Finding Text
Criteria: 2 CFR §200 requires written policies and procedures in various matters such as cash management, personnel compensation, and determination of allowability of costs in accordance with cost principles and terms of the federal awards, not all inclusive. Condition: The Organization is aware of the need for written policies and procedures over accounting, grants management, and financial reporting areas to ensure compliance with federal laws, regulations and grant agreements. However, the Organization did not have written policies and procedures with references to current regulations as required by 2 CFR §200. Cause: The Organization did not update its procedures manual to reflect the current references as required by 2 CFR §200. Effect: Without established polices and continuously updated written procedures required by 2 CFR §200, the Organization has insufficient internal controls over compliance with federal laws, regulations and grant agreements related to the federal awards it receives and expends.