U.S. Department of Education – Passed-through the NYS Education Department Title I Grants to Local Educational Agencies (LEAs); Assistance Listing Number (ALN) 84.010; Project #’s 0021-23-2955, 0011-23-6011, 0011-23-7200, 0011-24-2160, 0021-24-2955, Grant Period – Fiscal Year Ended June 30, 2024 U.S. Department of Education – Passed-through the NYS Education Department – Education Stabilization Fund COVID-19 – Elementary and Secondary School Emergency Relief (ESSER) Fund; ALN 84.425D; Project #5891-21-2955; Grant Period – Fiscal Year Ended June 30, 2024 COVID-19 – American Rescue Plan – Elementary and Secondary School Emergency Relief (ARP- ESSER) Fund; ALN 84.425U; Project 5880-21-2955, 5884-21-2955, 5883-21-2955, 5882- 21-2955; Grant Period – Fiscal Year Ended June 30, 2024 COVID-19 – American Rescue Plan – Elementary and Secondary School Emergency Relief - Homeless Children and Youth; ALN 84.425W; Project#5218-21-2955; Grant Period – Fiscal Year Ended June 30, 2024 Significant Deficiency Compliance Requirement: Allowable Activities and Cost Principles Criteria: Per Uniform Guidance (2 CFR §200.430), payroll costs charged to federal grants must be supported by appropriate documentation reflecting actual time and effort spent on grant-related activities. Per District policy, employees are required to submit Personnel Activity Reports (PARs) to certify time worked on a federal grant. PARs are then required to be reviewed and approved by a direct supervisor. Condition: We identified seventeen (17) instances of missing or incomplete PAR forms for Title I. Six (6) out of (17) employees did not complete a PAR form. Eleven (11) out of (17) did not document supervisor review and approval. For the education stabilization fund, the District was unable to provide support for time and effort worked on the grant for eleven (11) employees. Cause: Due to significant changes in personnel and work environments of key employees, the District was unable to maintain adequate oversight over the payroll function. Effect: The District is not in compliance with federal grant requirements and District policy. Questioned Costs: None. Recommendation: We recommend the District enhance internal control measures to verify the accuracy and completeness of PARs in a timely manner. We also recommend the District conduct independent reviews of the payroll process and time and effort reporting to verify established controls are functioning as intended. District’s Response: The District’s response is included in their corrective plan.
U.S. Department of Education – Passed-through the NYS Education Department Title I Grants to Local Educational Agencies (LEAs); Assistance Listing Number (ALN) 84.010; Project #’s 0021-23-2955, 0011-23-6011, 0011-23-7200, 0011-24-2160, 0021-24-2955, Grant Period – Fiscal Year Ended June 30, 2024 U.S. Department of Education – Passed-through the NYS Education Department – Education Stabilization Fund COVID-19 – Elementary and Secondary School Emergency Relief (ESSER) Fund; ALN 84.425D; Project #5891-21-2955; Grant Period – Fiscal Year Ended June 30, 2024 COVID-19 – American Rescue Plan – Elementary and Secondary School Emergency Relief (ARP- ESSER) Fund; ALN 84.425U; Project 5880-21-2955, 5884-21-2955, 5883-21-2955, 5882- 21-2955; Grant Period – Fiscal Year Ended June 30, 2024 COVID-19 – American Rescue Plan – Elementary and Secondary School Emergency Relief - Homeless Children and Youth; ALN 84.425W; Project#5218-21-2955; Grant Period – Fiscal Year Ended June 30, 2024 Significant Deficiency Compliance Requirement: Allowable Activities and Cost Principles Criteria: Per Uniform Guidance (2 CFR §200.430), payroll costs charged to federal grants must be supported by appropriate documentation reflecting actual time and effort spent on grant-related activities. Per District policy, employees are required to submit Personnel Activity Reports (PARs) to certify time worked on a federal grant. PARs are then required to be reviewed and approved by a direct supervisor. Condition: We identified seventeen (17) instances of missing or incomplete PAR forms for Title I. Six (6) out of (17) employees did not complete a PAR form. Eleven (11) out of (17) did not document supervisor review and approval. For the education stabilization fund, the District was unable to provide support for time and effort worked on the grant for eleven (11) employees. Cause: Due to significant changes in personnel and work environments of key employees, the District was unable to maintain adequate oversight over the payroll function. Effect: The District is not in compliance with federal grant requirements and District policy. Questioned Costs: None. Recommendation: We recommend the District enhance internal control measures to verify the accuracy and completeness of PARs in a timely manner. We also recommend the District conduct independent reviews of the payroll process and time and effort reporting to verify established controls are functioning as intended. District’s Response: The District’s response is included in their corrective plan.
