2024-101: Significant Deficiency in Internal Controls Over Compliance and Noncompliance Required to be
Reported in Accordance with 2 CFR §200.516(c): Payroll
Recommendation: To help ensure employees receive accurate
compensation, the School should implement
internal control procedures that include
thorough verification of payroll data against
authorized pay rates before payroll is
processed.
Action Taken:
1. Pay rate change requests will be
accumulated and organized by
effective date.
2. For each payroll, all (100%) of the
pay rate change requests that became
effective during the pay period will be
compared to the pay rates for the
impacted employee that appear in the
preliminary payroll reports. For
example, for a pay period from
10/16/2024 to 10/30/2024, all pay rate
change requests with effective dates
between 10/16/2024 and 10/30/2024
will be compared to the pay rates for
the impacted employees in the
preliminary payroll reports.
3. If any discrepancies between the pay
rate change requests and the pay rates
in the preliminary payroll reports are
identified, the pay rate will be
corrected in the payroll system, the
preliminary payroll reports will be
reproduced, and steps 1 and 2 will be
repeated.
4. If no discrepancies between the pay
rate change requests and the pay rates in the preliminary payroll reports are
identified, the payroll will proceed as
usual.
5. For pay rate change requests with
retroactive effective dates, the date of
receipt of the change request will be
documented, pay rate changes will be
implemented immediately, and
retroactive pay will be paid in the next
payroll. The retroactive change
requests will be verified as described
in steps 1 and 2.
Anticipated Completion Date: 12/31/2024
Contact Person: Keith Chilton