Finding 401607 (2023-003)

-
Requirement
Activities Allowed/Unallowed
Questioned Costs
-
Year
2023
Accepted
2024-06-24

AI Summary

  • Core Issue: The Organization failed to submit 10 out of 60 required monthly reports on time, breaching grant agreement terms.
  • Impacted Requirements: Non-compliance with Uniform Guidance due to inadequate internal controls over financial reporting.
  • Recommended Follow-Up: Enhance internal controls to track reporting requirements and ensure timely submissions; a new bookkeeper position has been created to assist with this.

Finding Text

Criteria - The grant agreements through Ethiopian Community Development Council, Inc. requires monthly reports to be submitted by the 15th day of the following month. Condition - The Organization did not submit 10 of the 60 monthly reports tested by the 15th day of the following month during the year ended September 30, 2023. Cause - Resulted from a lack of internal controls over financial reporting. Effect - The Organization is not in compliance with Uniform Guidance. Questioned Costs - None identified. Recommendation - We recommend that the Organization further develop internal controls in order to ensure that the Organization tracks the reporting requirement of the grant agreements to ensure they submit timely. Management’s Response - (a) Comments on the finding and recommendation: Refugee & Immigrant Self-Empowerment, Inc. acknowledges the need for enhanced internal controls to track grant reporting requirements. (b) Actions Taken: RISE has introduced a bookkeeper position within our finance department to alleviate the workload of the Finance Director and ensure timely submission of required grant reports. The Executive Director will oversee the submission of grant financial reports, ensuring they meet contracting deadlines. (c) Anticipated Completion Date: The position is already added and recruited on April 22, 2024.

Categories

Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
19.510 U.s. Refugee Admissions Program $316,149
93.576 Refugee and Entrant Assistance_discretionary Grants $312,450
10.311 Beginning Farmer and Rancher Development Program $99,644
10.175 Farmers Market and Local Food Promotion Program (b) $90,883
10.225 Community Food Projects $82,461