Federal Agency: U.S. Department of Defense Program/Cluster: Community Economic Adjustment Assistance for Responding to Threats to the Resilience of a Military Installation Federal Assistance Listing Number: 12.003 Award No.: MIR1973-22-01 Award Year: 2023 Compliance Requirement: Matching, Level of Effort and Earmarking Type of Finding: Significant Deficiency in Internal Control over Compliance, Instance of Noncompliance Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. 2 CFR 200.430(g)(4) Salaries and wages of employees used in meeting cost sharing requirements on Federal awards must be supported in the same manner as salaries and wages claimed for reimbursement from Federal awards. 2 CFR 200.306(f) requires that if services furnished by a third-party organization are claimed as a cost-sharing match, these services must be valued at the employee’s regular rate of pay, plus an amount of fringe benefits that is reasonable, necessary, allocable, and otherwise allowable. Condition: We noted personnel services furnished by third-party organizations totaled $31,025 for the life of the grant, including $10,854 in fiscal year 2024. For the services furnished by third-party organizations as a local match of costs, the City valued the personnel time based on budgeted rates. The City could not provide documentation supporting the actual cost incurred by the third-party organization to support the in-kind services claimed. Cause: The City’s policies and procedures for in-kind services furnished by third-party organizations toward the grant did not include obtaining documentation to support the actual costs incurred and value of services claimed. Effect: The City did not comply with required local match of expenses for the grant. Questioned Costs: We identified questioned costs totaling $2,435 for unsubstantiated costs furnished by third-party organizations claimed as local cost share expenditures. Context/Sampling: A nonstatistical sample of 13 out of 54 local cost share expenditures were tested. This represents $9,114 of local cost share expenditures out of a total of $46,809 incurred for fiscal year 2024. Upon further investigation, the questioned costs were isolated to contributed services furnished by third-party organizations which totaled $10,854 in the fiscal year 2024. Repeat Finding from Prior Year(s): No. Recommendation: We recommend the City establish policies and procedures and documentation standards to comply with the Uniform Guidance standards for documentation of personnel expenses used to meet the local share of expenses. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.
Criteria: Per federal regulation 2 CFR section 200.430(i)(1)(vii), the School District must maintain time and effort records for employees who work, all or in part, under federal grants. Condition: The School District did not maintain complete time and effort documentation. Cause: The semi-annual certifications provided by an employee were not signed by the employee. Also, time and effort documentation on stipends paid by the grant to employees for summer activity did not include information on the grant funding the activity. Two forms authorizing the stipends did not indicate the dates the work was performed; and of the 32 timesheets prepared by the recipients of the stipends, 29 did not cite the grant that was funding the activity. Effect: The School District was not in compliance with the allowable costs and cost principles requirement. Recommendation: We recommend that all required timesheets and other time and effort documentation include the required grant information; clearly identify the time worked on federal grants; include certifying statements that the information is true; and signatures by both employees and supervisor. Management’s Response: Management agrees with this finding. The Business Administrator will review all the prepared contracts to ensure all grant information is provided.
