Finding 1097020 (2023-002)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2023
Accepted
2025-01-28

AI Summary

  • Core Issue: Three expenses totaling $15,057 lacked necessary documentation to verify their legitimacy.
  • Impacted Requirements: Compliance with 2 CFR 200 requires proper record-keeping for federally funded activities.
  • Recommended Follow-Up: Implement a policy to ensure all grant-related expenses have supporting receipts and track conference registration discounts by participant.

Finding Text

Expense Supported with Required Documentation Criteria: In accordance with the Federal Awards Listing 93.945, financial management systems must meet the requirements as described 2 CFR 200 which include retaining records that identify adequately the source and application of funds for federally funded activities. Condition: Three expenses totaling $15,057 lacked documentation to support the allowability of the activity and cost and the period of performance. Cause: For two of the expenses, totaling $57, the individual items were below the Organization’s internal threshold for retaining supporting documentation. The third expense was to fund $15,000 of conference registration discounts but, while it was included in the budget for that award year, lacked evidence supporting the use of the funds. Effect: There was no negative effect related to the exceptions. Recommendation: The Organization should institute a requirement that all grant-eligible expenses are supported with a receipt or invoice documenting the type of expense and date of purchase. Expenses incurred funding conference or membership registration discounts should be tracked by participant or member. Views of Responsible Officials and Planned Corrective Actions: United States Breastfeeding Committee, Inc. agrees with the finding and management has implemented tracking measures to ensure supporting documentation is maintained for grant-related expenses.

Categories

Procurement, Suspension & Debarment Period of Performance

Other Findings in this Audit

  • 520577 2023-001
    Significant Deficiency
  • 520578 2023-002
    Significant Deficiency
  • 1097019 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.945 Assistance Programs for Chronic Disease Prevention and Control $1.14M