Finding 509667 (2024-002)

Significant Deficiency
Requirement
H
Questioned Costs
-
Year
2024
Accepted
2024-11-21

AI Summary

  • Core Issue: The organization charged costs to the grant that were incurred before the grant period started.
  • Impacted Requirements: All expenses must align with the grant's period of performance to ensure compliance.
  • Recommended Follow-Up: Ensure expenses are charged based on when they were incurred, not when they were approved or paid.

Finding Text

Finding 2024-002: Noncompliance with Period of Performance Requirement View of Responsible Officials and Planned Corrective Actions: The Organization agrees with the finding. Management will make sure all electronic invoices for customer payments are created and approved within the grant term. For payments that occur during the last month of the grant term, the staff will make sure all invoices are submitted to management within the first two weeks of the month, which will give time if an invoice needs to be corrected and sent back for updating. If there is a holiday within that month, management will make sure to communicate a deadline to staff for getting invoices in so they can be approved within that month and not carried over into the next month if the holiday falls at the end of the month. Name of the Contact Person Responsible for the Corrective Action: Tameka Gunn, President and Chief Executive Officer Planned Completion Date for the Corrective Action Plan: March 2025 Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Continuum of Care Program (Piedmont) Assistance Listing Number: 14.267 Award Period: Northern PSH Combo (Grant no. NC 0045) April 1, 2023 to March 31, 2024 Type of Finding: Significant Deficiency and Noncompliance Condition and Criteria: There was one cost that was charged to the grant that were incurred prior to the period of performance start date for the NC0045 grant. Cause: The cost was charged to the grant in April due to the final approval not being submitted until April, however, the cost was incurred in the prior month and approved from the by the first approver in the prior month. Effect: The organization charged costs to the grant that were not incurred during the grant period. Recommendation: We recommend that the Organization charge grant expenses based on when the expense was incurred, not when the payment was due or the grant expense was approved.

Corrective Action Plan

Continuum of Care – Assistance Listing No. 14.267 Recommendation: The Organization had an expense charged to grant NC0045 that were not incurred during the grant period. We recommend that the Organization charge grant expenses based on when the expense was incurred, not when the payment was due or the grant expense was approved. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management will make sure all electronic invoices for customer payments are created and approved within the grant term. For payments that occur during the last month of the grant term, the staff will make sure all invoices are submitted to management within the first two weeks of the month, which will give time if an invoice needs to be corrected and sent back for updating. If there is a holiday within that month, management will make sure to communicate a deadline to staff for getting invoices in so they can be approved within that month and not carried over into the next month if the holiday falls at the end of the month. Name(s) of the contact person(s) responsible for corrective action: Tameka Gunn, President and Chief Executive Officer Planned completion date for corrective action plan: March 2025

Categories

Period of Performance Significant Deficiency

Other Findings in this Audit

  • 509665 2024-003
    Significant Deficiency
  • 509666 2024-001
    - Repeat
  • 509668 2024-003
    Significant Deficiency
  • 509669 2024-001
    - Repeat
  • 509670 2024-003
    Significant Deficiency
  • 1086107 2024-003
    Significant Deficiency
  • 1086108 2024-001
    - Repeat
  • 1086109 2024-002
    Significant Deficiency
  • 1086110 2024-003
    Significant Deficiency
  • 1086111 2024-001
    - Repeat
  • 1086112 2024-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.267 Continuum of Care Program $1.20M
14.239 Home Investment Partnerships Program $104,295
14.169 Housing Counseling Assistance Program $55,000
14.231 Emergency Solutions Grant Program $32,045
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $25,000
21.027 Coronavirus State and Local Fiscal Recovery Funds $25,000
16.736 Transitional Housing Assistance for Victims of Domestic Violence, Dating Violence, Stalking, Or Sexual Assault $22,062
20.509 Formula Grants for Rural Areas and Tribal Transit Program $19,350