Criteria or Specific Requirement Federal regulation 2 CFR §200.430 states that “charges to Federal awards for salaries and wages must comply with the established accounting policies and practices of the non-Federal entity and budget estimates determined before the services are performed alone do not qualify as support for charges to Federal awards.” Entity policy states that “All employees who are paid in full or in part with federal funds, including employees whose salary is paid with state or local funds but is used to meet a required match or in-kind contribution to a federal program, shall document the amount of time they spend on grant activities (AR 3230)”. Condition In our review of employees charged to the WIOA program we noted that one employee who was split funded between WIOA and Vocational Training had a periodic time certification with fixed percentages, but did not work a fixed schedule throughout the year. Cause The Entity’s internal control process over deposits was not properly designed. Effect The Entity is out of compliance with 2 CFR §200.430. It is reasonably possible that additional employees are mischarged in the payroll system. Context During the 2023-24 fiscal year, the Entity charged 23 employees to the WIOA program in whole or in part for their salaries or extra duty performed. We reviewed time accounting documentation for 6 of the 23 employees charged to the program. We identified findings in 1 out of 6 that were reviewed. Repeat Finding No Recommendation Continue to provide training to all employees funded from federal programs and their supervisors to the requirements for federal time accounting under 2 CFR §200.430. Identify an individual responsible to monitor documentation to ensure it meets requirements. Implement a reconciliation between federal time accounting documentation and payroll records to ensure that appropriate adjustments are made to ensure payroll is charged to the correct programs. Views of Responsible Officials See Corrective Action Plan
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
Finding 2024-001 – Internal Controls over Payroll Tracking & Recording Assistance Listing #: ALL Federal Awards: All Criteria: In accordance with the Uniform Guidance’s compensation requirements (2 CFR 200.430), payroll systems must be based on records that accurately reflect the work performed and supported by a system of internal controls that provides reasonable assurances that charges are accurate; allowable and reasonable; and properly allocated amongst programs. Condition: During our testing of 40 payroll transactions, we noted six instances where the time charged on the employee’s timesheet by program did not agree to the programs actually charged in the general ledger, and ultimately billed to the applicable grant award. Thes errors identified occurred earlier in the fiscal year and prior to the completion of the FY 2023 audit when management became aware of the issue and implemented additional controls. Cause: The Organization summarizes employee timesheet data amongst programs on a reclass spreadsheet, which serves as the basis for entry into the general ledger. It appears there were errors when entering time from the timesheet into the reclass spreadsheet, which were not detected as a secondary review was not performed. After the issue was brought to the attention of management during the FY 2023 audit which was conducted in February 2024, no similar errors were detected in our sample. Effect: The effect of the errors noted above was immaterial; however, an inherent risk exists that errors could be material without a sufficient review process. Questioned Costs: N/A Repeat Finding: Yes Recommendation: As noted above, we recommend the Organization continue monitoring the recording of payroll costs to ensure that payroll costs are captured and recorded correctly in the financial management system. Response: We concur with the Finding. Additional controls were implemented late in fiscal year 2024 to ensure accurate recording of time charged to programs as reflected on the employee’s timesheet, which included training and periodic reviews of payroll transactions. As noted above, the errors cited were prior to those controls implemented.
2024-001 U.S. Department of Education Passed-through the Commonwealth of Massachusetts’ Department of Elementary and Secondary Education Special Education Cluster (IDEA) – ALN 84.027 & 84.173 COVID-19 – Special Education Cluster (IDEA) – ALN 84.027X Criteria: Per 2 CFR 200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Semi-annual or monthly time and effort certifications are to be utilized if the non-federal entity’s records do not meet the related standards described in the Uniform Guidance. Condition: Time and effort certifications were not maintained for all grant employees. Cause: Turnover in a key administrative position caused the certifications to be missed during the year. Effect: The School is not in compliance with applicable cost principles related to salaries and wages. Questioned Costs: $474,848.34 Repeat Finding from Prior Year: No. Recommendation: The School should implement procedures to obtain time and effort certifications from grant employees. Views of Responsible Official: Management agrees with the finding.
