Finding Text
Finding 2024-005 Agency: National Science Foundation Program: Research and Development Cluster (AL No. 47.076) Control Deficiency over Allowable Costs/Cost Principles Repeat Finding: No Condition: For 1 out of 25 selections, the transaction did not properly follow accrual basis accounting. The transaction was related to work performed in fiscal year 2023 but was included in the SEFA for fiscal year 2024. The total amount of this non-compliant transaction was $6,650. Criteria: As provided in 2 CFR section 200.403: Factors affecting allowability of costs, except where otherwise authorized by statute, costs must be determined in accordance with generally accepted accounting principles (GAAP) to be allowable under Federal awards. Cause: AACC does not have an effective policy in place to ensure costs are properly recorded in the correct fiscal year. Effect: AACC was not in compliance with the Allowable Costs/Cost Principles requirements in accordance with Uniform Guidance. Questioned Costs: None Recommendation: We recommend AACC implements a policy to properly accrue expenditures into the correct fiscal year. Auditee Response and Corrective Action Plan: Management agrees with the finding. Refer to the corrective action plan on current findings in Part V of this report.