Finding Text
Significant Deficiencies 2024-003 - Allowable Costs/Cost Principles: Written Financial Policies Federal Program Information: Department of Transportation - ALN: - 20.500, 20.507, 20.525 & 20.526 - Federal Transit Cluster Criteria: The following CFR(s) apply to this finding: 2 CFR Section 200.302(b), Condition: The Committee has not formally adopted certain required written financial management policies as outlined in the Code of Federal Regulations. Cause: The Committee was not aware of this requirement. Effect: Transactions could occur that did not comply with federal regulations. Identification of Questioned Costs: None identified. Context: The finding was based on requesting the Committee’s written financial policies related to federal compliance and therefore was not the result of a statistical sample. Repeat Finding: This is a repeat finding of 2023-003. Recommendation: The auditor recommends that the Committee obtain an understanding of the required written policies in the Code of Federal Regulations as applicable to its federal programs, create and formally adopt those required policies. Views of Responsible Officials and Corrective Action Plan: See attached Corrective Action Plan.