Finding 1167293 (2025-003)

Material Weakness Repeat Finding
Requirement
B
Questioned Costs
-
Year
2025
Accepted
2025-12-30

AI Summary

  • Core Issue: The Organization lacks documentation for out-of-state travel cost approvals as required by the grant.
  • Impacted Requirements: Payments for out-of-state travel must be pre-approved by the grantor.
  • Recommended Follow-Up: Review and update policies to ensure proper approval and documentation for out-of-state travel costs.

Finding Text

2025-003 Significant Deficiency – Allowable Costs/Cost Principles Information on Federal Programs U.S. Department of Energy – Weatherization Assistance for Low-Income Persons (Passed through from the North Dakota Division of Community Services) - Award #5293-DOE24-30 and 5212-DOEBIL-30 AL# 81.042 Criteria – Per the grant award, payments for out-of-state travel must be approved by the grantor prior to the actual travel undertaken by the recipient. Condition – The Organization does not have documentation of approval for out-of-state travel costs. Cause – Management oversight. Effect or Potential Effect – The Organization charged costs to the grant that had not been approved. Questioned Costs – Immaterial Context – As part of the single audit testing, 40 transactions were selected for testing. One invoice tested was for out-of-state travel costs and there was no documentation of approval for the costs by the grantor. Repeat Finding – This is a new finding. Recommendation – The Organization should review their policies and procedures for out of state travel to ensure approval is being received and documented prior to the travel being undertaken.

Corrective Action Plan

2025-003 Allowable Costs/Cost Principles Contact Person – Lora Papacheck, CEO Planned Corrective Action – Management agrees with the recommendation and will review their policies and procedures to ensure out-of-state travel is approved in advance and documentation is kept supporting the approval. Completion Date – Fiscal year 2026

Categories

Allowable Costs / Cost Principles Significant Deficiency

Other Findings in this Audit

  • 1167294 2025-004
    Material Weakness Repeat
  • 1167295 2025-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
81.042 WEATHERIZATION ASSISTANCE FOR LOW-INCOME PERSONS $680,486
93.569 COMMUNITY SERVICES BLOCK GRANT $450,138
93.568 LOW-INCOME HOME ENERGY ASSISTANCE $384,675
14.239 HOME INVESTMENT PARTNERSHIPS PROGRAM $163,138
64.033 VA SUPPORTIVE SERVICES FOR VETERAN FAMILIES PROGRAM $57,996
97.024 EMERGENCY FOOD AND SHELTER NATIONAL BOARD PROGRAM $7,237