Finding Text
Federal Agency: U.S. Department of Treasury
Federal Program Name: Native American CDFI Assistance Program
Assistance Listing Number: 21.012
Federal Award Identification Number and Year: 201NA054738 – 2020 and 211NA056263
-2021
Pass-Through Agency: N/A
Pass-Through Number: N/A
Award Period: September 24, 2020 through December 31, 2023 and December 8, 2021 through December 31, 2024
Type of Finding:
• Material Weakness in Internal Control over Compliance – Allowable Costs
• Material Noncompliance (Modified Opinion)
Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards requires compliance with the provisions of allowable costs and requires proper time and effort for payroll.
Condition: The Organization allocated payroll to the grant without proof of time and effort and no documentation of review and approval of time and effort.
Questioned Costs: Unknown
Context: The Organization allocated payroll to the grant without proof of time and effort and no documentation of review and approval of time and effort.
Cause: Policies and procedures were not in place to properly document, record, approve and allocate payroll.
Effect: The Organization improperly charged payroll to the grant.
Repeat Finding: No.
Recommendation: We recommend that the Organization implements policies and procedures to properly calculate and allocate payroll, including review and approval of time and effort.
Views of Responsible Officials: There is no disagreement with the audit finding.