Finding Text
2023-001 Inadequate accounting and review procedures
Federal Program: WIOA Youth Programs
CFDA Number: 17.259
Repeat Finding: Yes
Type of Finding: Material weakness
Questioned Costs: None
Criteria: Management is responsible for implementing review processes over transactions and financial
statement close procedures.
Condition: Access, Inc’ internal controls are not adequate to ensure that accounting records are accurate and complete. Due to lack of management oversight and review procedures, errors within the accounting system were not identified and corrected on a timely basis.
Cause: The internal controls over accounting processes and review procedures were not operating effectively.
Effect: Material errors regarding the accounting reports were not detected or corrected in a timely manner.
Recommendation: We recommend that Access, Inc. strengthen its internal control over accounting process. Management should conduct a thorough review regularly to ensure accurate reporting.
Management’s Response: Access, Inc. concurs with the finding and has begun implementing corrective action. Access, Inc. has recently employed a CFO with extensive experience with the Department of Labor grants and contracts, to assist with the accounting process which will enhance the organizations’ ability to ensure accounting records are accurate and complete.