Finding 1061572 (2023-001)

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Requirement
E
Questioned Costs
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Year
2023
Accepted
2024-08-27

AI Summary

  • Core Issue: Missing documentation for one expenditure out of 68 tested, affecting compliance verification.
  • Impacted Requirements: Internal controls over Federal awards must ensure compliance with Federal statutes and grant terms.
  • Recommended Follow-Up: Implement policies and training to strengthen documentation processes and internal controls.

Finding Text

2023-001 Missing Voucher Documentation, Department of Labor Criteria: Internal controls over Federal awards must be designed and implemented to provide reasonable assurance of compliance with applicable Federal statutes, regulations, and the terms and conditions of the Federal award. Condition: During our testing, we noted one instance, in a sample of 68 expenditures tested, in which supporting documentation could not be provided. Cause: Vouchers issued to program participants for work supplies and utilized at a Goodwill store were not submitted to the accounting department by the store. Effect: Due to the vouchers not being submitted to the accounting department, the participant’s eligibility and the validity of the expenditures could not be tested. The lack of adequate internal controls increases the risk of noncompliance of grant requirements. Identification of repeat findings: Not a repeat finding. Recommendation: We recommend designing and implementing policies and procedures to ensure compliance with internal controls at all times. Management’s Response: Finance staff reviewed internal controls and the overall process with team members responsible for providing supporting documentation for all expenditures as well as those who receive and review documentation prior to processing expenses for reimbursement. In addition to this training, additional review for all supporting documentation has been added prior to billing for expenses.

Categories

Cash Management Eligibility Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
93.093 Affordable Care Act (aca) Health Profession Opportunity Grants $753,322
17.259 Wia Youth Activities $222,660
17.258 Wia Adult Program $166,781
10.551 Supplemental Nutrition Assistance Program $109,956
17.274 Youthbuild $19,275
17.235 Senior Community Service Employment Program $17,852
17.260 Wia Dislocated Workers $17,304
16.726 Juvenile Mentoring Program $19