Finding 44379 (2022-001)

Significant Deficiency
Requirement
A
Questioned Costs
-
Year
2022
Accepted
2023-04-06

AI Summary

  • Core Issue: There was no formal documentation of supervisor reviews for expenses, leading to potential mischarging of grant costs.
  • Impacted Requirements: Segregation of duties and formal documentation are necessary to ensure proper transaction handling.
  • Recommended Follow-Up: Management should enforce regular supervisor approvals for expenses and change forms to strengthen control measures.

Finding Text

Finding 2022-001 Major Program: 19.150 US Refugee Admissions Program, 93.567 Refugee and Entrant Assistance Voluntary Agency, 93.576 Refugee and Entrant Assistance Discretionary Grants Expenditure Review ? Activities Allowed, Allowable Costs SIGNIFICANT DEFICIENCY Criteria: Duties should be segregated and formally documented to provide reasonable assurance that transactions are handled appropriately. Condition: There was no formal documentation that a supervisor?s review took place over the expense prior to payment there was no indication of a second signature of approval on the Personnel Action Form. Effect: Lack of a formal supervisor review could result in incorrect charging of costs to grants. Cause: The exceptions were mainly due to a lack of enforcement of the designated controls. Recommendation: We recommend that management enforce the design of the control such that supervisors approve expenses and change forms regularly. Views of responsible officials and planned corrective actions: Management agrees with this finding. Please refer to the Corrective Action Plan. Questioned Costs: None

Corrective Action Plan

SIGNIFICANT DEFICIENCY Finding 2022 ? 001 Activities Allowed, Allowable Costs Name of contact person: Kirby Nickerson, CFO Corrective Action Plan: Management plans to review the segregation of duties in order to provide reasonable assurance that transactions are handled appropriately. This will include a process review of expenditure approval prior to payment and approval of the Personal Action Forms used to make payroll changes. If changes are needed to the process to provide the reasonable assurance that transactions are handled appropriately, management will collaboratively work with the operations team to revise the procedures as necessary. Lastly, training for managers and supervisors will be provided on the procedures to ensure the proper implementation of the updated process. Proposed Completion Date: Management will implement the above plan by the end of April 2023.

Categories

Allowable Costs / Cost Principles Significant Deficiency

Other Findings in this Audit

  • 44380 2022-001
    Significant Deficiency
  • 44381 2022-001
    Significant Deficiency
  • 44382 2022-001
    Significant Deficiency
  • 44383 2022-001
    Significant Deficiency
  • 44384 2022-001
    Significant Deficiency
  • 44385 2022-001
    Significant Deficiency
  • 44386 2022-001
    Significant Deficiency
  • 44387 2022-001
    Significant Deficiency
  • 620821 2022-001
    Significant Deficiency
  • 620822 2022-001
    Significant Deficiency
  • 620823 2022-001
    Significant Deficiency
  • 620824 2022-001
    Significant Deficiency
  • 620825 2022-001
    Significant Deficiency
  • 620826 2022-001
    Significant Deficiency
  • 620827 2022-001
    Significant Deficiency
  • 620828 2022-001
    Significant Deficiency
  • 620829 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund $1.94M
93.567 Refugee and Entrant Assistance_voluntary Agency Programs $1.43M
93.566 Refugee and Entrant Assistance_state Administered Programs $202,456
19.510 U.s. Refugee Admissions Program $153,428
93.598 Services to Victims of A Severe Form of Trafficking $140,189
93.558 Temporary Assistance for Needy Families $132,982
93.676 Unaccompanied Alien Children Program $130,121
93.576 Refugee and Entrant Assistance_discretionary Grants $21,070