2022-002 Improve Controls Over Equipment (Significant Deficiency) Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027/84.173 Award Year: 2022 Compliance Requirement: Equipment/Real Property Management Type of Finding Compliance and Internal Control over Compliance – Significant Deficiency Criteria or Specific Requirement Uniform Guidance, 2 CFR part 200.313(c) requires that a physical inventory of equipment shall be taken at least once every two years and be reconciled to the equipment records. Management of the School Department is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal program. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context The School Department did not perform a physical inventory of equipment within the last two years. Cause The School Department does not have adequate controls in place over equipment management. Effect or Potential Effect Due to the weakness in internal control noted above, there is a risk that equipment could be misappropriated or lost. Known questioned costs were not identified as this is a procedural requirement, where questioned costs are not quantifiable. Identification as Repeat Finding As identified in Section IV, the Schedule of Prior Year Findings, this is a repeat of finding 2021-003. Recommendation The School Department should address the weaknesses in internal controls noted above in order to provide reasonable assurance that equipment charged to federal awards is not misappropriated or lost. The School Department should perform a physical inventory of equipment at least once every two years. Views of Responsible Official and Planned Corrective Action Management’s views and corrective action plan is included in a separate corrective action plan.
2022-002 Improve Controls Over Equipment (Significant Deficiency) Federal Agency: Department of Education Cluster/Program: Special Education Cluster AL Number(s): 84.027/84.173 Award Year: 2022 Compliance Requirement: Equipment/Real Property Management Type of Finding Compliance and Internal Control over Compliance – Significant Deficiency Criteria or Specific Requirement Uniform Guidance, 2 CFR part 200.313(c) requires that a physical inventory of equipment shall be taken at least once every two years and be reconciled to the equipment records. Management of the School Department is also responsible for establishing and maintaining effective internal control over compliance with federal requirements that have a direct and material effect on a federal program. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. Condition and Context The School Department did not perform a physical inventory of equipment within the last two years. Cause The School Department does not have adequate controls in place over equipment management. Effect or Potential Effect Due to the weakness in internal control noted above, there is a risk that equipment could be misappropriated or lost. Known questioned costs were not identified as this is a procedural requirement, where questioned costs are not quantifiable. Identification as Repeat Finding As identified in Section IV, the Schedule of Prior Year Findings, this is a repeat of finding 2021-003. Recommendation The School Department should address the weaknesses in internal controls noted above in order to provide reasonable assurance that equipment charged to federal awards is not misappropriated or lost. The School Department should perform a physical inventory of equipment at least once every two years. Views of Responsible Official and Planned Corrective Action Management’s views and corrective action plan is included in a separate corrective action plan.
2022-001 – Equipment and Real Property Management – Material Weakness in Internal Controls over Compliance Federal Program Information: Funding Agency: U. S. Department of Health and Human Services Title: Headstart Cluster CFDA Number: 93.600 Federal Award Identification number: N/A Pass Through Entity: N/A Award Year: 2022 Condition: The Entity did not conduct a physical inventory in current year or prior year. Criteria: Per Title 2 US Code of Federal Regulations Part 200.303a, non-federal entity 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. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Per 2 CFR 200.313(d)(2), a physical inventory of program property must be taken and the results reconciled with the property records at least once every 2 years. Questioned costs: None Effect: The Entity could dispose of or lose federally funded equipment without following federal guidelines. Cause: The Entity does not have policies and procedures to ensure that the Entity is performing a physical inventory at a minimum of every two years.
2022-001 – Equipment and Real Property Management – Material Weakness in Internal Controls over Compliance Federal Program Information: Funding Agency: U. S. Department of Health and Human Services Title: Headstart Cluster CFDA Number: 93.600 Federal Award Identification number: N/A Pass Through Entity: N/A Award Year: 2022 Condition: The Entity did not conduct a physical inventory in current year or prior year. Criteria: Per Title 2 US Code of Federal Regulations Part 200.303a, non-federal entity 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. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Per 2 CFR 200.313(d)(2), a physical inventory of program property must be taken and the results reconciled with the property records at least once every 2 years. Questioned costs: None Effect: The Entity could dispose of or lose federally funded equipment without following federal guidelines. Cause: The Entity does not have policies and procedures to ensure that the Entity is performing a physical inventory at a minimum of every two years.
