Finding 1135427 (2024-006)

Material Weakness
Requirement
B
Questioned Costs
$1
Year
2024
Accepted
2025-05-01

AI Summary

  • Core Issue: The Organization submitted duplicate reimbursement requests for salary and benefits, resulting in overpayment of $29,449.
  • Impacted Requirements: Reimbursement requests must only include costs that have not been previously submitted.
  • Recommended Follow-Up: Implement procedures to ensure costs are only requested once, including monthly reconciliations and staff training.

Finding Text

Federal Grantor: U.S. Department of Justice Program Title: Rural Domestic Violence, Dating Violence, Sexual Assault and Stalking Assistance Program Grant ID: 15JOVW-22-GG-01159-RURA CFDA: 16.589 Condition: The Organization submitted duplicated cost reimbursement requests for salary and employee benefits costs incurred under the program and received reimbursement for these duplicated cost reimbursement requests in July 2023. Criteria: Cost reimbursement requests submitted to the funding agency by the Organization are for incurred costs not previously submitted for reimbursement. Cause: During a period of significant managerial turnover within the Organization, the former Grants Administrator provided limited assistance to the successor Grants Administrator in completing reimbursement requests under the program. The former Grants Administrator discovered that reimbursable costs under the program were not requested for reimbursement in a previous month’s reimbursement request. When these eligible costs were subsequently requested for reimbursement, the eligible costs previously included in the cost reimbursement request were not removed from the supporting calculations worksheet, resulting in those costs being requested for reimbursement a second time. Effect: The Organization received reimbursement for duplicated costs totaling $29,449. Recommendation: Procedures should be implemented to ensure that eligible costs are requested for reimbursement a single time and under only one grant program. Repeat Finding from Prior Year: No Questioned Costs: $29,449 Management’s Response: Management concurs with the finding and has agreed to implement the recommended procedures. Management has also: 1) hired a Director of Finance to oversee financial reporting; 2) implemented a monthly grant reconciliation process; 3) implemented segregation of duties so that no single individual will be responsible for preparing reimbursement requests and subsequently submitting them; 4) provided extensive training to staff involved in the grant reimbursement procedures; 5) implemented a centralized grant tracking sheet to monitor billed amounts by category and date that is verified by two staff members; 6) implemented a quarterly internal audit review by a Board of Directors member with any findings reported to the Board of Directors for oversight.

Categories

Questioned Costs Internal Control / Segregation of Duties Cash Management Reporting

Other Findings in this Audit

  • 558985 2024-006
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $163,618
93.497 Family Violence Prevention and Services/ Sexual Assault/rape Crisis Services and Supports $53,443
14.231 Emergency Solutions Grant Program $50,240
16.589 Rural Domestic Violence, Dating Violence, Sexual Assault, and Stalking Assistance Program $45,512
16.575 Crime Victim Assistance $30,426
21.023 Emergency Rental Assistance Program $23,413
93.136 Injury Prevention and Control Research and State and Community Based Programs $11,649
16.017 Sexual Assault Services Formula Program $4,659
16.588 Violence Against Women Formula Grants $2,076