Finding Text
Name: Airport Improvement Program, Infrastructure Investment and Jobs Act Programs, and COVID-19 Airport Programs; ASL#: 20.106; Federal Grantor: U.S. Department of Transportation; Pass Through Entity: State Department of Transportation; Award No.: 3-06-0193-017, 3-06-0193-019, 3-06-0193-020, 3-06-0193-021; Year: 2024/2025; Compliance Requirement: Allowable Costs/Cosst Principles; Criteria: According to 2CFR 200.430(i)(1) (Standards for Documentation of Personal Expenses), charges to Federal Awards for salaries and wages must be based on records that accurately reflect the work performed. For employees that work on multiple activities or cost objectives (e.g., FAA grant and non-grant activities), documentation must support the distribution of their time.; Condition: During testing of payroll expenditures, we reviewed the one employee’s time that was charged to the FAA grant (ALN 20.106). We noted that the City did not maintain itemized, signed timesheet detailing the specific hours worked on FAA project tasks versus other projects or administrative duties.; Cause: The City did not have established control procedures to ensure that employees working on multiple projects maintained detailed, itemized timesheets tracking time to specific grant and non-grant projects.; Effect: The City is not in compliance with 2CFR 200.430. The lack of proper documentation results in questioned costs, as the federal program may have been charged for time spent on non-federal activities.; Questioned Cost: $9,004.46 (Total payroll charged to 20.106 for the sampled employee during the period); Context: Our sample testing included the payroll charged to the grant for the one employee included in the payroll expenditures for the grant.; Repeat Finding: This is not a repeat finding.; Recommendation: We recommend that the City implement a reporting system that requires all employees paid with federal funds to complete itemized, signed timesheets detailing the specific hours worked on each grant or project on a daily or weekly basis. These timesheets must be reviewed and approved by a supervisor with firsthand knowledge of the work performed.; Views of Responsible Officials and Planned Corrective Action Plan: Refer to separate Management’s Corrective Action Plan for views of responsible officials and management’s responses.