Finding 25262 (2022-001)

Material Weakness
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-02-08
Audit: 23379
Organization: Women’s Advocates Inc. (MN)

AI Summary

  • Core Issue: The organization lacks a process to review or approve employee time and effort charged to the grant.
  • Impacted Requirements: This violates 2 CFR 200.430, which mandates accurate records and internal controls for salary and wage changes.
  • Recommended Follow-Up: Implement internal controls to ensure timely review and approval of time and effort documentation.

Finding Text

Federal Agency: Department of Justice Federal Program Name: Crime Victim Services 2022 Assistance Listing Number: 16.575 Pass-Through Agency: Minnesota Office of Justice Programs Pass-Through Numbers: A-CVS-2022-WOMADV-021 Award Period: 10/1/2021 ? 9/30/2023 Type of Finding: ? Material Weakness in Internal Control ? Other Matters Criteria: 2 CFR 200 ?200.430 requires that changes to Federal awards for salaries and wages must be based on records that accurately reflect work performed. These records must be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated. Condition: The Organization did not have a process to review or approve the time and effort of employees charged to the grant. Context: No documentation of time and effort approval was kept the full fiscal year. Cause: Internal control procedures were not in place to review and approve time and effort for personnel. Effect: When internal controls are not in place over payroll charges, there is increased risk that payroll allocations may be incorrect. Repeat Finding: No. Recommendation: The Organization should implement internal controls to ensure that time and effort is reviewed on a timely basis. View of Responsible Officials: Management is in agreement with this audit finding.

Corrective Action Plan

2022-001 Crime Victim Services - Assistance Listing No. 16.575 Recommendation: The Organization should implement internal controls to ensure that time and effort is reviewed on a timely basis. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Women's Advocates has systematized time and effort within the payroll system whereby employees and their supervisors approval timecards with the appropriate grant coding. Name(s) of the contact person(s) responsible for corrective action: Yulanda Williams Planned completion date for corrective action plan: 1/23/2023

Categories

Allowable Costs / Cost Principles Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 25263 2022-002
    Material Weakness
  • 601704 2022-001
    Material Weakness
  • 601705 2022-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
16.575 Crime Victim Assistance $729,152
21.027 Coronavirus State and Local Fiscal Recovery Funds $66,000
14.195 Section 8 Housing Assistance Payments Program $42,641
10.558 Child and Adult Care Food Program $22,773
14.231 Emergency Solutions Grant Program $17,040