Finding Text
Finding 2023-003: Timely Remittance of Advances
Federal Programs ALN: 93.575, 93.596, 93.558
Criteria: In accordance with the grant agreement and DEL Program Guidance 240.01, Cash Management Procedures, any advance that cannot be expended or offset by September 18, must be returned to DEL by October 31 of the following year.
Condition: The Organization did not timely remit the unexpended advance related to the 2022-2023 fiscal year in compliance with the grant agreement and DEL Program Guidance.
Cause: Lack of effective controls surrounding cash management and review of controls to ensure compliance with grant and DEL Program Guidance.
Effect: The Organization did not timely remit the unexpended advance related to the 2022-2023 fiscal year to DEL. The advances were returned in full as of January 25, 2024.
Recommendation: We recommend the Organization implement procedures to ensure
that all advances are reconciled on a monthly basis and remitted to DEL in accordance
with the grant agreement and DEL guidance.