FAC Explorer

Finding 392068 (2023-001)

Significant Deficiency
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2024-04-02
Audit: 302192
Organization: Center for Workforce Inclusion, Inc. (MD)
Auditor: Gorfine Schiller & Gardyn P A

AI Summary

  • Core Issue: CWI failed to submit the fourth quarter financial report on time, leading to inaccurate financial data and unnecessary fund returns.
  • Impacted Requirements: Quarterly financial reports must be submitted within 45 days, using the correct format and including cumulative data from the grant's start.
  • Recommended Follow-Up: Ensure timely reconciliation of accounts and adherence to reporting deadlines to prevent future discrepancies and fund mismanagement.

Finding Text

ETA 9130, Financial Report (OMB No. 1205-0461) – All ETA grantees are required tosubmit quarterly financial reports for each grant award they receive. Reports are required to beprepared using the specific format and instructions for the applicable program(s); in this case, OlderWorker Program. Reports are due 45 days after the end of the reporting quarter. Financial data isrequired to be reported cumulatively from grant inception through the end of each reporting period. For the year ended June 30, 2023, the fourth quarter financial report information was not reported with final financial information. Accounts were not reconciled timely. As a result, CWI will refile the report and has returned money that they should not have received. There was $46,111,600 requested in drawdowns from the U.S. Department of Labor butsubsequent to year end there was $68,477 returned after the financial records were completed. Totalexpenditures of federal awards totaled $46,043,123.

Corrective Action Plan

For the year ended June 30, 2023 closing, CWI transitioned to newaccounting software. As part of the transition, we discovered an additional reconciling item after thefourth quarter financial information was submitted. We have modified our reconciliation proceduresfor the closing. Given our prior audit reports since the year ended June 30, 2015, did not have anyfindings, we believe this is an isolated incident resulting from the accounting software transition.

Categories

Cash Management Reporting

Other Findings in this Audit

  • 968510 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.699 Partnership Agreements $2.43M
15.011 Experienced Workers Support Services Activities (b) $331,573
15.682 Experienced Services (b) $202,071
66.508 Senior Environmental Employment Program $110,701
17.235 Senior Community Service Employment Program $58,004
10.912 Environmental Quality Incentives Program $43,429
10.924 Conservation Stewardship Program $38,434
10.072 Wetlands Reserve Program $26,301