Finding Text
Finding 2024-001: Earmarking
U.S. Department of Labor - Workforce Innovation and Opportunity Act (WIOA) Cluster - WIOA Youth Activities (ALN 17.259)
Statement of Condition: South central Workforce Investment Board (SCWIB) did not meet the earmarking requirements for the WIOA Youth services for providing paid and unpaid work experience and did not have internal controls in place to verify this requirement was met.
Criteria: Under section 129 of the Workforce Investment Act of 1998 section (a)(4)(A) at least 75 percent of funds allotted for Youth Activities must be used to provide youth workforce investment activities for out-of-school youth. Under section 129 of the Workforce Investment Act of 1998 section (c)(4) not less than 20 percent of Youth Activity funds allocated to the local area must be used to provide paid and unpaid work experience.
Cause: SCWIB did not have proper controls in place to track youth expenditures to ensure that SCWIB was meeting the earmarking requirements of the youth program.
Effect of the Condition: SCWIB did not meet the required expenditures of the WIOA Youth program for providing paid and unpaid work experience.
Recommendation: We recommend that SCWIB develop and implement a control to track Youth expenditures alongside the earmarking requirements of services for paid and unpaid work experience to ensure that SCWIB meets the required earmarking amounts.
Questioned Costs: Unknown.
Repeat Finding: This is a repeat finding of Finding 2023-001.
Views of Responsible Officials: See separate Corrective Action Plan.