Finding Text
Federal Agency: National Science Foundation Federal Program Title: Research and Development Cluster Assistance Listing Number: 47.050 Award Period: June 1, 2024 to May 31, 2025 Type of Finding: • Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Macalester’s policy requires that suspension and debarment checks be performed and documented before issuing payments of $25,000 or greater to ensure compliance with federal grant requirements. Condition: During our review of grant disbursements, we noted that the Grants Accountant does not have formal documentation to demonstrate that a suspension and debarment check was completed prior to making payments of $25,000 or more. Questioned Costs: N/A Context: For two of our selected transactions, the Grants Accountant could not provide documentation to support the date suspension and debarment checks were verified. Cause: The absence of formal documentation suggests that either the check was not performed or was performed but not properly documented. Effect: Failure to document suspension and debarment checks could result in noncompliance with federal regulations and institutional policy, increasing the risk of disallowed costs and potential reputational or financial consequences. Repeat Finding: No Recommendation: We recommend that the Grants Accounting team implement a control to ensure that suspension and debarment checks are both performed and formally documented prior to processing payments of $25,000 or more. Views of Responsible Officials: There is no disagreement with the audit finding.