Finding Text
Finding 2024-004 Pass-Through Entity: Federated States of Micronesia National Government Federal Agency: U.S. Department of the Interior Assistance Listing: 15.875 Economic, Social, and Political Development of the Territories Federal Award No.: D23AF00012-01 (Education), D22AF00326-01 (Supplemental Education). Area: Special Tests and Provisions Questioned Costs: $0 Criteria: The terms and conditions of the Compact Sector Education and Supplemental Education Grant awards require annual performance evaluations for grant-funded personnel and retention of those evaluations in personnel files. Condition: For 11 (69%) of 16 personnel records tested, the State did not provide documentation demonstrating that the required annual performance evaluation had been completed and retained. Cause: Controls over completion, monitoring, and retention of personnel evaluations were not operating effectively. Effect: The State did not comply with the personnel-evaluation requirement. The exception did not identify an amount expended or received that was unsupported or unallowable; therefore, no questioned costs are reported. Recommendation: The State should establish an annual evaluation calendar, assign responsibility for monitoring completion, and require supervisory and personnel-office review before evaluations are filed as complete. Identification as a Repeat Finding: 2023-004 View of Responsible Officials: The State’s response and corrective action plan addressing this finding is included in the accompanying corrective action plan.