Finding Text
Criteria or specific requirement: Uniform Guidance § 200.430(g) 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. These records must: (i) Be supported by a system of internal control that provides reasonable assurance that the charges are accurate, allowable, and properly allocated. Condition: 11 of the 26 payroll transactions samples were improperly calculated. CLA and the Organization could not recalculate the amount charged to the grant either due to error or lack of documentation. Questioned costs: Undeterminable. Context: 11 of the 26 payroll transactions samples were improperly calculated. CLA and the Organization could not recalculate the amount charged to the grant either due to error or lack of documentation. Cause: Policies and procedures were not in place to properly calculate allocation of wages and salaries charged to the grant. Effect: The failure to properly calculate allocation of wages and salaries charged to the grant may lead to unsupported personnel costs being charged to federal awards, potentially resulting in questioned costs, compliance findings, repayment of federal funds. Repeat finding: No. Recommendation: We recommend that the Organization implements policies and procedures to ensure appropriate allocation calculation is used and retains support for calculation. Views of responsible officials: There is no disagreement with the audit finding.