Finding 380642 (2022-004)

Significant Deficiency
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2024-03-15
Audit: 295391
Auditor: Sb & Company LLC

AI Summary

  • Core Issue: Inadequate controls over the payroll process led to timesheets not being reviewed or approved.
  • Impacted Requirements: Hourly employees' timesheets lack necessary supervisor review, risking inaccurate payroll reporting.
  • Recommended Follow-Up: Enhance internal controls to ensure all timesheets receive proper review and approval from supervisors.

Finding Text

Criteria: Wicomico County Housing Authority (the "Authority") should maintain appropriate controls over the payroll process to prevent or detect inaccurate or unsupported costs. Condition: The Authority's controls over the payroll process were not properly implemented, resulting in employees' timesheets not being reviewed or approved. Context: The Authority did not obtain a supervisor's review and approval of timesheets for hourly employees. Effect: Payroll could be misstated for hourly employees claiming hours or overtime worked and/or for employees paid a salary or wage that is unapproved by the Board. Cause: The Authority's internal controls over the payroll process were not appropriately implemented surrounding timesheet review and approval. Auditor's Recommendation: The Authority should review and enhance its internal controls to ensure every timesheet is reviewed and approved by the hourly employee's supervisor.

Categories

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Other Findings in this Audit

  • 380637 2022-001
    -
  • 380638 2022-002
    Material Weakness Repeat
  • 380639 2022-003
    Material Weakness Repeat
  • 380640 2022-004
    Significant Deficiency Repeat
  • 380641 2022-001
    -
  • 380643 2022-001
    -
  • 380644 2022-004
    Significant Deficiency
  • 957079 2022-001
    -
  • 957080 2022-002
    Material Weakness Repeat
  • 957081 2022-003
    Material Weakness Repeat
  • 957082 2022-004
    Significant Deficiency Repeat
  • 957083 2022-001
    -
  • 957084 2022-004
    Significant Deficiency
  • 957085 2022-001
    -
  • 957086 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $1.80M
14.872 Public Housing Capital Fund $547,255
14.850 Public and Indian Housing $320,300