2022-001 – Equipment and Real Property Management – Material Weakness in Internal Controls over Compliance Federal Program Information: Funding Agency: U. S. Department of Health and Human Services Title: Headstart Cluster CFDA Number: 93.600 Federal Award Identification number: N/A Pass Through Entity: N/A Award Year: 2022 Condition: The Entity did not conduct a physical inventory in current year or prior year. Criteria: Per Title 2 US Code of Federal Regulations Part 200.303a, non-federal entity 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. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Per 2 CFR 200.313(d)(2), a physical inventory of program property must be taken and the results reconciled with the property records at least once every 2 years. Questioned costs: None Effect: The Entity could dispose of or lose federally funded equipment without following federal guidelines. Cause: The Entity does not have policies and procedures to ensure that the Entity is performing a physical inventory at a minimum of every two years.
Condition: Equipment Listing Not Maintained (Material Weakness – Equipment) Information on the Federal Programs: ESSER Programs: 84.425, 84.425D, 84.425W Questioned Costs N/A We noted the School Department did not maintain a complete listing of equipment purchased with federal funds and did not maintain documentation of physical inventories performed every two years. Criteria: The Uniform Guidance 2 CFR §200.313 Equipment, states that records for equipment acquired with federal funds and federally owned equipment shall be maintained and include a description of the property, the source of funding, who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, any ultimate disposition data including the date of disposal and sales price of the property. Further, a physical inventory of all Federal equipment is required to be performed and results reconciled with the equipment records at least once every two years. Cause: Controls are not in place to ensure that equipment listings and physical inventory records are maintained and updated in a timely manner. Effect: Failure to maintain equipment and inventory records does not allow for proper tracking of equipment purchased with federal funds which could lead to improper disposition of federally funded equipment. Isolated Instance or Systemic Problem: We consider this to be a systemic problem. Repeat of Prior Year Finding: No. Recommendation: We recommend that management update records for equipment acquired with federal funds according to compliance requirements referenced above and communicate these requirements to employees responsible for managing federal programs.
Condition: Equipment Listing Not Maintained (Material Weakness – Equipment) Information on the Federal Programs: ESSER Programs: 84.425, 84.425D, 84.425W Questioned Costs N/A We noted the School Department did not maintain a complete listing of equipment purchased with federal funds and did not maintain documentation of physical inventories performed every two years. Criteria: The Uniform Guidance 2 CFR §200.313 Equipment, states that records for equipment acquired with federal funds and federally owned equipment shall be maintained and include a description of the property, the source of funding, who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, any ultimate disposition data including the date of disposal and sales price of the property. Further, a physical inventory of all Federal equipment is required to be performed and results reconciled with the equipment records at least once every two years. Cause: Controls are not in place to ensure that equipment listings and physical inventory records are maintained and updated in a timely manner. Effect: Failure to maintain equipment and inventory records does not allow for proper tracking of equipment purchased with federal funds which could lead to improper disposition of federally funded equipment. Isolated Instance or Systemic Problem: We consider this to be a systemic problem. Repeat of Prior Year Finding: No. Recommendation: We recommend that management update records for equipment acquired with federal funds according to compliance requirements referenced above and communicate these requirements to employees responsible for managing federal programs.
Condition: Equipment Listing Not Maintained (Material Weakness – Equipment) Information on the Federal Programs: ESSER Programs: 84.425, 84.425D, 84.425W Questioned Costs N/A We noted the School Department did not maintain a complete listing of equipment purchased with federal funds and did not maintain documentation of physical inventories performed every two years. Criteria: The Uniform Guidance 2 CFR §200.313 Equipment, states that records for equipment acquired with federal funds and federally owned equipment shall be maintained and include a description of the property, the source of funding, who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, any ultimate disposition data including the date of disposal and sales price of the property. Further, a physical inventory of all Federal equipment is required to be performed and results reconciled with the equipment records at least once every two years. Cause: Controls are not in place to ensure that equipment listings and physical inventory records are maintained and updated in a timely manner. Effect: Failure to maintain equipment and inventory records does not allow for proper tracking of equipment purchased with federal funds which could lead to improper disposition of federally funded equipment. Isolated Instance or Systemic Problem: We consider this to be a systemic problem. Repeat of Prior Year Finding: No. Recommendation: We recommend that management update records for equipment acquired with federal funds according to compliance requirements referenced above and communicate these requirements to employees responsible for managing federal programs.