2024-001 U.S. Department of Education Passed-through the Commonwealth of Massachusetts’ Department of Elementary and Secondary Education Special Education Cluster (IDEA) – ALN 84.027 & 84.173 COVID-19 – Special Education Cluster (IDEA) – ALN 84.027X Criteria: Per 2 CFR 200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Semi-annual or monthly time and effort certifications are to be utilized if the non-federal entity’s records do not meet the related standards described in the Uniform Guidance. Condition: Time and effort certifications were not maintained for all grant employees. Cause: Turnover in a key administrative position caused the certifications to be missed during the year. Effect: The School is not in compliance with applicable cost principles related to salaries and wages. Questioned Costs: $474,848.34 Repeat Finding from Prior Year: No. Recommendation: The School should implement procedures to obtain time and effort certifications from grant employees. Views of Responsible Official: Management agrees with the finding.
2024-001 U.S. Department of Education Passed-through the Commonwealth of Massachusetts’ Department of Elementary and Secondary Education Special Education Cluster (IDEA) – ALN 84.027 & 84.173 COVID-19 – Special Education Cluster (IDEA) – ALN 84.027X Criteria: Per 2 CFR 200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Semi-annual or monthly time and effort certifications are to be utilized if the non-federal entity’s records do not meet the related standards described in the Uniform Guidance. Condition: Time and effort certifications were not maintained for all grant employees. Cause: Turnover in a key administrative position caused the certifications to be missed during the year. Effect: The School is not in compliance with applicable cost principles related to salaries and wages. Questioned Costs: $474,848.34 Repeat Finding from Prior Year: No. Recommendation: The School should implement procedures to obtain time and effort certifications from grant employees. Views of Responsible Official: Management agrees with the finding.
2024-001 U.S. Department of Education Passed-through the Commonwealth of Massachusetts’ Department of Elementary and Secondary Education Special Education Cluster (IDEA) – ALN 84.027 & 84.173 COVID-19 – Special Education Cluster (IDEA) – ALN 84.027X Criteria: Per 2 CFR 200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Semi-annual or monthly time and effort certifications are to be utilized if the non-federal entity’s records do not meet the related standards described in the Uniform Guidance. Condition: Time and effort certifications were not maintained for all grant employees. Cause: Turnover in a key administrative position caused the certifications to be missed during the year. Effect: The School is not in compliance with applicable cost principles related to salaries and wages. Questioned Costs: $474,848.34 Repeat Finding from Prior Year: No. Recommendation: The School should implement procedures to obtain time and effort certifications from grant employees. Views of Responsible Official: Management agrees with the finding.
2024-001 U.S. Department of Education Passed-through the Commonwealth of Massachusetts’ Department of Elementary and Secondary Education Special Education Cluster (IDEA) – ALN 84.027 & 84.173 COVID-19 – Special Education Cluster (IDEA) – ALN 84.027X Criteria: Per 2 CFR 200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Semi-annual or monthly time and effort certifications are to be utilized if the non-federal entity’s records do not meet the related standards described in the Uniform Guidance. Condition: Time and effort certifications were not maintained for all grant employees. Cause: Turnover in a key administrative position caused the certifications to be missed during the year. Effect: The School is not in compliance with applicable cost principles related to salaries and wages. Questioned Costs: $474,848.34 Repeat Finding from Prior Year: No. Recommendation: The School should implement procedures to obtain time and effort certifications from grant employees. Views of Responsible Official: Management agrees with the finding.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
Assistance Listing, Federal Agency, and Program Name - 84.217, 84.042, 84.066, 84.047, 84.044 TRIO Cluster ("TRIO"), and 84.027 Special Education Cluster ("IDEA") Federal Award Identification Number and Year - TRIO - All Federal Award Identifications IDEA - 700005133 Pass through Entity - N/A Finding Type - Significant deficiency Repeat Finding - Yes - 2023 001 Criteria - As outlined in 2 CFR 200.430(i), salaries and wages must be based on records that accurately reflect the work performed, including complying with established accounting policies and practices of the University. Per the University policy, effort reports are to be certified by an individual or a person with suitable means of verification (the principal investigator, department chair, or dean) of the work performed approximately 30 days after each reporting period. Condition Of the 11 employees included in the hourly payroll expenditure sample selected for testing in the TRIO Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 1 employee. Of the 7 employees included in the hourly payroll expenditure sample selected for testing in the Special Education Cluster, the University did not complete a full, executed review of the effort certifications with the time period outlined for 5 employees. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A Context - In the samples mentioned above, the University ultimately completed review of the effort certifications to support salaries and wages were allowable, however, 6 of the total 18 employees tested in these two programs were not reviewed timely. Cause and Effect - The University did not follow its policy to ensure that time and efforts were being reviewed and approved in a timely manner. Recommendation - We recommend the University maintain a procedure and control to ensure that, upon each reporting period, the University reviews and approves effort certifications as outlined in its policy. Views of Responsible Officials and Corrective Action Plan - The university implemented a new grant management software in June 2024 that provides greater functionality to complete the effort certification process within the time requirement identified in the University's Time and Effort Reporting Policy. Winter Semester 2024 was certified timely under the new system and the university considers the finding to be fully corrected. Please note that this finding occurred prior to the implementation of the new system.
