FAC Explorer

Finding 34390 (2022-001)

-
Requirement
C
Questioned Costs
$1
Year
2022
Accepted
2023-06-28
Audit: 32741
Organization: The University of Alabama at Birmingham (AL)
Auditor: Pricewaterhousecoopers LLP

AI Summary

  • Core Issue: UAB failed to remit approximately $50,500 in interest earned on federal advance payments, exceeding the allowable $500 limit.
  • Impacted Requirements: This finding violates 2 CFR section 200.305(b)(9), which mandates annual remittance of excess interest to the US Department of Health and Human Services.
  • Recommended Follow-Up: UAB should implement procedures to ensure timely identification and remittance of interest earned on advanced funds as required by federal regulations.

Finding Text

Finding 2022-001 ? Return of Interest Earned on Advance Payments Cluster: Research & Development Federal Agency: Department of Defense Assistance Listing Program Title and Number: Military Medical Research and Development ? 12.420 Award Name: Beta Blockers for the Prevention of Acute Exacerbations of COPD Award Identifying Number: W81XWH-15-1-0705 Award Year: 2021-2022 Criteria: UAB is subject to cash management compliance requirements pertaining to the use of advanced funds. 2 CFR section 200.305(b)(9) requires that interest earned by non-federal entities other than states on advances of federal funds be remitted annually to the US Department of Health and Human Services, Payment Management System. Up to $500 per year may be kept for administrative expenses. Condition: While testing UAB?s compliance with Cash Management compliance requirements for the R&D cluster, we identified that UAB had earned interest in excess of $500 (approximately $51,000 in total) on funds associated with one of only two advance payment method awards, but that this interest had not been remitted to the PMS system as required. Questioned Costs: $50,500 Cause: Although UAB does have a process to identify and remit interest earned on advanced payment awards in excess of $500, this process was interrupted by both an award extension request and staff turnover. Effect: Interest earned on advanced funds was not returned in a timely manner. Recommendation: The University should establish procedures to ensure that interest earned on advanced funds is identified and returned annually in accordance with 2 CFR section 200.305(b)(9). View of Responsible Officials: Refer to Management?s Corrective Action Plan for management?s view and corrective action plan for the finding described above.

Corrective Action Plan

THE UNIVERSITY OF ALABAMA AT BIRMINGHAM RESPONSE TO THE UNIFORM GUIDANCE AUDIT The following is the University of Alabama at Birmingham?s Response to the audit of Federal programs in accordance with the Uniform Guidance for the year ending September 30, 2022. Finding 2022-001- Return of Interest Earned on Advance Payments Program: Research and Development Cluster Awards: Beta Blockers for the Prevention of Acute Exacerbations of COPD ? 12.420 Management understands the requirement to remit interest earned on advance payments in excess of $500 annually to the Department of Health and Human Services (HHS). Advance payment on awards are uncommon at our institution with only two such awards active during the period under audit. Management acknowledges and agrees with the finding as presented. The Grants and Contracts Department (Department) tracked the monthly interest earned on the advance payment received from the DOD. The department requested clarification from the DOD as to what constitutes ?annually?. There was no clarification provided at the time from DOD, as such the department used the fiscal year-end. During the fiscal year 2022, the award went through a request for an extension which coincided with the award end period. The department elected to hold off on remitting the earned interest until a final resolution on the award extension period was received. The award closeout process would include the remittance interest earned. The award was extended for an additional 12 months, but the interest earned was not remitted timely. The department also experienced turnover of a manager and an accountant during fiscal year 2022, both were actively involved in the maintenance of the award in question. The interest earned has since been remitted to HHS. Management notes that award will end September 29, 2023 with no option to extend. Interest earned will be tracked by the department and remitted with closeout documents. The University of Alabama at Birmingham expects to have this item completed by October 2023. For follow-up questions and information, contact Bernard Mays, University Controller at bmaysjr@uab.edu.

