Finding Text
Federal Program: TRIO Cluster Federal Assistance Listing Number: 84.047 Federal Agency: Department of Education Award Year: 2024 Criteria: According to the Uniform Guidance (2 CFR Part 200) and TRIO program regulations, the University is required to maintain internal controls to ensure federal funds are spent on allowable, allocable, and reasonable expenses that directly support the objectives of the program. Any expenditure that does not meet these criteria may be subject to disallowance or repayment. Condition: During testing of expenditures related to the TRIO program, it was observed that documentation supporting approvals of expenditures and indirect costs was not consistently maintained or approved in accordance with the University ’s internal policy and internal controls. Specifically, invoices and indirect cost calculations were not supported by specific/approved requests and calculations and certain invoices were not formally approved. Cause: The lack of approval and formal calculations appear to stem from inadequate oversight of expense approvals or inconsistent documentation practices. In some cases, personnel responsible for financial management may not have received sufficient training or turnover resulted in a lack of documentation retention noting formal approval. Effect: The University did not have proper internal controls to ensure costs were properly approved in accordance with Uniform Guidance. Questioned Costs: None Repeat Finding: No Recommendations: The University should modify its internal controls to ensure proper approval of federal funds. Implement and document an overall quality assurance process including adequate controls to prevent overall noncompliance. Management's Response: Management agrees with the finding. See corrective action plan.