Finding Text
Reference Number 2024-003 Matching
Federal Awards: GEAR UP (ALN 84.334A)
Criteria and Condition: The GEAR UP program requires the Center to provide a match of not less than 50% of the total cost of the program. The match may be provided in cash or in-kind and may be accrued over the full duration of the grant award
period. The Center provides its match with in-kind including, but not limited to, teacher volunteers, donated materials and supplies, and office use. Under the GEAR UP program, school districts (subrecipients) submit in-kind documentation to the Center via an electronic portal. The Center then compiles the in-kind documentation from all the subrecipients and monitors the in-kind match. We noted no documented evidence that the in-kind documentation submitted by subrecipients is being reviewed and approved by the Center. We also noted the following:
- For 3 of 40 in-kind contributions tested, we noted errors in the calculation of the total value of the in-kind contribution. These errors resulted in the in-kind value being overstated by $14,257.
-Out of the 40 in-kind contributions tested, there were 29 in-kind contributions related to teachers or other professional volunteers. The Center uses a report from TASB to assign an hourly value to time contributed for the respective types of professionals. We noted the Center used an outdated TASB salary schedule from 2018-2019 for determining the in-kind value. For teachers, the inkind electronic portal used by subrecipients to submit in-kind documentation auto populates the teacher hourly rate to $50 per hour. We noted the 2018-2019 TASB salary schedule had teacher salaries at $40 per hour. No documentation could be provided to support how the rate of $50 per hour was derived.
Cause and Effect: Matching information is not required to be submitted to the grantor until the annual performance report is submitted in April of each year. The Center does not perform detailed reviews of in-kind documentation at the time it is submitted by subrecipients. The lack of a detailed review may result in errors in the value of the in-kind match reported in the annual performance report and may result in non-compliance with the program’s matching requirement.
Repeat Finding from Prior Year(s): N/A
Questioned Costs: $0
Recommendation: We recommend the Center strengthen internal controls to ensure the value of the in-kind match is correct and accurate. This can be accomplished by implementing a detailed review and approval process as in-kind documentation is submitted by subrecipients. We also recommend documentation be maintained to support the hourly values used for teachers and other professionals, including updating the rates annually.
Views of Responsible Officials: See management’s corrective action plan.