Finding 50832 (2022-003)

Material Weakness
Requirement
A
Questioned Costs
-
Year
2022
Accepted
2023-04-04

AI Summary

  • Core Issue: Timesheets lack documented supervisor approval, indicating a gap in internal controls.
  • Impacted Requirements: The organization must establish controls for timesheet approval to ensure compliance and accurate financial reporting.
  • Recommended Follow-Up: Implement a process for supervisors to formally document their approval on timesheets.

Finding Text

2022-003 ? No Documentation of Approval on Timesheets Federal agency: U.S. Department of Health and Human Services Federal program title: Centers for Independent Living Assistance Listing Number: 93.432 Award Period: April 1, 2020-September 31, 2022 Questioned costs: None Type of Finding: ? Material Weakness in Internal Control Over Financial Reporting ? Material Weakness in Internal Control Over Compliance Condition: The auditors noted no supervisor approval was documented on employee timesheets. Criteria or specific requirement: The Organization should have controls in place for approving timesheets. Context: The finance manager reviews employee timesheets before paying but we noted no supervisor approval. The supervisors may have reviewed the timesheets but there was no documentation of approval on the timesheets. Effect: The lack of controls in place over the financial reporting function increases the risk of improper payroll costs charged to organization or federal grants. Cause: The finance manager reviews employee timesheets before paying but we noted no supervisor approval. The supervisors may have reviewed the timesheets but there was no documentation of approval on the timesheets. Repeat Finding: No Recommendation: We recommend the Organization develop and implement processes for supervisors to document their approval on timesheets. Views of responsible officials and planned corrective actions: The Organization will review the processes and implement procedures.

Corrective Action Plan

2022-003 No documentation of supervisor approval on timesheets Recommendation: We recommend the Organization develop and implement processes for supervisors to document their approval on timesheets. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization will review the processes and implement procedures. Name(s) of the contact person(s) responsible for corrective action: Kyle Kleist Planned completion date for corrective action plan: September 30, 2023

Categories

Material Weakness Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 50833 2022-004
    Significant Deficiency
  • 627274 2022-003
    Material Weakness
  • 627275 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.432 Acl Centers for Independent Living $718,164
20.513 Enhanced Mobility of Seniors and Individuals with Disabilities $697,920
93.464 Acl Assistive Technology $49,700
93.369 Acl Independent Living State Grants $43,950