Finding Text
Expense Supported with Required Documentation
Criteria: In accordance with the Federal Awards Listing 93.945, financial management systems must meet the requirements as described 2 CFR 200 which include retaining records that identify adequately the source and application of funds for federally funded activities.
Condition: Three expenses totaling $15,057 lacked documentation to support the allowability of the activity and cost and the period of performance.
Cause: For two of the expenses, totaling $57, the individual items were below the Organization’s internal threshold for retaining supporting documentation. The third expense was to fund $15,000 of conference registration discounts but, while it was included in the budget for that award year, lacked evidence supporting the use of the funds.
Effect: There was no negative effect related to the exceptions.
Recommendation: The Organization should institute a requirement that all grant-eligible expenses are supported with a receipt or invoice documenting the type of expense and date of purchase. Expenses incurred funding conference or membership registration discounts should be tracked by participant or member.
Views of Responsible Officials and Planned Corrective Actions: United States Breastfeeding Committee, Inc. agrees with the finding and management has implemented tracking measures to ensure supporting documentation is maintained for grant-related expenses.