Finding 1227749 (2025-005)

Finding No. 2025‐005: Allowable costs – Control deficiency in internal control over compliance. 93.940 HIV Prevention Activities Health Department Based Criteria: In accordance with Section 200.430 of the Uniform Guidance, charges for personnel expenses using federal awards must be supported by a system of internal control that provides reasonable assurance that charges are accurate, allowable and properly allocated. Condition: During our review of personnel expenses, we noted that for 4 out of 8 sampled personnel costs, we were unable to obtain a signed and properly approved employee timesheet. Cause: The Organization failed to ensure that employee timesheets were properly reviewed and approved. Effect: Lack of properly reviewed and approved timesheets could result in improper costs being charged and allocated to the grant. Questioned costs: None. Recommendation: Management should review the current procedures and the requirements of Section 200.430 and implement changes where necessary to ensure personnel costs are charged in accordance with Section 200.430 and that the expenses are supported by properly approved employee timesheets. Management’s Response: See corrective action plan.