Finding Text
2021-003 Criteria: Uniform Guidance requires that costs must be adequately documented and retained to demonstrate that only costs for allowable activities or allowable costs are charged to federal programs. Documentation should also support that expenditures are incurred during the period of availability and prior to submission for reimbursement.
Condition: For the Child Care Development Fund (CCDF) program, support could not be provided for costs charged to the program to support the allowability of costs and activities and whether the charges were incurred during the appropriate period of performance. Out of the ten transactions tested for this program, adequate supporting documentation could not be provided for six transactions.
For the Self-Governance program, support could not be provided for costs charged to the program to support the allowability of costs and activities and whether the charges were incurred during the appropriate period of performance. Out of the ten transactions tested for this program, adequate supporting documentation could not be provided for five transactions.
For the Relief Fund COVID19 program, support could not be provided for costs charged to the program to support the allowability of costs and activities and whether the charges were incurred during the appropriate period of performance. Out of the 25 transactions tested for this program, adequate supporting documentation could not be provided for 14 transactions.
Cause: The Department did not have adequate internal controls to ensure documentation was maintained to support costs charged to federal programs.
Effect: Certain costs could not be supported as allowable, incurred during the appropriate period of performance, or incurred prior to submission for reimbursement were charged to federal programs.
Questioned Costs: Known questioned costs were $29,104 for the CCDF program, $54,254 the Self-Governance program, $137,575 for the Relief Fund COVID19.
Recommendation: We recommend that management continue to implement additional control processes in order to ensure proper controls are in place and followed.
Tribal Response: Management agrees with this finding.