Finding Text
2023-003 REPORTING ALLOWABLE/ALLOCABLE COSTS
Grantors: U.S Department of Housing and Urban Development
Award Names: Emergency Solutions Grant /Community Development Block Grant /Continuum of Care
Award Year: Various
Award Numbers: Various
Assistance Listing Numbers: 14.231 / 14.228 / 14.267
Criteria: Costs reported and submitted for reimbursement should be based on a cost allocation plan and
agree to the underlying accounting records.
Condition: During our audit testing, we noted cost allocations included on submitted grant reports did
not reconcile directly back to what was allocated in the underlying accounting records (general ledger).
Cause: No individuals at the Center were periodically performing reconciling and other activities which
would have served to ensure the cost allocation plan and underlying accounting records were in line and
consistent with what was being reported to grantors.
Effect: The amount of allocated costs reported and reimbursed by grantors could not be readily traced
back to the underlying accounting records (general ledger).
Questioned Costs: None noted.
Recommendation: The Center should implement controls to ensure all reporting and requests for
reimbursements submitted to grantors reconcile with the underlying accounting records as allocated.
Management’s Views and Corrective Action Plan: Management agrees with this finding and has
outlined its resulting actions in a separately issued Corrective Action Plan.