FAC Explorer

Finding 1159793 (2023-007)

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

AI Summary

  • Answer: PAX did not provide adequate records to confirm compliance with the matching fund requirement.
  • Trend: This issue highlights a recurring problem with documentation and compliance in financial reporting.
  • List: Follow up by ensuring PAX improves record-keeping practices to meet federal matching requirements.

Finding Text

Per the terms of the award, PAX agreed to expend a share of the total program cost financed by PAX and others from non-federal funds in accordance with 2 CFR 200.306. PAX’s books and records did not contain the necessary information to verify whether this matching requirement was met.

Corrective Action Plan

PAX implemented a dedicated cost center in the books and records specifically for tracking cost shared expenses midyear during FY23 rather than the previous practice of recognition of cost share at year end closing. Full implementation of contemporaneous tracking of cost share was implemented in FY24. Additionally, PAX now reconciles against this cost center to ensure that the expenses reported to the grantor and budgetary allocations align with the actual expenditures.

Categories

Matching / Level of Effort / Earmarking

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
  • 1159792 2023-006
    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