FAC Explorer

Finding 498463 (2023-010)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2023
Accepted
2024-09-26
Audit: 321162
Organization: City of Baton Rouge - Parish of East Baton Rouge (LA)
Auditor: Eisneramper

AI Summary

  • Core Issue: The program's tracking of Individual Training Accounts (ITAs) is done manually, leading to potential overpayments.
  • Impacted Requirements: Program regulations require accurate accounting and reconciliation of ITA transactions, which is not currently being met.
  • Recommended Follow-Up: Implement an electronic tracking system for ITAs and ensure monthly reconciliations with the accounting system to prevent errors.

Finding Text

Allowable Costs Questioned Costs: N/A Department of Labor 17.258 WIOA Adult Program (WAP) 17.259 WIOA Youth Program (WYP) 17.278 WIOA Dislocated Worker Program (DW) Grant No(s): AA-36322-21-55-A22, AA-38532-22-55-A-22 Criteria: Program regulations state that tuition and educational benefits are to be disbursed on behalf of eligible recipients through the use of individual training accounts (ITA 's) established for each recipient. The local WIOA Board designed the program to employ the use of these accounts and has set account limit for each individual at various limits ranging from $10,000-$20,000. The Program should have an accounting system that ensures proper posting and tracking of ITA transactions and balances. Condition: The Program's administration’s process for tracking and accounting for program benefits through ITA’s is manual, kept in paper files, and is not reconciled to official accounting records of the City-Parish. Universe/ Population: A sampling of 25 participants among a population of 122 were selected for testing. Of the 25 tested, all participants’ ITA accounts were tracked through this manual process. Effect: The Program could potentially pay an amount in excess of the participant's allotted amount and be unaware of the overpayment. Cause: Transition of employees and administration have led to continuation of dated processes. While manual records may sometimes be adequate, they can be inefficient and prone to error. Recommendation: We recommend an electronic system to account for the ITA’s, such as a spreadsheet that is reconciled to the accounting system, or directly into the City-Parish’s accounting system with a project or other code. View of Responsible Official: To improve the accuracy of ITA tracking, a revised ITA tracking system will be implemented. This will include data entry fields to capture all necessary information for each ITA payment, minimizing errors and omissions. Reconciliation with MUNIS on a monthly basis to identify any discrepancies. Additionally, mandatory training on the revised ITA Tracking system will be conducted for relevant staff members to ensure continuity.

Corrective Action Plan

Management’s response and corrective action is as follows: To improve the accuracy of ITA tracking, a revised ITA tracking system will be implemented. This will include data entry fields to capture all necessary information for each ITA payment, minimizing errors and omissions. Reconciliation with MUNIS on a monthly basis to identify any discrepancies. Additionally, mandatory training on the revised ITA Tracking system will be conducted for relevant staff members to ensure continuity. Expected Implementation Date: July 202 Contact person: Amanda Stanley, Chief WIOA Administrator, EmployBR

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 498454 2023-003
    - Repeat
  • 498455 2023-004
    Significant Deficiency
  • 498456 2023-005
    Significant Deficiency
  • 498457 2023-006
    Significant Deficiency
  • 498458 2023-007
    Material Weakness Repeat
  • 498459 2023-008
    Material Weakness Repeat
  • 498460 2023-009
    Significant Deficiency
  • 498461 2023-009
    Significant Deficiency
  • 498462 2023-009
    Significant Deficiency
  • 498464 2023-010
    Significant Deficiency
  • 498465 2023-010
    Significant Deficiency
  • 1074896 2023-003
    - Repeat
  • 1074897 2023-004
    Significant Deficiency
  • 1074898 2023-005
    Significant Deficiency
  • 1074899 2023-006
    Significant Deficiency
  • 1074900 2023-007
    Material Weakness Repeat
  • 1074901 2023-008
    Material Weakness Repeat
  • 1074902 2023-009
    Significant Deficiency
  • 1074903 2023-009
    Significant Deficiency
  • 1074904 2023-009
    Significant Deficiency
  • 1074905 2023-010
    Significant Deficiency
  • 1074906 2023-010
    Significant Deficiency
  • 1074907 2023-010
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $42.80M
21.023 Emergency Rental Assistance Program $9.04M
20.205 Highway Planning and Construction $7.79M
20.106 Airport Improvement Program, Covid-19 Airports Programs, and Infrastructure Investment and Jobs Act Programs $7.43M
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $5.22M
97.039 Hazard Mitigation Grant $5.18M
97.029 Flood Mitigation Assistance $5.12M
93.914 Hiv Emergency Relief Project Grants $5.04M
93.686 Ending the Hiv Epidemic: A Plan for America � Ryan White Hiv/aids Program Parts A and B $1.97M
93.137 Community Programs to Improve Minority Health Grant Program $1.92M
17.259 Wioa Youth Activities $1.70M
93.569 Community Services Block Grant $1.38M
17.278 Wioa Dislocated Worker Formula Grants $1.19M
20.930 Payments for Small Community Air Service Development $1.00M
14.231 Emergency Solutions Grant Program $972,687
17.258 Wioa Adult Program $904,123
93.600 Head Start $674,944
10.558 Child and Adult Care Food Program $661,662
20.600 State and Community Highway Safety $639,142
14.218 Community Development Block Grants/entitlement Grants $573,380
97.067 Homeland Security Grant Program $350,265
14.239 Home Investment Partnerships Program $137,394
95.001 High Intensity Drug Trafficking Areas Program $120,643
93.658 Foster Care Title IV-E $103,567
20.607 Alcohol Open Container Requirements $86,780
20.616 National Priority Safety Programs $82,655
16.609 Project Safe Neighborhoods $75,354
93.568 Low-Income Home Energy Assistance $73,314
93.493 Congressional Directives $63,633
97.042 Emergency Management Performance Grants $61,405
97.024 Emergency Food and Shelter National Board Program $57,923
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $26,525
16.738 Edward Byrne Memorial Justice Assistance Grant Program $19,352
14.905 Lead Hazard Reduction Demonstration Grant Program $18,255
15.904 Historic Preservation Fund Grants-in-Aid $13,000
16.034 Coronavirus Emergency Supplemental Funding Program $7,205
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $6,688
93.069 Public Health Emergency Preparedness $5,397
14.241 Housing Opportunities for Persons with Aids $1,995
66.818 Brownfields Multipurpose, Assessment, Revolving Loan Fund, and Cleanup Cooperative Agreements $1,947
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $334
17.277 Wioa National Dislocated Worker Grants / Wia National Emergency Grants $-90