Finding Text
Section III – Major Federal Awards Programs – Findings and Questioned Costs (Cont.) Finding 2024-010: Cash Management - Inadequate Policies for Drawdowns, Program Income, and Reconciliations (Material Weakness) Federal Program : Grants for Transportation of Veterans in Highly Rural Areas Assistance Listing Number : 64.035 Criteria: 2 CFR 200.305 requires documented procedures for cash management, including drawdowns, program income usage, and reconciliation processes. Condition: The Center does not have comprehensive written policies governing drawdowns, program income application, and required reconciliations. Cause: Noncompliance with Federal cash management and program income requirements may result in questioned costs or delayed reimbursements. Effect: Late submission constitutes noncompliance with federal regulations and may delay future federal funding or result in additional oversight. Recommendation: Management should develop and adopt formal written policies detailing drawdown procedures, program income usage, and reconciliation requirements. Repeat Finding: This is not a repeat finding.