Finding 1075980 (2023-001)

Material Weakness Repeat Finding
Requirement
B
Questioned Costs
-
Year
2023
Accepted
2024-09-30

AI Summary

  • Core Issue: The Board failed to provide complete supporting documentation for reimbursement requests, leading to a material weakness.
  • Impacted Requirements: Invoices and detailed reviews/approvals are necessary for verifying reimbursement amounts.
  • Recommended Follow-Up: The Board should ensure all reimbursement documentation is retained and organized to avoid incomplete requests.

Finding Text

2023-001 (repeat of 2022-002) Inadequate Supporting Documentation Material Weakness Criteria Requests for reimbursement must include invoices to verify amounts requested, and review/approval must be documented. Condition The Board did not provide fully executed supporting documentation for 4 transactions, additionally the detail provided to support what had been purchased did not contain the expected detail for a thorough review. We recognize that there are compensating controls given the oversight exercised by the USDA, however, based on the supporting documentation we received, we were unable to verify that such oversight was operating as intended. Cause The Board is staffed by 5 volunteers and has no dedicated office space. It is challenging for the volunteers to maintain complete documentation under these conditions. Effect As a result, reimbursement requests may be incomplete, therefore, the Board may not be reimbursed for all program costs. Recommendation The Board should retain all documentation pertaining to reimbursements. Views of Responsible Officials and Planned Corrective Actions Please see the last page of this report for the written response from the Board.

Categories

Procurement, Suspension & Debarment Cash Management Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 499538 2023-001
    Material Weakness Repeat
  • 499539 2023-002
    - Repeat
  • 499540 2023-003
    Significant Deficiency
  • 499541 2023-004
    Material Weakness
  • 1075981 2023-002
    - Repeat
  • 1075982 2023-003
    Significant Deficiency
  • 1075983 2023-004
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.766 Community Facilities Loans and Grants $5.87M