Finding 1215440 (2025-002)

Material Weakness Repeat Finding
Requirement
H
Questioned Costs
-
Year
2025
Accepted
2026-05-22
Audit: 402060
Organization: New York Blood Center, Inc. (NY)

AI Summary

  • Core Issue: A cost of $96.00 was charged to a federal grant outside the allowed performance period.
  • Impacted Requirements: Compliance with 2 CFR Section 200.1, which mandates that costs must be incurred within the federal award period.
  • Recommended Follow-Up: Implement a review process for costs incurred, ensuring they fall within the performance period, and retain evidence of this review.

Finding Text

Federal Agency: U.S. Department of Health and Human Services Federal Program Title: Diabetes, Digestive, and Kidney Diseases Extramural Research Assistance Listing Number: 93.847 Award Period: 7/1/2023 – 6/30/2025 Type of Finding: - Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: 2 CFR Section 200.1 states that charges to Federal awards must relate to costs incurred within the Federal award period of performance. Condition: During our testing of costs charged towards the end of a grant, we noted an instance where a cost incurred was outside of the period of performance. Questioned costs: $96.00 Context: We noted 1 of the 48 tested costs related to period of performance was incurred outside of the Federal award period of performance. Cause: The cost charged to the grant was not thoroughly reviewed to ensure the costs was incurred within the period of performance. Effect: $96.00 charged to grant outside of the period of performance. Repeat finding: No Recommendation: We recommend that the Organization reviews the dates of costs incurred before charging costs to their federal award and that evidence of this review is retained. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Diabetes, Digestive, and Kidney Diseases Extramural Research (ALN 93.847) Recommendation: We recommend that the Organization reviews the dates of costs incurred before charging costs to their Federal award and that evidence of this review is retained. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management has implemented procedure enhancements to its review and processing of grant-related costs to better detect and prevent costs being charged outside of the period of performance. Including: the period charged for costs is based on expected receipt date of the goods or services being charged; a threestep/tiered review process of costs to be charged prior to the processing of such costs; a periodic review of the periods in which costs were charged for proper period alignment. Name of the contact person responsible for corrective action: Mahtab Khan Planned completion date for corrective action plan: May 2026

Categories

Period of Performance Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1215431 2025-001
    Material Weakness Repeat
  • 1215432 2025-001
    Material Weakness Repeat
  • 1215433 2025-001
    Material Weakness Repeat
  • 1215434 2025-001
    Material Weakness Repeat
  • 1215435 2025-001
    Material Weakness Repeat
  • 1215436 2025-001
    Material Weakness Repeat
  • 1215437 2025-001
    Material Weakness Repeat
  • 1215438 2025-001
    Material Weakness Repeat
  • 1215439 2025-001
    Material Weakness Repeat
  • 1215441 2025-003
    Material Weakness Repeat
  • 1215442 2025-003
    Material Weakness Repeat
  • 1215443 2025-003
    Material Weakness Repeat
  • 1215444 2025-003
    Material Weakness Repeat
  • 1215445 2025-003
    Material Weakness Repeat
  • 1215446 2025-003
    Material Weakness Repeat
  • 1215447 2025-003
    Material Weakness Repeat
  • 1215448 2025-003
    Material Weakness Repeat
  • 1215449 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.847 DIABETES, DIGESTIVE, AND KIDNEY DISEASES EXTRAMURAL RESEARCH $153,034
93.839 BLOOD DISEASES AND RESOURCES RESEARCH $105,563
93.242 MENTAL HEALTH RESEARCH GRANTS $80,417
93.103 FOOD AND DRUG ADMINISTRATION RESEARCH $77,426
93.867 VISION RESEARCH $58,498
93.368 21ST CENTURY CURES ACT - PRECISION MEDICINE INITIATIVE $17,454
93.855 ALLERGY AND INFECTIOUS DISEASES RESEARCH $1