Finding Text
2023-005: Subrecipient Monitoring
FALN: 16.320
Program or Cluster Name: Services for Trafficking Victims
Agency: U.S. Department of Justice
Criteria: RP must maintain a subrecipient monitoring checklist for each subrecipient it works with. Maintenance of monitoring checklists ensure that reporting timelines are met in accordance with federal grant agreements and that waste and abuse of federal awards are identified timely.
Condition: Subrecipient monitoring is being done by RP for each subrecipient organization. However, a routine and comprehensive checklist is not maintained for each subrecipient organization that RP works with. Furthermore, RP did not consistently communicate reporting timelines as outlined by the federal awarding agencies. Finally, while there was evidence of subrecipient review, signed reports indicating evidence of review by multiple RP personnel were not consistently maintained.
Cause: Due to the turnover in finance personnel during fiscal 2023 and in the past, there has been a loss of institutional knowledge among RP personnel regarding grant compliance requirements and best practices.
Effect: There is a lack of appropriate oversight and monitoring of the underlying subrecipient organizations by RP. The lack of consistent oversight opens up the opportunity for potential waste and abuse of federal funding and resources by the underlying subrecipient organization.
Repeat Finding: No
Recommendation: We recommend that RP consistently fills out a Subrecipient Monitoring Checklist for each subrecipient organization.
Management’s Response: See Corrective Action Plan.