Condition: Equipment Listing Not Maintained (Material Weakness – Equipment) Information on the Federal Programs: ESSER Programs: 84.425, 84.425D, 84.425W Questioned Costs N/A We noted the School Department did not maintain a complete listing of equipment purchased with federal funds and did not maintain documentation of physical inventories performed every two years. Criteria: The Uniform Guidance 2 CFR §200.313 Equipment, states that records for equipment acquired with federal funds and federally owned equipment shall be maintained and include a description of the property, the source of funding, who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, any ultimate disposition data including the date of disposal and sales price of the property. Further, a physical inventory of all Federal equipment is required to be performed and results reconciled with the equipment records at least once every two years. Cause: Controls are not in place to ensure that equipment listings and physical inventory records are maintained and updated in a timely manner. Effect: Failure to maintain equipment and inventory records does not allow for proper tracking of equipment purchased with federal funds which could lead to improper disposition of federally funded equipment. Isolated Instance or Systemic Problem: We consider this to be a systemic problem. Repeat of Prior Year Finding: No. Recommendation: We recommend that management update records for equipment acquired with federal funds according to compliance requirements referenced above and communicate these requirements to employees responsible for managing federal programs.
Condition: Equipment Listing Not Maintained (Material Weakness – Equipment) Information on the Federal Programs: ESSER Programs: 84.425, 84.425D, 84.425W Questioned Costs N/A We noted the School Department did not maintain a complete listing of equipment purchased with federal funds and did not maintain documentation of physical inventories performed every two years. Criteria: The Uniform Guidance 2 CFR §200.313 Equipment, states that records for equipment acquired with federal funds and federally owned equipment shall be maintained and include a description of the property, the source of funding, who holds title, the acquisition date, cost of the property, percentage of Federal participation in the project costs for the Federal award under which the property was acquired, the location, use and condition of the property, any ultimate disposition data including the date of disposal and sales price of the property. Further, a physical inventory of all Federal equipment is required to be performed and results reconciled with the equipment records at least once every two years. Cause: Controls are not in place to ensure that equipment listings and physical inventory records are maintained and updated in a timely manner. Effect: Failure to maintain equipment and inventory records does not allow for proper tracking of equipment purchased with federal funds which could lead to improper disposition of federally funded equipment. Isolated Instance or Systemic Problem: We consider this to be a systemic problem. Repeat of Prior Year Finding: No. Recommendation: We recommend that management update records for equipment acquired with federal funds according to compliance requirements referenced above and communicate these requirements to employees responsible for managing federal programs.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.
Finding 2022-002: EquipmentFederal ProgramResearch and Development Cluster (R&D) (AL No.: Various)Federal AgenciesAgencies included within the R&D clusterFederal Award YearJuly 1, 2021 through June 30, 2022Criteria or RequirementNon-federal entities other than states must follow 2 CFR sections 200.313(c) through (e) which require that:1. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)).2. A physical inventory of the property must be taken and the results reconciled with the property records at least once every two years (2 CFR section 200.313(d)(2)).4. A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft must be investigated (2 CFR section 200.313(d)(3)). 5. Adequate maintenance procedures must be developed to keep the property in good condition (2 CFR section 200.313(d)(4))Per 2 CFR Section 200.303, the non-Federal entity 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.Condition Found, Including PerspectiveThe University did not complete its physical inventory counts for 10 departments out of the 15 sampled University departments. The University has a total of 70 departments monitoring federal equipment. In addition, for one item in our sample of 40 physical inspections, we noted the property was not appropriately tagged for identification.Possible Cause and EffectThe control that equipment purchased on federal grants is counted, and reconciled to property records, within a two-year period was not operating effectively. Further, the control regarding tagging and identifying equipment to the University?s property records was not operating effectively.Questioned CostsNone identified.Statistical ValidityThe sample was not intended to be, and was not, a statistically valid sample.Repeat Finding in the Prior YearNo.RecommendationWe recommend the University enhance its internal control over compliance around establishing property records of newly acquired federally funded equipment in accordance with applicable Federal regulations, and completing the necessary physical inventories and reconciliations.Views of Responsible OfficialsThe University agrees with the finding and will strengthen processes including unit and senior leadership accountability around the tagging and surveying of federally funded equipment. The University will implement management and escalation procedures with executive leadership to ensure that accountability for all completed surveys resides with the senior leader. The entire process is being evaluated and controls will be enhanced where needed and training will be expanded to include the importance of timely compliance.