Finding 1159792 (2023-006)

Material Weakness Repeat Finding
Requirement
AB
Questioned Costs
$1
Year
2023
Accepted
2025-10-02
Audit: 370335
Organization: Program of Academic Exchange (NY)
Auditor: Rln US LLP

AI Summary

  • Answer: PAX lacks a strong internal control system for tracking salaries and wages related to federal awards.
  • Trend: This issue may lead to ongoing compliance risks and financial inaccuracies.
  • List: Recommend implementing a robust monitoring system and regular audits to ensure proper documentation and compliance.

Finding Text

PAX did not have an effective internal control system in place for monitoring and documenting salaries and wages charged to the federal awards.

Corrective Action Plan

Based upon current auditor’s recommendation, PAX established an effort verification reporting system. This system was launched in FY23 and enhanced in FY24 with great specificity and fuller allocation information. The latest system will accurately capture the effort spent by each employee on specific grants, ensuring proper documentation of allocation of wages and salaries to the respective federal awards.

Categories

Questioned Costs Subrecipient Monitoring Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1159786 2023-006
    Material Weakness Repeat
  • 1159787 2023-007
    Material Weakness Repeat
  • 1159788 2023-008
    Material Weakness Repeat
  • 1159789 2023-006
    Material Weakness Repeat
  • 1159790 2023-007
    Material Weakness Repeat
  • 1159791 2023-008
    Material Weakness Repeat
  • 1159793 2023-007
    Material Weakness Repeat
  • 1159794 2023-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
19.415 Professional and Cultural Exchange Programs - Citizen Exchanges $547,690