During our audit, we noted that the County charged payroll costs to federal grants based on budgeted time allocations rather than actual time spent on grant activities. The County lacked sufficient documentation to support the actual time worked on the grant program and did not perform a true-up or reconciliation process to adjust these charges to reflect the actual effort expended on the grant projects.The absence of a reconciliation process between budgeted and actual time spent on grant activities may have resulted in inaccurate charges to federal awards. This could potentially lead to questioned costs and impact the allowability of payroll expenses charged to the grants. The County’s policies and procedures did not include a process for reconciling budgeted payroll allocations to actual time spent on grant activities. Additionally, there was a lack of understanding among some department personnel regarding the requirement to base final charges on actual effort rather than budget estimates. As provided in 2 CFR §200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Payroll distribution records must reasonably reflect an employee’s total activity and support the allocation of salary or wages across specific activities. The County should strengthen its comprehensive internal control policies and procedures to ensure that payroll costs charged to federal awards are accurate, allowable, and properly supported. Additionally, the County should implement a process to reconcile the budgeted payroll allocations with actual time spent on grant activities. The County's corrective action plan at the end of this report includes the views and planned actions of its responsible officials. We are not required to audit and have not audited these responses or corrective actions and therefore we provide no assurances as to their accuracy.
During our audit, we noted that the County charged payroll costs to federal grants based on budgeted time allocations rather than actual time spent on grant activities. The County lacked sufficient documentation to support the actual time worked on the grant program and did not perform a true-up or reconciliation process to adjust these charges to reflect the actual effort expended on the grant projects.The absence of a reconciliation process between budgeted and actual time spent on grant activities may have resulted in inaccurate charges to federal awards. This could potentially lead to questioned costs and impact the allowability of payroll expenses charged to the grants. The County’s policies and procedures did not include a process for reconciling budgeted payroll allocations to actual time spent on grant activities. Additionally, there was a lack of understanding among some department personnel regarding the requirement to base final charges on actual effort rather than budget estimates. As provided in 2 CFR §200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Payroll distribution records must reasonably reflect an employee’s total activity and support the allocation of salary or wages across specific activities. The County should strengthen its comprehensive internal control policies and procedures to ensure that payroll costs charged to federal awards are accurate, allowable, and properly supported. Additionally, the County should implement a process to reconcile the budgeted payroll allocations with actual time spent on grant activities. The County's corrective action plan at the end of this report includes the views and planned actions of its responsible officials. We are not required to audit and have not audited these responses or corrective actions and therefore we provide no assurances as to their accuracy.
