Finding Text
Assistance Listing Number: 10.728
Name of Federal Program: Inflation Reduction Act Hazardous Fuels Transportation Assistance
Name of Federal Agency: Department of Agriculture
Award Period: January 1, 2023 – December 31, 2023
Criteria or Specific Requirement: 2 CFR section 200.403 establishes criteria that must be met for costs to
be allowable under federal awards. According to these criteria, costs charged to federal awards must be
determined in accordance with generally accepted accounting principles and be adequately documented.
Condition: Organization does have adequate segregation of duties between the individual reviewing,
approving, and recording costs charged to federal awards.
Cause: The Organization has not developed policies and procedures to ensure costs have been reviewed
for allowability by appropriate personnel prior to charging them to federal awards.
Effect or Potential Effect: An expense charged to the federal program could be disallowed.
Repeat Finding: No
Recommendation: We recommend that management implement policies and procedures to review and
approve all costs by appropriate personnel prior to charging them to federal awards.
Views of Responsible Officials: Management agrees with the finding and noted that they will implement
our recommendations.