Finding 1160649 (2024-007)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2024
Accepted
2025-10-16
Audit: 370915
Organization: Mercer County (NJ)

AI Summary

  • Core Issue: The County lacks adequate documentation to support how rental costs are allocated to specific grants, affecting the validation of these charges.
  • Impacted Requirements: This finding violates federal guidelines requiring that costs charged to grants be necessary, reasonable, and well-documented.
  • Recommended Follow-Up: The County should create a clear methodology for rent allocation and maintain all necessary documentation to comply with grant requirements.

Finding Text

Finding: The County charges rental costs for the Mercer County One Stop Career Center to several grants including the Temporary Assistance for Needy Families and WorkFirst New Jersey grants, but did not provide adequate documentation to support the percentage of rent attributable to grant activities. As a result, the accuracy and appropriateness of the rent allocation to the grant cannot be validated. Per federal grant management guidelines (e.g., 2 CFR Part 200, Uniform Guidance), costs charged to grants must be necessary, reasonable, and adequately documented. Allocations of shared costs, such as rent, must be based on a documented and justifiable methodology. Recommendation: The County should develop and implement a robust methodology for allocating shared costs like rent and ensure it is documented and consistent with grant requirements. Additionally, the County should retain all supporting documentation to validate grant charges.

Corrective Action Plan

Management has reviewed the finding above and concurs. A corrective action plan addressing the deficiencies will be completed and submitted within 60 days of the report.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 1160636 2024-005
    Material Weakness Repeat
  • 1160637 2024-005
    Material Weakness Repeat
  • 1160638 2024-005
    Material Weakness Repeat
  • 1160639 2024-004
    Material Weakness Repeat
  • 1160640 2024-004
    Material Weakness Repeat
  • 1160641 2024-004
    Material Weakness Repeat
  • 1160642 2024-005
    Material Weakness Repeat
  • 1160643 2024-005
    Material Weakness Repeat
  • 1160644 2024-005
    Material Weakness Repeat
  • 1160645 2024-005
    Material Weakness Repeat
  • 1160646 2024-005
    Material Weakness Repeat
  • 1160647 2024-007
    Material Weakness Repeat
  • 1160648 2024-007
    Material Weakness Repeat
  • 1160650 2024-006
    Material Weakness Repeat
  • 1160651 2024-006
    Material Weakness Repeat
  • 1160652 2024-006
    Material Weakness Repeat
  • 1160653 2024-006
    Material Weakness Repeat
  • 1160654 2024-006
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $7.40M
20.106 Airport Improvement Program, Infrastructure Investment and Jobs Act Programs, and Covid-19 Airports Programs $3.87M
20.205 Highway Planning and Construction $2.57M
93.558 Temporary Assistance for Needy Families $1.70M
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $1.28M
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $775,509
17.278 Wioa Dislocated Worker Formula Grants $719,277
17.259 Wioa Youth Activities $642,080
16.575 Crime Victim Assistance $613,786
17.258 Wioa Adult Program $585,586
93.667 Social Services Block Grant $549,987
93.568 Low-Income Home Energy Assistance $431,421
93.008 Medical Reserve Corps Small Grant Program $428,969
93.052 National Family Caregiver Support, Title Iii, Part E $404,344
93.569 Community Services Block Grant $371,322
93.069 Public Health Emergency Preparedness $299,619
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $298,398
93.268 Immunization Cooperative Agreements $234,342
16.738 Edward Byrne Memorial Justice Assistance Grant Program $220,433
10.683 National Fish and Wildlife Foundation $160,846
93.053 Nutrition Services Incentive Program $130,071
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $123,609
14.218 Community Development Block Grants/entitlement Grants $77,000
97.067 Homeland Security Grant Program $70,795
93.043 Special Programs for the Aging, Title Iii, Part D, Disease Prevention and Health Promotion Services $16,530