Finding Text
2022-002: Significant Deficiency Emergency Solutions Grant Program ? 14.231 ? Allowable Costs / Activities Criteria The ?Basic Guidelines? section of 2 CFR Part 200, Subpart E Section 200.403, requires charges to federal awards to be necessary and reasonable for the performance of the federal award and be allocable thereto under these principles. Condition The Organization paid more than the invoice amount for one transaction. Cause The Organization did not have sufficient procedures in place to ensure that only necessary and reasonable costs were charged to this program. Effect The Organization charged costs to this federal program that were not necessary and reasonable for this federal program. Questioned Costs $4,532 Context A sample of 5 transactions were selected for testing this federal program to determine if the finding issued in the prior year has been resolved. For one transaction tested, the amount paid exceeded the invoice amount due to oversight. Repeat Finding Yes Recommendation The Organization should implement procedures to ensure that only necessary, reasonable costs and incurred costs are charged to the program. Views of Responsible Officials and Planned Corrective Actions The Organization agrees with the recommendation and will implement immediately.