Finding 375997 (2019-009)

Material Weakness
Requirement
C
Questioned Costs
-
Year
2019
Accepted
2024-03-13

AI Summary

  • Answer: Management previously paused fund drawdowns for 10 months due to retained funds.
  • Trend: New management has implemented internal controls to improve compliance with federal regulations.
  • List: Ensure SF-270 submissions and proper documentation for all expenses moving forward.

Finding Text

2019 Management retained the funds in lieu of redeposit resulting in the ACM$ drawdown being halted for the impacted award for 10 months before resuming draw downs. New 2023 Management has put internal controls in place with SF-270 submission for all drawdowns and source backup for all allowable expenses and procedures to ensure 2 CFR Part 200.305 compliance.

Corrective Action Plan

CUAHSI consider this finding resolved. A deferred income entry of $1.233M from September 24th, 2020 was shared by the auditors with CUAHSI's current Executive Director on June 19th, 2023 and CUAHSI immediately investigated what had transpired, discovering an advanced draw was performed by prior CUAHSI staff. This information was immediately shared with the auditors. During the week of June 26th, 2023, the non-compliance was reported to the Executive Committee of the Board of Directors and shared verbally with NSF, and separately with three other NSF employees during a virtual meeting on July 14th, 2023. The non-compliance was shared more widely with additional NSF staff in writing on August 8th, 2023. As covered in the corrective action to 2019-003, CUAHSI implemented the drawdown procedure as documented in CUAHSI's Federal Grant Management Policies and Procedures Manual with two-tiered preparation and review to ensure approval is obtained from the Prime funder for working capital advances. CUAHSI also completed a return of funds from two approved advances drawn on September 25th, 2023 within a reasonable timeframe (October 10, 2023 for the first payment and November 27th, 2023 for the second payment).

Categories

Cash Management

Other Findings in this Audit

  • 375989 2019-001
    Material Weakness
  • 375990 2019-002
    Material Weakness
  • 375991 2019-003
    Material Weakness
  • 375992 2019-004
    Material Weakness
  • 375993 2019-005
    Material Weakness
  • 375994 2019-006
    Material Weakness
  • 375995 2019-007
    Material Weakness Repeat
  • 375996 2019-008
    Material Weakness
  • 375998 2019-010
    Material Weakness
  • 375999 2019-011
    Material Weakness
  • 952431 2019-001
    Material Weakness
  • 952432 2019-002
    Material Weakness
  • 952433 2019-003
    Material Weakness
  • 952434 2019-004
    Material Weakness
  • 952435 2019-005
    Material Weakness
  • 952436 2019-006
    Material Weakness
  • 952437 2019-007
    Material Weakness Repeat
  • 952438 2019-008
    Material Weakness
  • 952439 2019-009
    Material Weakness
  • 952440 2019-010
    Material Weakness
  • 952441 2019-011
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
47.050 Geosciences $1.45M
47.080 Office of Cyberinfrastructure $80,192
47.083 Integrative Activities $28,517
47.079 Office of Internal Science and Engineering $13,688
47.070 Computer and Information Science Engineering $9,122
47.070 Computer and Information Science and Engineering $4,346