Finding 1103404 (2024-002)

Department of Health and Human Services- Basic Center Grant ACTF-Albany County Family and Youth Services Bureau Condition: During the testing of payroll transactions, it was noted that out of 25 employees sampled, 9 employees’ pay rates were not properly reviewed or approved. This lack of oversight increases the risk of errors or unauthorized payments. Criteria: Uniform Guidance requires that charges to federal awards for salaries and wages be based on records that accurately reflect the work performed. These records must be properly reviewed and approved to ensure compliance. Cause: The deficiency was a result of turnover of key business office personnel. Effect: Failure to properly review and approve payroll transactions could result in unallowable costs being charged to federal awards and potential noncompliance with Uniform Guidance requirements. Management’s Response: Policies and procedures have been enhanced and additional training ahs been provided to staff to properly meet this recommendation.