FY22 Audit Corrective Action Plan: 2022-001 - Allowable Cost/Cost Principal Condition: During audit procedures, it was identified that the Unit did not complete the semi-annual time certifications/periodic time certifications for six employees. Cause: The CSD does not have the necessary internal controls over compliance. Effect: Expenses may not be properly allocated to the grant; this could result in unallowable expenses being charged and subsequently improperly reimbursed by federal funds Recommendation: It is recommended that the Unit implement internal control processes and procedures to ensure that time and effort records for employees working are properly documented in accordance with the grant requirements. FY22 Process: The Five Town CSD had regularly had each employee paid with federal money sign a semi-annual certification and that certification is maintained in the employee?s personnel file under Contracts. The CSD believes that these certifications had been pulled from the files by the prior business manager in an effort to compile compliance paperwork to the Maine DOE for reimbursement purposes. New Process: In addition to our practice of requiring compliance from the employee or supervisor with direct knowledge of the employee?s time and effort, we are preserving a digital copy in our federal funds cash management folders as well at attaching the document to the employee?s digital record so they are preserved and available for federal grant and audit compliance. Time and Effort records will be reconciled semi-annually with the general ledger documentation of grant funded salary expenditures. Responsibility: The Business Manager, Peter Orne, and Human Resources Director, Monica Gallagher, are responsible for the execution of the plan and subsequent reconciliation. Completion Date: This is an ongoing process and semi-annual certification for July 2022 to December 2022 has been reconciled.