Finding Text
Condition: The Center was unable to provide approved invoices and payment support for a sample of expenditures.
Criteria: For expenditures of federal awards, costs must be supported by adequate documentation.
Cause: The expenditures were made on a debit card by a previous employee. The invoices and receipts were not retained by the Center.
Effect: The expenditures may be disallowed.
Context/Questioned Costs: A sample of 25 expenditures totaling $118,810 was selected for audit from a population of 440 expenditures totaling $281,781. The test found 7 expenditures that did not have adequate support, with questioned costs totaling $12,122.
Recommendation: The Center should implement a policy regarding debit and credit card transactions that requires approved invoices and receipts to be submitted to the bookkeeper.
View of Responsible Officials and Planned Corrective Actions: The Center agrees with the finding. The Center is in the process of implementing the recommendation.