Finding Text
Federal Agency: Department of Health and Human Services Federal Program Title: Aging Cluster Assistance Listing Number: 93.AGING Federal Award Identification Number and Year: 2101COSSC6-00 - 2021 Pass-Through Agency: Colorado Department of Human Services Pass-Through Number: None provided Award Period: February 1, 2021 ? September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires charges to federal awards for salaries and wages be based on records that accurately reflect the work performed. These records must be supported by a system of internal controls which provides reasonable assurance that the charges are accurate, allowable, and properly allocated. Condition: One hourly employee?s wages was underpaid and were not charged to the grant when compared to the hours per the approved timesheet. Questioned Costs: None Context: For one payroll transaction of five tested, the hourly employee?s gross wages were underpaid and undercharged to the grant by $128 based on four hours that were improperly omitted from final payroll. Cause: Entering payroll into QuickBooks using the approved timesheet for hourly employees is a manual process. For this individual, the timesheet reported 84 hours of regular pay and four hours of paid staff leave. Four regular pay hours were improperly omitted from the hours paid as these were misinterpreted to be the four hours of paid hourly staff leave. Effect: For the June 30, 2022 pay period, the employee was underpaid, and the grant was undercharged a total of $128. Repeat Finding: The finding is a repeat of a finding in the immediately prior year. Prior year finding number was 2021-002. Recommendation: We recommend the Council review its payroll procedures over hourly employees to ensure all hours are properly accounted for by pay code in the final payroll. Views of Responsible Officials: There is no disagreement with the audit finding.