Finding Text
Finding # 2024-002
Type: Immaterial noncompliance
Assistance Listing Number:
94.006
Requirement:
Allowable costs should be charged according to the provisions outlined Chapter 2, Part 200, Subpart E of the federal register.
Condition:
Travel costs for training were charged to the grant for a person whose work was being covered by another funding source at the time of the training.
Context:
A group travel package was purchased for 10 people but one was being covered by another funding source.
Cause:
Oversight and review controls in place did not identify the expense.
Effect:
The federal grant was overcharged by an immaterial amount.
Questioned Costs:
Approximately $420
Recommendation:
Purchases expended on behalf of participants should be cross-checked against an active participant list before the purchase is approved. General ledger account assignments pertaining to federal grants should be reviewed for accuracy.
Management’s Response:
During a period of staff transition in a Program Director role, travel was arranged for a group on a grant-approved training trip, which included several program participants. When the airline tickets were purchased, one participant whose activities and enrollment were part of a different funding source within the same overall program was mistakenly included in this group. This oversight was not caught by program staff at the time, and the member participated in the trip. The issue was identified during the audit, promptly corrected by staff, and the grant funder was refunded for the expense in January 2025, prior to the audit’s completion. Additionally, the process for vetting participants for such trips has been revised to include regular reviews of enrollment status, both at the time of airfare purchase, but also at the time of travel. Program staff will more regularly and actively provide fiscal staff current enrollment information, which will be cross-referenced during both the AP and cost allocation entry, and during the reimbursement A/R invoicing process, to ensure cost allowability.