Finding Text
Statement of condition: One of the expenditures reported on the PRF Reporting Portal for Period 5 and applied toward the award receipts was for a duplicate expenditure that had already been paid to the vendor, reported and applied towards the award receipts. Therefore, the same expenditure was paid and accounted for twice within the PRF Reporting Portal.
Criteria: The Association is responsible for accurate reporting in the PRF Reporting Portal and ensuring necessary and reasonable costs are applied to the award in order to be in compliance with allowable activities, allowable costs, and reporting.
Cause of condition: The procedure of review and approval by appropriate personnel and evidence by personnel sign off is in place to determine necessary and reasonable costs are apllied for compliance with allowable activities and allowable costs. However, the Association did not detect a duplicate expenditure in the review and approval process.
Effect of condition: During testing, the Association proveded the same supporting invoice for two expenditures. The invoice was for $63,524 and two checks of $63,524 were paid to the vendor and applied towards receipts of this award. This resulted in questioned cost of $63,524 for the second check applied towards the award.
Context: For the Provider Relief award, the detailed listing of 15 invoices that were reviewed and approved supporting the expenditures reported within the PRF Reporting Portal for Period 5 included one invoice listed twice. We tested 15 of the 15 invoice population for allowable activities and allowable costs. Applying the same invoice twice is an unallowable activity and not an allowable cost due to not being necessary and reasonable for performance of award.
Recommendation: When performing the internal control of review and approval, the appropriate personnel approving should ensure that invoices have not been duplicated before payment and when reporting expenditures towards the award.
Views of responsible officials and planned corrective actions: The Association agrees with the finding and will adopt the recommendation however there were additional expenditures during Period 5 that would have been in compliance with program allowable activities and allowable costs if selected for reporting in the PRF Reporting Portal.