Finding 36130 (2022-003)

Significant Deficiency
Requirement
P
Questioned Costs
$1
Year
2022
Accepted
2023-09-05
Audit: 33604
Organization: Vermilion County (IL)

AI Summary

  • Core Issue: The County overclaimed $7,125 in COVID-19 funding due to errors in summarizing allowable costs.
  • Impacted Requirements: Internal controls under Uniform Grant Guidance (2 CFR 200.303) were not effectively maintained, leading to inaccurate reporting.
  • Recommended Follow-up: The County should improve its cost allocation procedures and ensure formal documentation of reviews for Federal program reporting.

Finding Text

Criteria or specific requirement: Uniform Grant Guidance (2 CFR 200.303) requires nonfederal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal laws, regulations, and program compliance requirements. Effective internal controls should include ensuring that supporting calculations are accurate. Condition: The County made errors in its support summarizing/reconciling its allowable costs, when reporting the funds it spent under COVID-19 State and Local Fiscal Recovery Funds, overclaiming $7,125 cumulatively during the fiscal year. In addition, there is no formal documentation of the review being completed. Questioned costs: $7,125 Context: The County made errors on the amounts reported in 4 out of 4 reports tested, cumulatively overclaiming $7,125 during the fiscal year. Cause: Costs were paid accurately to employees and vendors, but, incorrectly allocated and charged to the grant due to adjustments/allocations made in subsequent periods. Effect: May result in unallowable costs being charged to Federal programs. Repeat finding: No. Recommendation: We recommend the County review its procedures relative to allocating costs and reviewing support provided for reporting to Federal programs.

Corrective Action Plan

2022-003 Errors in Support Summarizing/Reconciling Allowable Costs in Reporting and No Formal Documentation of Review of Reports Recommendation: We recommend the County review its procedures relative to allocating costs and reviewing support provided for reporting to Federal programs Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County will keep reporting records for detailed documentation of expenses, along with quarterly filing reports to ensure balancing of all Federal Reporting to New World Name(s) of the contact person(s) responsible for corrective action: Larry Baughn, Board Chairman Planned completion date for corrective action plan: Quarterly Reporting ending March 31, 2023.

Categories

Questioned Costs Allowable Costs / Cost Principles

Other Findings in this Audit

  • 36129 2022-002
    Significant Deficiency Repeat
  • 612571 2022-002
    Significant Deficiency Repeat
  • 612572 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $3.60M
93.268 Immunization Cooperative Agreements $202,394
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $181,240
16.738 Edward Byrne Memorial Justice Assistance Grant Program $129,593
93.069 Public Health Emergency Preparedness $38,649
97.042 Emergency Management Performance Grants $32,400
16.575 Crime Victim Assistance $30,000
17.258 Wia Adult Program $25,686
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $14,422
66.605 Performance Partnership Grants $11,905
10.572 Wic Farmers' Market Nutrition Program (fmnp) $1,000