Finding 1236553 (2025-002)

Payroll Timesheet Approvals Criteria: Control policies require employee timesheets supporting payroll charged to the federal award be reviewed and approved by the Program Administrator prior to processing payroll. This approval is a key control to ensure payroll changes to federal programs are accurate, properly supported, and in accordance with applicable cost principles and grant terms. Condition: During testing of payroll, 4 out of 37 timesheets (11%) tested did not contain evidence of required supervisory review and approval. Cause: Management indicated the Program Administrator was not present in the office at the time the approval was needed. There is not backup personnel assigned to complete this task when the Program Administrator is away. Effect or Potential Effect: There is an increased risk that payroll costs charged to the federal program may be inaccurate, unsupported, or not in accordance with federal requirements and entity policies. Questioned costs: None. Identification as a repeat finding: This is not a repeat finding. Recommendation: Management should assign the appropriate personnel to approve timesheets when the Program Administrator is unable to do so. Views of responsible officials: As detailed in the Corrective Action Plan, management has agreed to the finding and recommendations noted above.