During our audit, we noted that the County charged payroll costs to federal grants based on budgeted time allocations rather than actual time spent on grant activities. The County lacked sufficient documentation to support the actual time worked on the grant program and did not perform a true-up or reconciliation process to adjust these charges to reflect the actual effort expended on the grant projects.The absence of a reconciliation process between budgeted and actual time spent on grant activities may have resulted in inaccurate charges to federal awards. This could potentially lead to questioned costs and impact the allowability of payroll expenses charged to the grants. The County’s policies and procedures did not include a process for reconciling budgeted payroll allocations to actual time spent on grant activities. Additionally, there was a lack of understanding among some department personnel regarding the requirement to base final charges on actual effort rather than budget estimates. As provided in 2 CFR §200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Payroll distribution records must reasonably reflect an employee’s total activity and support the allocation of salary or wages across specific activities. The County should strengthen its comprehensive internal control policies and procedures to ensure that payroll costs charged to federal awards are accurate, allowable, and properly supported. Additionally, the County should implement a process to reconcile the budgeted payroll allocations with actual time spent on grant activities. The County's corrective action plan at the end of this report includes the views and planned actions of its responsible officials. We are not required to audit and have not audited these responses or corrective actions and therefore we provide no assurances as to their accuracy.
During our audit, we noted that the County charged payroll costs to federal grants based on budgeted time allocations rather than actual time spent on grant activities. The County lacked sufficient documentation to support the actual time worked on the grant program and did not perform a true-up or reconciliation process to adjust these charges to reflect the actual effort expended on the grant projects. The absence of a reconciliation process between budgeted and actual time spent on grant activities may have resulted in inaccurate charges to federal awards. This could potentially lead to questioned costs and impact the allowability of payroll expenses charged to the grants. The County’s policies and procedures did not include a process for reconciling budgeted payroll allocations to actual time spent on grant activities. Additionally, there was a lack of understanding among some department personnel regarding the requirement to base final charges on actual effort rather than budget estimates. As provided in 2 CFR §200.430(i) of the Uniform Guidance, charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Payroll distribution records must reasonably reflect an employee’s total activity and support the allocation of salary or wages across specific activities. The County should strengthen its comprehensive internal control policies and procedures to ensure that payroll costs charged to federal awards are accurate, allowable, and properly supported. Additionally, the County should implement a process to reconcile the budgeted payroll allocations with actual time spent on grant activities. The County's corrective action plan at the end of this report includes the views and planned actions of its responsible officials. We are not required to audit and have not audited these responses or corrective actions and therefore we provide no assurances as to their accuracy.
Finding Number: 2024-001 Significant Deficiency – Internal Controls over Compliance and Compliance of: Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Award: Aging Cluster, No. 93.045, Special Programs for the Aging, Title III, Part C, Nutrition Services, and No 93.053, Nutrition Services Incentive Program Federal Agency: Department of Health and Human Services Pass-Through Entity: Monterey County Area Agency on Aging Criteria or Specific Requirement: CFR section 200.403, Factors Affecting Allowability of Costs, states costs must: conform to limitations or exclusions, be accorded consistent treatment, a cost may not be assigned to a Federal award as a direct cost if any other cost incurred for the same purpose in like circumstances has been allocated to the Federal award as an indirect cost and be adequately documented. 2 CFR section 200.405, Allowable Costs, states this standard is met if the cost is incurred specifically for the Federal award and can be distributed in proportions that may be approximated using reasonable methods. Further, if costs benefit two or more projects or activities in proportions that can be determined without undue effort or cost, the cost must be allocated to the projects based on the proportional benefit. If a cost benefits two or more projects or activities in proportions that cannot be determined, the costs must be allocated on any reasonable documented basis. 2 CFR section 200.430(i), Standards for Documentation of Personnel Expenses, states charges to Federal awards for salaries must be based on records that accurately reflect the work performed and these records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated, support the distribution of the employee’s salary or wages among specific activities or cost objectives if the employee works on more than one Federal award and non-Federal award and charges for the salaries and wages of nonexempt employees must be supported by records indicating the total number of hours worked each day. Condition: The Organization did not maintain an effective control environment to ensure costs incurred for expenditures charged to the program were in accordance with contract requirements and applicable cost principles. The method for allocation of non-payroll expenditures between federally funded programs and other programs was based on percentages that had not been updated to reflect current funding sources. Payroll expenditures were allocated based on budget estimates and not upon the actual work performed on various Federal awards and non-federal activities. Cause: The Organization received new funding subject to Uniform Guidance and did not have written internal control policies as required by Uniform Guidance. Processes and procedures were not updated to be in accordance with Uniform Guidance. Effect or Potential Effect: Potential for unallowable activities and unallowable costs. Questioned Costs: Related questioned costs are unknown. Context: During the year under audit, the issues represent a systemic problem. Recommendation: We recommend the Organization document all methods used to allocate expenditures and ensure adequate support is maintained to substantiate allocation calculations. Management should design and implement policies and procedures to ensure payroll expenditures are based on actual time spent on the federal funded programs. View of Responsible Officials: In response to finding number 2024-001, there is no disagreement with the audit finding. As this was a known finding at the beginning of the audit, management has drafted new policies and procedures to ensure payroll expenditures are based on actual time spent of the federal funded programs. Managers will allocate employees’ time based on tasks performed and the amount of time worked on federal award activities. The allocation of non-payroll expenses will be based on percentages of current funding sources. These new policies and procedures will be in full effect throughout fiscal year 2025 and beyond.