Categories

Questioned Costs Cash Management

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
84.268 Federal Direct Student Loans $158.01M
84.063 Federal Pell Grant Program $23.89M
93.498 Provider Relief Fund $9.24M
93.680 Medical Student Education $6.22M
93.351 Research Infrastructure Programs $6.01M
21.027 Coronavirus State and Local Fiscal Recovery Funds $5.96M
93.184 Disabilities Prevention $3.87M
93.461 Covid-19 Testing for the Uninsured $2.43M
84.425 Education Stabilization Fund $1.59M
93.143 Niehs Superfund Hazardous Substances_basic Research and Education $1.35M
47.049 Mathematical and Physical Sciences $1.33M
93.359 Nurse Education, Practice Quality and Retention Grants $1.27M
93.387 National and State Tobacco Control Program (b) $1.23M
84.334 Gaining Early Awareness and Readiness for Undergraduate Programs $1.22M
84.007 Federal Supplemental Educational Opportunity Grants $1.14M
93.264 Nurse Faculty Loan Program (nflp) $1.01M
84.033 Federal Work-Study Program $1.00M
59.075 Shuttered Venue Operators Grant Program $971,494
93.283 Centers for Disease Control and Prevention_investigations and Technical Assistance $906,953
93.732 Mental and Behavioral Health Education and Training Grants $888,620
84.047 Trio_upward Bound $884,398
84.042 Trio_student Support Services $819,830
12.U01 Contract $811,596
93.247 Advanced Nursing Education Grant Program $808,004
93.107 Area Health Education Centers Point of Service Maintenance and Enhancement Awards $769,327
93.318 Protecting and Improving Health Globally: Building and Strengthening Public Health Impact, Systems, Capacity and Security $749,148
93.877 Autism Collaboration, Accountability, Research, Education, and Support $672,189
93.068 Chronic Diseases: Research, Control, and Prevention $589,834
12.U02 Contract $585,094
93.978 Preventive Health Services_sexually Transmitted Diseases Research, Demonstrations, and Public Information and Education Grants $576,299
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $571,903
47.050 Geosciences $559,660
93.398 Cancer Research Manpower $534,936
93.087 Enhance Safety of Children Affected by Substance Abuse $492,671
93.847 Diabetes, Digestive, and Kidney Diseases Extramural Research $483,556
17.268 H-1b Job Training Grants $481,793
84.305 Education Research, Development and Dissemination $478,731
93.U22 Special Federal Appropriations $472,130
93.U18 Unknown $451,725
93.U23 Special Federal Appropriations $431,931
84.365 English Language Acquisition State Grants $416,947
93.853 Extramural Research Programs in the Neurosciences and Neurological Disorders $415,156
93.084 Prevention of Disease, Disability, and Death by Infectious Diseases $376,479
93.866 Aging Research $369,033
93.624 Aca - State Innovation Models: Funding for Model Design and Model Testing Assistance $362,261
84.325 Special Education - Personnel Development to Improve Services and Results for Children with Disabilities $350,619
93.136 Injury Prevention and Control Research and State and Community Based Programs $327,350
93.135 Centers for Research and Demonstration for Health Promotion and Disease Prevention $323,483
84.217 Trio_mcnair Post-Baccalaureate Achievement $304,743
94.013 Volunteers in Service to America $281,409
93.172 Human Genome Research $279,771
12.U03 Contract $277,938
84.335 Child Care Access Means Parents in School $264,652
93.884 Grants for Primary Care Training and Enhancement $241,750
93.137 Community Programs to Improve Minority Health Grant Program $238,067
93.336 Behavioral Risk Factor Surveillance System $234,064
84.367 Improving Teacher Quality State Grants $224,504
81.112 Stewardship Science Grant Program $220,614
93.059 Training in General, Pediatric, and Public Health Dentistry $210,235
93.879 Medical Library Assistance $206,986
84.066 Trio_educational Opportunity Centers $205,152
93.493 Congressional Directives $142,302
87.U12 Contract $134,677
