Finding Text
Condition: Written procedures do not specifically address federal funds or the use thereof. Criteria: Compliance requirements for Activities Allowed or Unallowed and Allowable Costs state that the organization must have written polices and control procedures for costs coded to federal awards. Cause: FDNY Foundation employs a small staff of experienced people. Because staff tend to remain employed for longer terms, FDNY Foundation does not find it effective to create extensive written procedures and instead relies on the SKE of the staff. Effect: Noncompliance with Uniform Guidance requirements may make the Foundation ineligible for reimbursement of current year expenditures and for future federal funding. Recommendation: Update the written procedures or create a formal finance manual and specifically address the use of federal funds. Implement a schedule to periodically review and update written procedures.