MANAGEMENT’S CORRECTIVE ACTION PLAN 2019-004 Allowable Costs Federal Program: Aging Cluster – 93.044/93.045/93.053 Criteria: Per 7 CFR Section 200.302 (b)(4) the Organization is required to maintain records that identify adequately the source and application of funds for federally-funded activities. These records must contain information pertaining to Federal awards, authorizations, financial obligations, unobligated balances, assets, expenditures, income and interest and be supported by source documentation. Condition: During our testing, we noted 2 instances out of 18 where expenses did not have proper approval on invoices. Questioned Costs: None Context: 18 expenses were selected during 2019 and we noted 2 instances of noncompliance. The sample is a statistically valid sample. Effect: An ineffective control system related to the review and approval of grant expenses. Repeat finding: This is not a repeat finding. Recommendation: The Organization should implement the appropriate controls to ensure all expenses are individually reviewed and approved by appropriate personnel. Views of responsible officials and planned corrective actions: The Finance & Administrative Director will implement an electronic workflow for expense review and approval by staff, supervisors, and directors as necessary. The process will be approved by the President & CEO. Individuals responsible for corrective action: Josette Shuey, Finance & Administrative Director Anticipated Completion Date: July 1, 2021