Auditor?s Recommendations: The Organization should communicate the compliance requirements for staff involved in the distribution of funds to sub-recipients. The staff should conduct the required procedures to monitor the use of funds, check status of programs and obtain regular updates sufficient to satisfy themselves regarding the appropriate use of funds in accordance with the requirements of the federal award and any related contracts. Response: Finance Director, Richele Center, will update the finance policies with the procurement policy including a section concerning Federal Awards. This new section will include guidance for Budget Managers requiring them to create a system of monitoring the appropriate use of funds for each project or sub recipient based on specific federal award. Budget Managers will be responsible for creating and implementing a timeline, and procedures sufficient to ensure their confidence that the funds are being used appropriately based on the contract. Budget Managers will provide documentation of monitoring to Finance Director, Richele Center, for auditing purposes. Timing of Remediation: This updated policy will be completed by the Finance Director, Richele Center by March 23, 2023.