Finding Text
2023-001 – Payroll and Fringe Benefit Charges Finding Type. Immaterial Noncompliance/Significant Deficiency in Internal Control over Compliance (Activities Allowed and Unallowed, and Allowable Costs/Cost Principles). Program. Research and Development Cluster; U.S. Department of Health and Human Services; ALN 93.226; Award Numbers 5U18HS027954-02 and 5U18HS027954-03. Criteria. The Uniform Guidance (§200.430) requires charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Condition. The Institute has self-reported one individual that was working on the research and development cluster that had impermissible time charged to the grant for salaries and fringes. Cause. This condition appears to be the result of inadequate monitoring and review of time keeping. Effect. As a result of this condition, the Institute did not fully comply with the Uniform Guidance applicable to the above noted grant. Questioned Costs. Costs that were questioned were $175,254 for 2023. As this matter was detected by Institute management during 2023, the total amount includes $109,536 related to the 2022 year. Recommendation. It is our understanding that the Institute has already enhanced its practice facilitator oversight and management protocols by requiring check-in calls with participating clinics to verify practice facilitator engagement. It has also provided employees with compliant timekeeping and employee reimbursement training in 2023. View of Responsible Officials. Management agrees with the finding and has prepared a corrective action plan.