Finding Text
Finding # 2022-001 Type: Noncompliance Assistance Listing Number: U.S. Department of Agriculture ? Rural Development 10.755 Rural Innovation Stronger Economy U.S. Department of the Treasury 21.027 Coronavirus State and Local Fiscal Recovery Funds Criteria/Requirement: Expenses should be reviewed for allowability of costs before requesting reimbursement. Condition: USDA?s review of submitted reports, SF-270 and SF-425, identified various adjustments due to disallowed expenses included or insufficient supporting documentation for expenses incurred. Cause: Expenses incurred by the Organization and its subrecipients were not reviewed for allowability before requesting reimbursement and expenditure reporting. Effect: Disallowed costs could be charged to contracts. Questioned Costs: Approximately $15,000 Recommendation: The Organization should implement an additional review of expenses when preparing request for reimbursement and expenditure reports. Management Response: Management will enhance its review of expenditures before submitting to funders for reimbursement.