Finding 516648 (2024-005)

Material Weakness
Requirement
C
Questioned Costs
-
Year
2024
Accepted
2024-12-23
Audit: 334624
Organization: West River Transit (ND)
Auditor: Haga Kommer LTD

AI Summary

  • Core Issue: The Organization failed to provide copies of federal reimbursement request reports for audit.
  • Impacted Requirements: There is a requirement to maintain records supporting the use of federal funds, including reimbursement requests.
  • Recommended Follow-Up: Implement a record retention policy to keep copies of reimbursement reports and related invoices.

Finding Text

2024-005 Documentation Condition: Copies of federal reimbursement request reports were not provided by the Organization for audit. Criteria: The Organization is required to maintain records to support the expenditure of federal funds. This includes the federal reimbursement requests. Cause: Organization staff reported reimbursable expenses electronically to NDDOT via the Black Cat reporting system on a quarterly basis, but did not retain paper or electronic copies of the submission. Effect: Federal, state, and local funding sources could not be precisely determined for individual bus purchases. Recommendation: Establish a record retention policy to ensure paper or electronic copies of the quarterly reimbursement reports submitted to NDDOT, and the associated invoices, are maintained. Management’s Response: The Organization will establish policies to ensure adequate record retention for federal reimbursement request reports.

Categories

Procurement, Suspension & Debarment Cash Management Reporting

Other Findings in this Audit

  • 516647 2024-005
    Material Weakness
  • 516649 2024-005
    Material Weakness
  • 516650 2024-005
    Material Weakness
  • 516651 2024-005
    Material Weakness
  • 1093089 2024-005
    Material Weakness
  • 1093090 2024-005
    Material Weakness
  • 1093091 2024-005
    Material Weakness
  • 1093092 2024-005
    Material Weakness
  • 1093093 2024-005
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
20.509 Formula Grants for Rural Areas and Tribal Transit Program $519,634
20.526 Buses and Bus Facilities Formula, Competitive, and Low Or No Emissions Programs $51,068