FAC Explorer

Finding 519876 (2024-001)

Significant Deficiency
Requirement
AB
Questioned Costs
-
Year
2024
Accepted
2025-01-22
Audit: 339199
Organization: St. Catherine's Center for Children (NY)
Auditor: Bonadio & CO LLP

AI Summary

  • Answer: Two expenditures were allocated incorrectly due to outdated systems and insufficient review.
  • Trend: Consistent application of program allocations is necessary to avoid mischarging expenses.
  • List: Management should verify internal controls, and ensure all allocated items are accurately reviewed during expenditure approvals.

Finding Text

Condition: Incorrect allocation percentage was used for two of the expenditures tested. Criteria: Program allocations should be consistently applied for items utilizing square footage methodology to allocate expenses. Cause: Systems were not properly updated and review of the expenditure did not detect improper allocation. Effect: The program was charged incorrectly based on the failed internal control. Recommendation: Management should ensure all internal controls are functioning as designed for this program. During review and approval of expenditures, all allocated items should be reviewed for accuracy.

Corrective Action Plan

During a transition to a new AP specialist, two invoices relating to the 31 Walter St. location were improperly allocated to this award at 60%. The correct allocation should have been 50% as the program utilizes half of our 31 Walter St, Albany, NY building. This happened due to our invoice processing system, Concur, not bringing over old allocation sets from the old user to the new user. The incorrect allocation setup was detected and corrected after the two invoices had been already processed.

Categories

Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Other Findings in this Audit

  • 519877 2024-002
    Significant Deficiency
  • 1096318 2024-001
    Significant Deficiency
  • 1096319 2024-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.590 Community-Based Child Abuse Prevention Grants $338,187
14.231 Emergency Solutions Grant Program $214,582
14.267 Continuum of Care Program $158,145
10.553 School Breakfast Program $134,975
84.027 Special Education Grants to States $108,159
16.021 Justice Systems Response to Families $43,151
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $40,099
21.027 Coronavirus State and Local Fiscal Recovery Funds $25,000