Finding 1121119 (2024-001)

Finding 2024‐001 Information on the Federal Programs : Assistance Listing Number 93.550 ‐ Transitional Living Program, Award Numbers : 90CX7419‐01‐00/90CX7419‐02‐00 and Assistance Listing Number 93.623 ‐ Basic Center Program, Award Numbers : 90CY7201‐03‐00/90CY7538‐01‐00/90CY7608‐01‐00, U.S. Department of Health and Human Services. Type of Finding: Significant Deficiency in Internal Control over Compliance. calculation and drawdown of the funds. Effect: Due to the incorrect calculation of indirect cost the Organization overdrew grant funds. SECTION IV -- SUMMARY SCHEDULE OF PRIOR AUDIT FINDINGS NONE Criteria : The Organization is responsible for establishing and maintaining effective internal control over the indirect cost Condition : We noted three instances where the indirect cost the Organization overdrew grant funds. Cause : The Organization's internal controls were not properly designed or implemented to properly account for indirect cost calculation. Context : The Organization overdrew funds in the amount of $14,432.36 due to incorrectly calculation the indirect cost amount allowed. Recommendation : We recommend the Organization review their process over calculation and requesting indirect costs and implement changes to the process to ensure that the amount is calculating correctly. View of Responsible Official and Planned Corrective Action : Management of the Organization is in agreement with this finding and reimbursed the funds that were overdrawn.