Finding 370062 (2021-001)

Finding Criteria The Organization is responsible for ensuring direct costs and payroll costs charged to the program are for allowable costs and activities, posted to correct period, proper documentation is retained and pay rates are properly approved. Conditions and Context The Organization was unable to provide documentation for two employees rates of pay. The two employees impacted four of the 42 transactions tested. Effect The Organization did not have proper documentation or processes in place to ensure payroll rate records were appropriately maintained. Recommendation We recommended that the Organization review and modify as necessary internal policies and procedures related to payroll documents in wed requirements contained in Government Auditing Standards.