16.585 Drug Court Discretionary Grant Program $131,446
93.U19 Unknown $127,389
93.686 Ending the Hiv Epidemic: A Plan for America Ryan White Hiv/aids Program Parts A and B (b) $100,000
10.310 Agriculture and Food Research Initiative (afri) $99,108
12.U04 Contract $98,500
84.200 Graduate Assistance in Areas of National Need $96,363
93.658 Foster Care_title IV-E $87,645
93.124 Nurse Anesthetist Traineeships $84,257
93.067 Global Aids $80,832
47.079 Office of International Science and Engineering $78,426
93.U14 Contract $76,324
93.342 Health Professions Student Loans, Including Primary Care Loans/loans for Disadvantaged Students $73,383
12.800 Air Force Defense Research Sciences Program $69,704
93.874 Strengthening the Public Health System in US-Affiliated Pacific Islands (non-Pphf) $64,784
93.145 Aids Education and Training Centers $56,083
93.778 Medical Assistance Program $55,958
12.300 Basic and Applied Scientific Research $55,902
11.020 Cluster Grants $51,940
81.086 Conservation Research and Development $47,417
93.251 Early Hearing Detection and Intervention $47,257
12.U05 Contract $46,236
93.113 Environmental Health $45,765
93.940 Hiv Prevention Activities_health Department Based $45,639
21.019 Coronavirus Relief Fund $45,321
93.173 Research Related to Deafness and Communication Disorders $38,493
20.U09 Contract $37,732
93.918 Grants to Provide Outpatient Early Intervention Services with Respect to Hiv Disease $37,600
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $35,315
16.U08 Contract $35,159
93.865 Child Health and Human Development Extramural Research $34,697
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $34,325
93.632 University Centers for Excellence in Developmental Disabilities Education, Research, and Service $31,869
11.023 Science, Technology, Engineering, and Mathematics (stem) Talent Challenge Program $31,528
45.024 Promotion of the Arts_grants to Organizations and Individuals $30,624
20.215 Highway Training and Education $30,612
77.008 U.s. Nuclear Regulatory Commission Scholarship and Fellowship Program $30,000
84.379 Teacher Education Assistance for College and Higher Education Grants (teach Grants) $29,234
93.315 Rare Disorders: Research, Surveillance, Health Promotion, and Education $28,128
11.454 Unallied Management Projects $27,348
16.560 National Institute of Justice Research, Evaluation, and Development Project Grants $27,016
93.600 Head Start $26,098
93.U20 Unknown $23,833
87.U13 Contract $22,976
47.075 Social, Behavioral, and Economic Sciences $22,519
11.482 Coral Reef Conservation Program $21,985
93.840 Translation and Implementation Science Research for Heart, Lung, Blood Diseases, and Sleep Disorders $21,149
81.089 Fossil Energy Research and Development $19,739
15.645 Marine Turtle Conservation Fund $18,662
93.941 Hiv Demonstration, Research, Public and Professional Education Projects $18,552
12.U06 Contract $18,089
43.008 Education $16,752
93.516 Affordable Care Act (aca) Public Health Training Centers Program $16,270
93.860 Emerging Infections Sentinel Networks $16,008
93.837 Cardiovascular Diseases Research $14,580
93.U15 Contract $12,716
93.153 Coordinated Services and Access to Research for Women, Infants, Children, and Youth $12,215
93.365 Sickle Cell Treatment Demonstration Program $12,104
93.213 Research and Training in Complementary and Integrative Health $11,364
47.074 Biological Sciences $11,189
84.411 Investing in Innovation (i3) Fund $10,008
93.262 Occupational Safety and Health Program $10,000
93.898 Cancer Prevention and Control Programs for State, Territorial and Tribal Organizations $9,964
93.397 Cancer Centers Support Grants $9,846
93.217 Family Planning_services $9,275
47.084 Technology Innovation and Partnerships $7,931
93.286 Discovery and Applied Research for Technological Innovations to Improve Human Health $7,668
47.070 Computer and Information Science and Engineering $7,575
