Finding Text
2023-002: Allocable Costs/Cost Principles - Reporting of PTO Time.
Assistance Listing Number, Federal Agency, and Program Name: Assistance Listing Number 93.696, Certified Community Behavioral Health Clinic Expansion Grant
Federal Award Identification Number and Year: 1H79SM086680-01, Program Grant Period 09/29/2022-09/29/2023
Pass-through Entity: N/A
Type: Material weakness in internal controls and material noncompliance with laws and regulations
Repeat Finding: No
Criteria: Per 2 CFR 200.431, Leave time is an allowable cost if, among other requirements, the costs are equitably allocated to all related activities.
Condition: Accrued PTO time was adjusted as of September 30, 2023, however certain employees were transferred over to the grant program that had accrued PTO as of September 30, 2022 that was not taken into account. As a result, the grant was charged PTO time for amounts that had been accrued in prior years in other programs and activities.
Identification of How Likely Questioned Costs Were Computed: Based on the accrued PTO schedules as of September 30, 2023 and 2022
Known Questioned Costs: $22,971
Context: There were five employees transferred over to the new grant program, reviewed all five transferred employees PTO accrual.
Cause/Effect: This was just an oversight. A schedule was prepared but did not take into account the PTO time the employees had earned prior to transfer to the new grant program.
Recommendation: We recommend that the schedule be revised to take into account the PTO time employees have prior to being transferred into the grant activities.
View of Responsible Officials and Planned Corrective Action Plan: See attached corrective action plan.