Finding 1146302 (2024-001)

Criteria: Uniform Guidance requires that general and administrative costs be allocated to unrestricted program expenses in the same manner and proportion as they are allocated to Federal and State grant programs. Condition: DRVT had a small amount of unrestricted program expenses that were not included in the general and administrative cost allocation. Cause: DRVT’s Chief Financial Officer resigned at the end of FY23, and the new Financial Director did not fully understand the Uniform Guidance rules on allocation of general and administrative costs. Effect: An insignificant amount of general and administrative costs (less than $500) were not allocated to unrestricted program expenses. Recommendation: DRVT’s Financial Director should allocate general and administrative costs to unrestricted program expenses and take advantage of grant compliance workshops offered through National Disability Rights Network. Management’s Response: Management agrees with the finding and will take steps to review and comply with all grant reporting requirements. See Corrective Action Plan for further details.