Finding Text
Finding #2022-003 Type: Significant deficiency over federal awards Type: Immaterial noncompliance Assistance Listing: 21.027 Coronavirus State and Local Recovery Funds Requirement: Disbursements are required to be charged to the contract for the period in which they relate and are expensed. Condition/Context: Two invoices tested (totaling approximately $41,000) were charged during to the cost reimbursement grant for the fiscal year that were for services for future periods. Cause: The Organization did not have appropriate controls over cut-off and grant billings. Effect: Improper or inaccurate amounts could be paid or charged to contracts. Questioned Costs: Amounts charged for future periods was approximately $41,000. Recommendation: We recommend oversight of contract billings and accounting records to ensure activity is charged and recorded according to contract requirements. Management Response: Management is reviewing invoices to ensure all expenses are recorded in the proper period.