Finding 1155209 (2022-005)

Material Weakness Repeat Finding
Requirement
F
Questioned Costs
-
Year
2022
Accepted
2025-09-25
Audit: 367461
Organization: Defensewerx (FL)
Auditor: Warren Averett

AI Summary

  • Core Issue: The Organization lacks formal policies for maintaining equipment records and does not conduct regular inventories.
  • Impacted Requirements: Non-compliance with OMB Circular A-110 regarding equipment management and record-keeping.
  • Recommended Follow-Up: Develop formal policies for equipment management and conduct bi-annual inventories; consider adding personnel for oversight.

Finding Text

Criteria OMB Circular A-110 requires that equipment be used in the program for which it was acquired or, when appropriate, other Federal programs. Equipment records shall be maintained, a physical inventory of equipment shall be taken at least once every two years and reconciled to the equipment records, an appropriate control system shall be used to safeguard equipment and equipment shall be adequately maintained. Condition The Organization does not have formal policies and procedures over the maintenance of equipment records and does not perform periodic inventories of equipment. Cause The Organization does not have entity-wide policies and procedures in place to require the different locations to, uniformly, follow the equipment management requirements.Effect The Organization is not in compliance with the equipment and real property management requirements. Questioned Costs None Context Each location of the Organization maintains some form of equipment records. However, not all of them contain the required elements: description, including serial number, source, who holds title, acquisition date and cost, percentage of Federal participation in the cost, location, condition and any disposition data. Also, not every location indicates when the last equipment inventory was conducted. Recommendation The Organization should create formal policies and procedures that require equipment records be maintained in accordance with Uniform Guidance. Those policies and procedures should also require an inventory of equipment be conducted, at least bi-annually. The Organization should also expand personnel at the Corporate level to allow for someone to follow up on these corrective actions and ensure compliance by the various locations. Views of Responsible Officials See the accompanying Corrective Action Plan.

Categories

Equipment & Real Property Management

Other Findings in this Audit

  • 1155208 2022-004
    Material Weakness Repeat
  • 1155210 2022-006
    Material Weakness Repeat
  • 1155211 2022-007
    Material Weakness Repeat
  • 1155212 2022-008
    Material Weakness Repeat
  • 1155213 2022-004
    Material Weakness Repeat
  • 1155214 2022-005
    Material Weakness Repeat
  • 1155215 2022-006
    Material Weakness Repeat
  • 1155216 2022-007
    Material Weakness Repeat
  • 1155217 2022-008
    Material Weakness Repeat
  • 1155218 2022-004
    Material Weakness Repeat
  • 1155219 2022-005
    Material Weakness Repeat
  • 1155220 2022-006
    Material Weakness Repeat
  • 1155221 2022-007
    Material Weakness Repeat
  • 1155222 2022-008
    Material Weakness Repeat
  • 1155223 2022-004
    Material Weakness Repeat
  • 1155224 2022-005
    Material Weakness Repeat
  • 1155225 2022-006
    Material Weakness Repeat
  • 1155226 2022-007
    Material Weakness Repeat
  • 1155227 2022-008
    Material Weakness Repeat
  • 1155228 2022-004
    Material Weakness Repeat
  • 1155229 2022-005
    Material Weakness Repeat
  • 1155230 2022-006
    Material Weakness Repeat
  • 1155231 2022-007
    Material Weakness Repeat
  • 1155232 2022-008
    Material Weakness Repeat
  • 1155233 2022-004
    Material Weakness Repeat
  • 1155234 2022-005
    Material Weakness Repeat
  • 1155235 2022-006
    Material Weakness Repeat
  • 1155236 2022-007
    Material Weakness Repeat
  • 1155237 2022-008
    Material Weakness Repeat
  • 1155238 2022-004
    Material Weakness Repeat
  • 1155239 2022-005
    Material Weakness Repeat
  • 1155240 2022-006
    Material Weakness Repeat
  • 1155241 2022-007
    Material Weakness Repeat
  • 1155242 2022-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
12.800 Air Force Defense Research Sciences Program $28.06M
12.RD1 Innovation Hub Model Study $5.76M
12.630 Basic, Applied, and Advanced Research in Science and Engineering $5.39M
97.108 Public Safety and Violence Prevention Research, Evaluation, and Implementation $346,066