Finding 24103 (2022-001)

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Requirement
L
Questioned Costs
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Year
2022
Accepted
2023-02-16
Audit: 21132
Organization: Alabama Technology Network (AL)
Auditor: Forvis LLP

AI Summary

  • Core Issue: FFATA reporting was not submitted for three subawards totaling $450,000 during fiscal year 2022.
  • Impacted Requirements: Recipients must report subawards of $30,000 or more to the FSRS as mandated by the Transparency Act.
  • Recommended Follow-Up: Alabama Technology Network should create procedures to ensure annual compliance with FFATA reporting requirements.

Finding Text

Criteria: Under the requirements of the Federal Funding Accountability and Transparency Act (FFATA) (Pub. L. No. 109-282), as amended by Section 6202 of Pub. L. No. 110-252, hereafter referred as the ?Transparency Act? that are codified in 2 CFR Part 170, recipients (i.e., direct recipients) of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Condition: FFATA reporting was not prepared or submitted during fiscal year 2022. Context: There were three subawards that totaled $450,000 that were not reported. Cause: Alabama Technology Network (ATN) follows the guidance outlined in their award letter. As there was no specific provision regarding FFATA reporting included in the award letter, ATN was not aware of the requirements of FFATA reporting. Effect: Failure to complete required reporting can result in reduced funding allocated to ATN. Questioned Costs: None Repeat Finding: No Recommendation: We recommend that the Alabama Technology Network establish procedures to ensure FFATA reporting is completed on an annual basis as required.

Corrective Action Plan

Corrective Action Plan Manufacturing Extension Partnership Year-Ended September 30, 2022 Finding #2022-001: Type of Finding: Noncompliance Responsible Person Joey Massey, Director of MEP Implementation Date January 30, 2023 Views of responsible officials and planned corrective actions: ATN agrees with the finding and recommendation. As a result, ATN immediately submitted the FY22 Federal Funding Accountability and Transparency Act (FFATA) subawards in the FFATA sub-award reporting system (FSRS). Furthermore, ATN will implement procedures to ensure subawards will be reported in the FSRS system on a timely basis as required hereafter.

Categories

Subrecipient Monitoring Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
11.611 Manufacturing Extension Partnership $2.09M
23.002 Appalachian Area Development $14,400