Frida Kahlo Community Organization concurs with the finding and acknowledges the need to strengthen its procedures for documenting, approving, and monitoring the allocation of salary costs among federal awards, other grants, and organizational activities. The Organization intends to engage a qualified independent third-party consultant with experience in federal grant compliance, payroll allocation, and the Uniform Guidance. The consultant will assist management in evaluating existing payroll-allocation practices and developing and implementing a formal, documented process to support compliance with applicable federal award requirements. With the assistance of the third-party consultant, the Organization will undertake the following corrective actions: 1. Develop a written payroll-allocation policy establishing how salary and related benefit costs will be allocated among federal awards, other grants, and organizational activities based on the work performed. 2. Implement a time-and-activity documentation process that supports compensation charged to federal awards and reflects employees’ total compensated activities, including the distribution of time among applicable grants and other cost objectives. Employees will be required to document their activities at established intervals.