Finding Text
Statement of condition: Time certifications and timesheets that support salaries and wages charged to the Education Stabilization program showed no evidence of review and approval performed. Criteria: Title 2 U.S. Code of Federal Regulations (CFR) 200.430(g)(1)(i) requires that salaries and wages charged to federal awards must be supported by a system of internal controls that provides reasonable assurance that the charges are accurate, allowable, and properly allocated. The School’s control of reviewing and approving of time certifications and timesheets and providing evidence of this review and approval through signature of appropriate personnel meet this regulation but a time certification showed no evidence of review and approval. Cause of condition: Procedures are in place for personnel to review the accuracy of the time certification and to ensure accuracy in the recording of how salaries and wages are allocated in accordance with the time certifications. However, there was a breakdown in this control. Effect of condition: During testing, it was noted that time certifications for employees paid with Education Stabilization funds did not have evidence that review and approval was performed. Context: A sample of 40 employees paid with Education Stabilization funds were selected for testing. The audit testing found that 1 employee’s time certification was not signed by the employee and had no evidence of review and approval from a supervisor. Recommendation: To ensure the accuracy of time certifications and that salaries and wages charged to federal award programs are accurate, all time certifications should be signed by the employee and reviewed and approved by the appropriate School personnel. This review and approval should be evidenced by the School personnel’s signature. Views of responsible officials and planned corrective actions: Management agrees with this finding and will ensure all time certifications are signed by employees and reviewed and approved by the appropriate School personnel. See 2023-004 for management’s detailed action plan, timeline, and the responsible parties for all Education Stabilization Fund findings.