure that the proper allocations were used.
Effect or potential effect: Without adequate controls over this process, the Alliance could charge unallowable costs to the HIV Formula Grants.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance should ensure that internal control processes for the allocation of cost are consistently followed. A review process should be in place to ensure that accurate allocations are used. The Alliance could also consider the use of the de minimis cost rate, which would alleviate the need to create an allocation approach for shared costs. Effective October 1, 2024, the de minimis cost rate increased to 15%. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.
2024-003: Accurate and Complete Schedule of Expenditures of Federal Awards (SEFA)
Criteria or specific requirement: The Alliance must prepare a SEFA that is accurate and complete in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Condition and context: The Alliance did not prepare a SEFA that was accurate and complete in accordance with the Uniform Guidance, as the unadjusted totals for federal expenditures were not accurate and did not agree to underlying support.
Cause: The cause is due to limited internal controls related to the preparation and review of the SEFA.
Effect or potential effect: Without adequate controls over this process, the Alliance may not identify all federal awards received and related compliance and reporting requirements applicable to each award.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: The Alliance must assign individuals who are experienced and knowledgeable in the compliance requirements of the Uniform Guidance to monitor all federal grants received to ensure that the Alliance has met the applicable compliance and reporting requirements of each federal award.
Views of responsible
2024-004: Single Audit Report Submission
Criteria or specific requirement: In accordance with 2 CFR 200.512, the Alliance was required to complete and submit the data collection form within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period.
Condition and context: The Alliance did not submit the single audit within the required period for submission.
Cause: The Alliance did not have sufficient staffing to complete the audit.
Effect or potential effect: The Alliance did not comply with the requirements of 2 CFR 200.512.
Questioned costs: None.
Identification as a repeat finding, if applicable: Not applicable.
Recommendation: Staffing should be sufficient to ensure that all external reports are prepared and submitted on a timely basis. Staffing should contemplate not only the preparation of the various reports but also a formal, documented review process. Views of responsible officials: Refer to the Corrective Action Plan prepared by the Alliance in regard to this matter.