Finding Text
Condition: Beginning in fiscal year 2023, detailed time cards for salary employees are no longer retained by the Organization's third party payroll service provider. The Organization was not aware of the change in service by the third party payroll service provider. The time cards provide the details of the actual time worked for employees and provide the allocation for time spent on specific grants. Detailed time cards have been retained for hourly employees.
Criteria: As required by the Uniform Guidance Section 200.430 Compensation - personal services, the Organization is to be reimbursed for actual dollars spent. Without the time cards that prove the actual time (dollar value) worked on each grant, there is insufficient evidence to support the salaries allocated to the grant.
Cause: In previous years, the Organization's third party payroll service provider has retained the time cards within its system (electronically). However, during the year ended June 30, 2023, the third party payroll service provider no longer retained the time cards.
Effect: The time cards provide evidence of salaries allocated to the grant.
Auditor's Recommendation: Detailed time cards for salary employees should be retained by the Organization for each pay period under the grant period of performance.
Views of Responsible Officials and Planned Corrective Actions: The Organization will be
retaining detailed time cards for salary employees.