12.U07 Contract $7,254
93.273 Alcohol Research Programs $6,955
93.991 Preventive Health and Health Services Block Grant $6,780
93.U16 Contract $5,702
93.279 Drug Abuse and Addiction Research Programs $4,893
93.110 Maternal and Child Health Federal Consolidated Programs $4,758
10.762 Solid Waste Management Grants $4,750
93.839 Blood Diseases and Resources Research $4,579
93.353 21st Century Cures Act - Beau Biden Cancer Moonshot $4,455
93.433 Acl National Institute on Disability, Independent Living, and Rehabilitation Research $4,337
19.009 Academic Exchange Programs - Undergraduate Programs $4,196
93.434 Every Student Succeeds Act/preschool Development Grants $3,121
93.788 Opioid Str $2,553
23.011 Appalachian Research, Technical Assistance, and Demonstration Projects $2,489
93.431 Networking2save: Cdcs National Network Approach to Preventing and Controlling Tobacco-Related Cancers in Special Populations $2,275
93.121 Oral Diseases and Disorders Research $1,832
93.103 Food and Drug Administration_research $1,813
93.350 National Center for Advancing Translational Sciences $1,775
93.946 Cooperative Agreements to Support State-Based Safe Motherhood and Infant Health Initiative Programs $1,404
20.701 University Transportation Centers Program $1,291
98.001 Usaid Foreign Assistance for Programs Overseas $1,208
93.421 Strengthening Public Health Systems and Services Through National Partnerships to Improve and Protect the Nations Health $1,034
93.859 Biomedical Research and Research Training $950
93.080 Blood Disorder Program: Prevention, Surveillance, and Research $905
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $659
93.994 Maternal and Child Health Services Block Grant to the States $500
64.U11 Contract $454
93.077 Family Smoking Prevention and Tobacco Control Act Regulatory Research $309
93.396 Cancer Biology Research $138
93.325 Paralysis Resource Center $120
93.U17 Contract $92
93.838 Lung Diseases Research $76
16.838 Comprehensive Opioid Abuse Site-Based Program $66
93.989 International Research and Research Training $22
81.049 Office of Science Financial Assistance Program $18
93.322 Csels Partnership: Strengthening Public Health Laboratories $13
84.038 Federal Perkins Loans $0
93.408 Nurse Faculty Loan Program (nflp) Aara $0
93.233 National Center on Sleep Disorders Research $-15
47.076 Education and Human Resources $-22
93.226 Research on Healthcare Costs, Quality and Outcomes $-31
93.361 Nursing Research $-133
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $-151
20.RD Contract $-196
93.867 Vision Research $-229
93.426 Improving the Health of Americans Through Prevention and Management of Diabetes and Heart Disease and Stroke $-249
64.RD Contract $-265
11.609 Measurement and Engineering Research and Standards $-283
93.917 Hiv Care Formula Grants $-333
93.U21 Unknown $-340
93.242 Mental Health Research Grants $-448
93.307 Minority Health and Health Disparities Research $-569
93.310 Trans-Nih Research Support $-569
10.558 Child and Adult Care Food Program $-1,041
12.750 Uniformed Services University Medical Research Projects $-1,169
43.RD Contract $-1,420
93.394 Cancer Detection and Diagnosis Research $-1,661
93.399 Cancer Control $-3,046
12.RD Contract $-3,374
93.817 Hospital Preparedness Program (hpp) Ebola Preparedness and Response Activities $-3,689
47.083 Integrative Activities $-3,960
20.U10 Contract $-4,403
93.393 Cancer Cause and Prevention Research $-4,499
93.395 Cancer Treatment Research $-5,526
93.127 Emergency Medical Services for Children $-5,988
12.910 Research and Technology Development $-6,578
93.846 Arthritis, Musculoskeletal and Skin Diseases Research $-11,141
93.RD Contract $-12,664
93.767 Children's Health Insurance Program $-12,670
93.855 Allergy, Immunology and Transplantation Research $-13,365
93.RD Unknown $-14,099
12.420 Military Medical Research and Development $-45,495
47.041 Engineering $-92,506