Finding 522210 (2024-001)

2024-01 – Information on the Federal Program: ALN 93.558 – Temporary Assistance for Needy Families – WTS23/24 – Compliance Requirement: Activities Allowed – Control Finding: Improperly Approved Disbursements Criteria: The Organization has established internal controls pertaining to disbursement requirements. For any disbursements made by the Organization which exceed $10,000, it is a requirement for there to be two signors from the established list of approved check/disbursement signors. Condition: For two disbursements tested out of 40, both of which exceeded $10,000, the Organization did not obtain the required second signature prior to disbursement. Cause: The requirement to perform these control elements was not followed by the Organization. Effect: The disbursements which were not properly completed in accordance with documented internal controls could result in improperly approved disbursements relating to grant agreements. Recommendation: We recommend that the Organization follow the disbursement guidelines as set forth in their internal controls to ensure disbursements are properly approved before disbursement occurs.