Finding Text
2024--001
Improper Classification Of Payroll Expenses
15.954 National Park Service Conservation, Protection, Outreach and Education
Audit Results:
Information on Federal Programs:
Assistance Listing #: 15.954 National Park Service Conservation, Protection, Outreach and Education
Grant #: P20AC00467
Federal Agency: United States Department of the Interior
Criteria: Payroll expenses should be charged to federal grants based on the hours worked by each employee that worked on the grants during a specific pay period.
Condition: During our testing over payroll auditors noted that for three pay periods there were variances between the total calculated amount to be charged to the grant based on the timecards and the total actual amount charged.
Questioned Costs: $2,591
Context: Costs should be charged to the grant properly based on actual hours worked to ensure that they are not charging more than the grant award allows.
Effect: As a result, payroll charged to the major program was understated by $2,591 for the year ended September 30, 2024.
Cause: This resulted from the lack of a regular detailed review of the calculations in comparison to the general ledger.
Recommendation:
We recommend that management implement a policy for a detailed comparison of the timecards and calculations to the general ledger for each pay period to ensure that the information is being pulled correctly and that time is being properly charged to all federal grants. It is critical that time be properly charged to be in compliance with Uniform Guidance requirements.
Views of Responsible Officials and Planned Corrective Actions:
Management agrees with this Single Audit Finding and response is included in the Corrective Action Plan.