FAC Explorer

Finding 1155814 (2023-004)

Material Weakness Repeat Finding
Requirement
C
Questioned Costs
-
Year
2023
Accepted
2025-10-07
Audit: 368202
Organization: The International Center for Journalists, Inc. (DC)
Auditor: Gelman Rosenberg & Freedman

AI Summary

  • Core Issue: Lack of documented review and approval for drawdown requests, which is essential for compliance with Federal funding requirements.
  • Impacted Requirements: Internal controls must align with 2 CFR 200.303 and established frameworks to ensure proper management of Federal awards.
  • Recommended Follow-Up: Implement procedures for independent review and approval of drawdown requests, including signatures and supporting documentation for each request.

Finding Text

Finding 2023-004 Cash Management Information on the Federal Programs: Assistance Listing Numbers #98.001, #19.415 Criteria or Specific Requirement: Under 2 CFR 200.303, organizations that receive Federal funding are required to “establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award." These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Evidence of review/approval for certain drawdown requests could not be provided. The supporting documentation for certain requests (i.e. the schedule documenting the calculation for the amount requested) was also not available. While management asserts that a review and approval of drawdown requests occurred, there is no audit trail that shows the evidence of the control occurring. Cause: ICFJ experienced transition during the fiscal year and certain documents were unable to be located during the audit process. Effect or Potential Effect: Appropriate procedures and documentation for drawdown requests is important to ensure compliance with cash management compliance requirements. Questioned Costs: None. Context: Our audit procedures consisted of testwork performed over cash receipts and drawdown requests from the Federal Government. We consider our sample to be representative of the population. The condition appears to be systemic in nature. Identification as a Repeat Finding, if Applicable: Not applicable. Recommendation: We recommend that management of ICFJ implement procedures and control processes to incorporate and document an independent review and approval, evidenced by a signature/initialing and date of the review and approval taking place prior to submission to the funder. Each request should be filed with the documentation supporting the calculation of the request.

Corrective Action Plan

Views of Responsible Officials: The cause is related to the digital nature of the drawdown process and staff turnover. ICFJ will institute a procedure to capture drawdown information and/or create a documentation at the time of drawdown. Storage of the documentation will be incorporated into ICFJ’s digital records storage.

Categories

Cash Management Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 1155794 2023-003
    Material Weakness Repeat
  • 1155795 2023-004
    Material Weakness Repeat
  • 1155796 2023-005
    Material Weakness Repeat
  • 1155797 2023-003
    Material Weakness Repeat
  • 1155798 2023-004
    Material Weakness Repeat
  • 1155799 2023-005
    Material Weakness Repeat
  • 1155800 2023-003
    Material Weakness Repeat
  • 1155801 2023-004
    Material Weakness Repeat
  • 1155802 2023-005
    Material Weakness Repeat
  • 1155803 2023-003
    Material Weakness Repeat
  • 1155804 2023-004
    Material Weakness Repeat
  • 1155805 2023-005
    Material Weakness Repeat
  • 1155806 2023-002
    Material Weakness Repeat
  • 1155807 2023-003
    Material Weakness Repeat
  • 1155808 2023-004
    Material Weakness Repeat
  • 1155809 2023-002
    Material Weakness Repeat
  • 1155810 2023-003
    Material Weakness Repeat
  • 1155811 2023-004
    Material Weakness Repeat
  • 1155812 2023-002
    Material Weakness Repeat
  • 1155813 2023-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
98.001 Mexico Border Investigative Reporting Hub $1.38M
98.001 Usaid-Promoting Security and Freedom of Expression for the Prosafe Media $633,357
19.345 Stemming the Tide of Intolerance $463,148
19.345 Strengthening Professional Independent Journalism $351,558
19.221 Online Training on Specialized Journalism Topics Focused on Social and Economic Issues, Ethical Reporting, and Digital Safety, for Iranian Professional and Citizen Journalists, Digital Influencers, and Civil Society Actors, to Increase the Diversity of Free Media in Iran $325,352
19.345 In the Name of Religion - A Program for Nigerian and Sudanese Journalists to Help Citizens Overcome Barriers to Religious Freedom $271,980
19.040 Building Investigative Journalism Capacity $248,549
19.040 Regional Journalism Workshops in Africa Program $213,478
19.900 Journey of Shared Discovery for Russian and American Journalists $154,587
19.900 To Strengthen Media in North MacEdonia by Increasing Journalistic Professionalism and Diminishing the Negative Impact of Disinformation $117,799
19.040 Journalism Capacity Building in Tunisia $93,612
19.415 Professional Fellows Program $79,169
98.001 Asia Investigative Reporting Network (air Network) $73,719
19.345 Facts Matter Initiative $52,641
19.900 To Implement 2021 Television Cooperative Program to Assist A Georgian Television Company in Filming Feature Stories Or/and A Documentary Under the Generic Working Title the U.s. Energy Policy and Regulations $50,103
19.040 Reporting Tour for 10 Arab Journalists $47,094
19.040 To Support Phase 1 (of 2) to Build A Cadre of Media Leaders in the Dominican Republic Who Can Strengthen Freedom and Democratic Values, Including Human Rights, Diversity and Acceptance of Minorities $43,037
19.040 To Administer Needs-Based and Focused Trainings for 320 Ethiopian Journalists to Enhance the Professional Capacity of State and Private Media $37,003
19.040 Empowering Marginalized Communities in Jordan Through Media Innovation and Cultural Exchange $11,861
19.040 Prize for Excellence in Journalism in Guinea $4,086
19.345 Supporting Access to Justice for Religious Minorities in India $3,601
19.021 A Study Tour for Arab Journalists $3,583
19.979 An Initiative to Promote Transparency and Fight Corruption $3,002
19.040 Baltic Media CO-Op to the United States $1,658
19.900 Strengthening Journalism Education in Georgia $1,238
19.022 Strengthening Regional Journalism Through Data Capacity Building $1,235
19.750 An Initiative to Promote Transparency and Fight Corruption $799