Finding Text
2023-001 Finding – Internal control over timekeeping compliance Federal Program: Crime Victim Assistance; AL #16.575 Federal Agency: U.S. Department of Justice Award Period: 2023 Identification as a repeat finding This is not a repeat finding. Criteria Management is responsible for the design, implementation, and maintenance of a system of internal control relevant to timekeeping compliance requirements. Statement of condition During our audit, we noted that of the 31 tested timesheets, 1 of the timesheets were not properly approved by employee and management. This represents a significant deficiency in the organization’s internal controls over compliance. Cause Management error in performing responsibilities. Context Discovered during testing of personnel costs. The issue with the organization’s system of internal control over compliance represents a significant deficiency in internal control. The internal control deficiency was discovered as a result of the use of sampling procedures. Effect or potential effect The organization’s timesheets were not properly approved. Questioned costs $0 Recommendation Management should train staff on timesheet procedures. Additionally, management should evaluate whether it would be cost effective for a detective control be implemented to correct unapproved timesheets. Views of responsible officials Management plans to use the recommendation of the auditors. The organization is in the process of training staff and implementing new procedures to ensure that timesheets are properly approved and corrected in a timely manner.