Finding Text
2021‐005 – Deficiency in Special Tests and Provision Controls over Compliance with Training –
Significant Deficiency
Federal Program Information
Funding Agency: U.S. Department of Commerce, Minority
Business Development Agency
Federal Award Agreement Number: Not Applicable
Award Year: 2021
Title: MBDA Business Center
CFDA Number: 11.805
Pass‐through Agency: Not Applicable, Direct Program
Pass‐through Identification Number: Not Applicable, Direct Program
Condition ‐ The Entity was unable to provide support to test controls over compliance over training.
Criteria – 2 CFR section 200.303 – Internal Controls of the Uniform Guidance states that the nonfederal
entity must: (a) Establish and maintain effective internal controls over Federal award that
provides reasonable assurance that the non‐Federal entity is managing the Federal award in
compliance with Federal statutes, regulations, and the terms and conditions of the Federal award.
These internal controls should be in compliance with guidance in “Standards for Internal Control in
the Federal Government” issued by the Comptroller General of the United States or the “Internal
Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the
Treadway Commission (COSO).
Questioned Costs ‐ Not applicable.
Effect ‐ The Entity may unintentionally miss a required training which could lead to repayment of
funds.
Cause ‐ The Entity is not following its policy to ensure all mandatory training is completed as needed.