Finding Text
Lack of Internal Control over Reporting
Federal Agency: U.S. Department of Homeland Security, U.S. Department of Commerce, U.S. Department of the Interior.
Federal Program: Research and Development Cluster
ALN: 97.OPA, 11.427, 11.472, 15.654 and 15.945
Award Numbers: Coast Guard Authorization Act of 1996, 23-10-01, 22-10-13, 23-10-03, 20-10-04, NA20NMF4270158, NA17NMF4720018, NA22NMF4720078, NA22NMF4720201, NA19NMF4720069, P22AC01027
Award Years: None, 2023, 2022, 2023, 2020, 2020, 2017, 2022, 2022, 2019, and 2022, respectively
Type of Finding: Significant deficiency in internal control over compliance and noncompliance.
Criteria: Title 2 CFR 200.303 requires the Center to establish and maintain effective internal control over the federal award that provides reasonable assurance that the Center is managing the federal award in compliance with federal statutes, regulations, and terms and conditions of the grant awards.
Title 2 CFR 170 states federal award recipients are required to report each subaward that obligates $30,000 or more in federal funds. This information must be reported no later than the end of the month following the month in which the obligation was made and include information about each obligating action in accordance with submission instructions.
Condition and Context: FY23 Federal Funding Accountability and Transparency Act (FFATA) subaward reporting for Long-Term Monitoring & Herring Research & Monitoring, Gulf Watch Alaska Research and Monitoring, and Sustainable Mariculture Development Programs did not occur for subawards.
FFATA requires information on federal awards to be made available to the public via a single searchable website (www.usaspending.gov). The FFATA Subaward Reporting System (FSRS) is the reporting tool federal awardees use to capture and report subaward regarding first-tier subawards.
Transactions Tested Subaward Not Reported Report Not Timely Subaward Amount Incorrect Subaward
Missing Key Elements
9 9 0 0 0
Dollar Amount of Tested Transactions Subaward Not Reported Report Not Timely Subaward Amount Incorrect Subaward
Missing Key Elements
$2,190,391 $2,190,391 $0 $0 $0
Cause: Lack of internal control over reporting.
Effect: Failure to comply with FFATA reporting requirements reduces transparency, impairs decision-making, and may potentially jeopardize future federal funding.
Questioned Costs: None.
Repeat Finding: This is not a repeat finding. We believe this to be a systemic issue.
Recommendation: The Center should develop FFATA reporting policies and procedures to submit subaward award information through FSRS to ensure compliance with FFATA requirements.
Management’s Response: Management agrees with this finding. See Corrective Action Plan.
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