Finding Number: 2024-001 Significant Deficiency – Internal Controls over Compliance and Compliance of: Activities Allowed or Unallowed and Allowable Costs/Cost Principles Federal Award: Aging Cluster, No. 93.045, Special Programs for the Aging, Title III, Part C, Nutrition Services, and No 93.053, Nutrition Services Incentive Program Federal Agency: Department of Health and Human Services Pass-Through Entity: Monterey County Area Agency on Aging Criteria or Specific Requirement: CFR section 200.403, Factors Affecting Allowability of Costs, states costs must: conform to limitations or exclusions, be accorded consistent treatment, a cost may not be assigned to a Federal award as a direct cost if any other cost incurred for the same purpose in like circumstances has been allocated to the Federal award as an indirect cost and be adequately documented. 2 CFR section 200.405, Allowable Costs, states this standard is met if the cost is incurred specifically for the Federal award and can be distributed in proportions that may be approximated using reasonable methods. Further, if costs benefit two or more projects or activities in proportions that can be determined without undue effort or cost, the cost must be allocated to the projects based on the proportional benefit. If a cost benefits two or more projects or activities in proportions that cannot be determined, the costs must be allocated on any reasonable documented basis. 2 CFR section 200.430(i), Standards for Documentation of Personnel Expenses, states charges to Federal awards for salaries must be based on records that accurately reflect the work performed and these records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated, support the distribution of the employee’s salary or wages among specific activities or cost objectives if the employee works on more than one Federal award and non-Federal award and charges for the salaries and wages of nonexempt employees must be supported by records indicating the total number of hours worked each day. Condition: The Organization did not maintain an effective control environment to ensure costs incurred for expenditures charged to the program were in accordance with contract requirements and applicable cost principles. The method for allocation of non-payroll expenditures between federally funded programs and other programs was based on percentages that had not been updated to reflect current funding sources. Payroll expenditures were allocated based on budget estimates and not upon the actual work performed on various Federal awards and non-federal activities. Cause: The Organization received new funding subject to Uniform Guidance and did not have written internal control policies as required by Uniform Guidance. Processes and procedures were not updated to be in accordance with Uniform Guidance. Effect or Potential Effect: Potential for unallowable activities and unallowable costs. Questioned Costs: Related questioned costs are unknown. Context: During the year under audit, the issues represent a systemic problem. Recommendation: We recommend the Organization document all methods used to allocate expenditures and ensure adequate support is maintained to substantiate allocation calculations. Management should design and implement policies and procedures to ensure payroll expenditures are based on actual time spent on the federal funded programs. View of Responsible Officials: In response to finding number 2024-001, there is no disagreement with the audit finding. As this was a known finding at the beginning of the audit, management has drafted new policies and procedures to ensure payroll expenditures are based on actual time spent of the federal funded programs. Managers will allocate employees’ time based on tasks performed and the amount of time worked on federal award activities. The allocation of non-payroll expenses will be based on percentages of current funding sources. These new policies and procedures will be in full effect throughout fiscal year 2025 and beyond.