Finding 1137883 (2024-004)

Significant Deficiency
Requirement
CL
Questioned Costs
-
Year
2024
Accepted
2025-05-23

AI Summary

  • Core Issue: The Foundation lacks documented review and approval procedures for grant drawdown requests and reporting.
  • Impacted Requirements: Effective internal controls require timely and documented reviews to prevent errors in grant management.
  • Recommended Follow-Up: Implement formal review and approval processes for grant requests and reports to mitigate risks.

Finding Text

2024-004 – INTERNAL CONTROLS OVER COMPLIANCE (11.469 CONGRESSIONALLY IDENTIFIED AWARDS AND PROJECTS) Condition: The Foundation does not have documented review and approval procedures in place for grant drawdown requests or required reporting to grantors. Criteria: Effective internal control over compliance includes appropriate, timely, and documented review and approval procedures. Cause: Documented review and approval procedures have not been designed and implemented over the grant drawdown requests and grant reporting processes. Effect: The Foundation is at an increased risk that errors or omissions will not be detected timely in their grant drawdown requests and grant reporting. Questioned Costs: N/A Recommendation: The Foundation should implement documented review and approval procedures over the grant drawdown requests and grant reports. Views of Responsible Officials: For expediency in invoicing and reporting, we have always sought for a review of invoicing and reporting after-the-fact and made necessary corrections or changes going forward. However, we have updated our processes to allow for review prior to submission of invoices and reports. All invoices are reviewed and approved by the program manager before being submitted for payment. Quarterly and semi-annual reporting are reviewed by the program manager(s) prior to being submitted.

Categories

Cash Management Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
11.469 Congressionally Identified Awards and Projects $913,477
81.087 Renewable Energy Research and Development $102,212
23.011 Appalachian Research, Technical Assistance, and Demonstration Projects $2,063