Finding 504272 (2023-006)

Material Weakness
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2024-10-31

AI Summary

  • Core Issue: Grant agreements are not shared with accounting staff, leading to potential misreporting of revenue.
  • Impacted Requirements: Internal controls for accurate recording of grant revenue and expenses are not being followed.
  • Recommended Follow-Up: Ensure grant agreements and documentation are consistently provided to accounting personnel for proper revenue recognition.

Finding Text

Condition: Grant agreements are reviewed and grant revenue is monitored by one or more Board members, but complete grant documentation is not provided to accounting personnel to ensure proper revenue recognition under grant agreements. Criteria: Internal controls should be in place to allow grant revenue and expenses to be properly recorded in the correct reporting period. Cause: Grant agreements are not provided to Center account personnel. Effect: There were several audit adjustments to record grant revenue in the correct period. Recommendation: Provide grant agreements and grant documentation to the accounting staff to ensure proper revenue recognition under grant agreements. View of Responsible Officials and Planned Corrective Actions: The Center agrees with the finding. The Center implemented the recommendation.

Corrective Action Plan

Recommendation: Provide grant agreements and grant documentation to the accounting staff to ensure proper revenue recognition under grant agreements. View of Responsible Officials and Planned Corrective Actions: The Center agrees with the finding. The Center implemented the recommendation.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 504267 2023-001
    Material Weakness
  • 504268 2023-002
    Material Weakness
  • 504269 2023-003
    Material Weakness
  • 504270 2023-004
    Material Weakness
  • 504271 2023-005
    Material Weakness
  • 504273 2023-007
    Material Weakness
  • 504274 2023-008
    Material Weakness
  • 504275 2023-009
    Material Weakness
  • 1080709 2023-001
    Material Weakness
  • 1080710 2023-002
    Material Weakness
  • 1080711 2023-003
    Material Weakness
  • 1080712 2023-004
    Material Weakness
  • 1080713 2023-005
    Material Weakness
  • 1080714 2023-006
    Material Weakness
  • 1080715 2023-007
    Material Weakness
  • 1080716 2023-008
    Material Weakness
  • 1080717 2023-009
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.575 Child Care and Development Block Grant $963,019
10.558 Child and Adult Care Food Program $66,899