Finding 554211 (2021-006)

Material Weakness Repeat Finding
Requirement
C
Questioned Costs
-
Year
2021
Accepted
2025-04-06

AI Summary

  • Core Issue: CUAHSI lacks effective cash management controls, leading to unapproved drawdowns for federal awards.
  • Impacted Requirements: Compliance with 2 CFR Part 200 is compromised, affecting the tracking and reporting of federal funds.
  • Recommended Follow-Up: Implement a robust review process for reimbursement requests to ensure accurate reporting and compliance.

Finding Text

Federal agency name: U.S. National Science Foundation Federal program title: Geosciences, Computer and Information Science and Engineering, Office of Cyber Infrastructure & Integrative Activities AL No.: 47.050, 47.070, 47.079, 47.080 & 47.083 Federal Award Identification No. & Award Period: EAR-1849458 (06/01/2019-05/31/2024), EAR-2012893 (10/01/2020 – 08/31/2025), EAR-2028793 (05/15/2020 – 04/30/2021), OAC- 1931278 (10/1/2019 – 09/30/2022), OAC-1829744 (09/01/2018 – 08/31/2023), OAC-1835592 (01/01/2009 – 12/31/2022), OAC-1835818 (10/01/2018 – 09/30/2022), OISE-1855654 (05/15/2019 – 12/31/2023), OAC-1664061 (10/01/17 – 09/30/2022) & OIA-1937099 (09/01/2020 – 08/31/2021) Pass Through Entity: Utah State University & University of Cincinnati Material Weakness MW2021-006 CASH MANAGEMENT Criteria 2 CFR Part 200 states that entities expending federal grants must establish and maintain effective internal control over the federal award that provides reasonable assurance that the non-federal entity is managing the federal award in compliance with federal statues, regulations, and the terms and conditions of the Federal award. To comply with 2 CFR Part 200, CUAHSI was required to submit monthly invoices for the funds received under the federal contract. These invoices will serve as a record of the services or goods provided during the specified period and will facilitate accurate tracking and reporting of the funds. In addition to the invoice, any supporting documentation, such as timesheets, should be maintained with the invoices. The cash management process should also be adjusted for the receipt of program income. These documents validate the services provided and ensure transparency and auditability of the invoiced amount. These amounts should be able to be traced to the general ledger in conjunction with the time in which they are billed. Condition The cash management process requires that cash draws be reviewed and approved to ensure the propriety of draw reimbursement requests. Management was unable to provide the auditor evidence documenting approval of the drawdowns for the year ended December 31, 2021. Cause & Context CUAHSI had no fiscal management team during the year ended December 31, 2021 to ensure compliance with proper policies and procedures. The books and records for the year ended December 31, 2021 were recreated by the current management team during 2024 to 2025. Effect Grant awards and reimbursements may not be recorded correctly and there is a higher risk of error or misappropriation of assets. Questioned Costs None Prior Year Audit Finding Yes, previously reported as MW2020-006. Recommendation The auditor recommends CUAHSI develop and implement controls to ensure an adequate review process is in place for review of reimbursement requests submitted to granting agencies to ensure consistent reporting. View of Responsible Official and Planned Corrective Action See accompanying Corrective Action Plan.

Categories

Cash Management

Other Findings in this Audit

  • 554201 2021-002
    Material Weakness Repeat
  • 554202 2021-004
    Material Weakness Repeat
  • 554203 2021-005
    Material Weakness Repeat
  • 554204 2021-006
    Material Weakness Repeat
  • 554205 2021-007
    Material Weakness Repeat
  • 554206 2021-008
    Material Weakness Repeat
  • 554207 2021-009
    Material Weakness Repeat
  • 554208 2021-002
    Material Weakness Repeat
  • 554209 2021-004
    Material Weakness Repeat
  • 554210 2021-005
    Material Weakness Repeat
  • 554212 2021-007
    Material Weakness Repeat
  • 554213 2021-008
    Material Weakness Repeat
  • 554214 2021-009
    Material Weakness Repeat
  • 554215 2021-002
    Material Weakness Repeat
  • 554216 2021-004
    Material Weakness Repeat
  • 554217 2021-005
    Material Weakness Repeat
  • 554218 2021-006
    Material Weakness Repeat
  • 554219 2021-007
    Material Weakness Repeat
  • 554220 2021-008
    Material Weakness Repeat
  • 554221 2021-009
    Material Weakness Repeat
  • 554222 2021-002
    Material Weakness Repeat
  • 554223 2021-004
    Material Weakness Repeat
  • 554224 2021-005
    Material Weakness Repeat
  • 554225 2021-006
    Material Weakness Repeat
  • 554226 2021-007
    Material Weakness Repeat
  • 554227 2021-008
    Material Weakness Repeat
  • 554228 2021-009
    Material Weakness Repeat
  • 554229 2021-002
    Material Weakness Repeat
  • 554230 2021-004
    Material Weakness Repeat
  • 554231 2021-005
    Material Weakness Repeat
  • 554232 2021-006
    Material Weakness Repeat
  • 554233 2021-007
    Material Weakness Repeat
  • 554234 2021-008
    Material Weakness Repeat
  • 554235 2021-009
    Material Weakness Repeat
  • 1130643 2021-002
    Material Weakness Repeat
  • 1130644 2021-004
    Material Weakness Repeat
  • 1130645 2021-005
    Material Weakness Repeat
  • 1130646 2021-006
    Material Weakness Repeat
  • 1130647 2021-007
    Material Weakness Repeat
  • 1130648 2021-008
    Material Weakness Repeat
  • 1130649 2021-009
    Material Weakness Repeat
  • 1130650 2021-002
    Material Weakness Repeat
  • 1130651 2021-004
    Material Weakness Repeat
  • 1130652 2021-005
    Material Weakness Repeat
  • 1130653 2021-006
    Material Weakness Repeat
  • 1130654 2021-007
    Material Weakness Repeat
  • 1130655 2021-008
    Material Weakness Repeat
  • 1130656 2021-009
    Material Weakness Repeat
  • 1130657 2021-002
    Material Weakness Repeat
  • 1130658 2021-004
    Material Weakness Repeat
  • 1130659 2021-005
    Material Weakness Repeat
  • 1130660 2021-006
    Material Weakness Repeat
  • 1130661 2021-007
    Material Weakness Repeat
  • 1130662 2021-008
    Material Weakness Repeat
  • 1130663 2021-009
    Material Weakness Repeat
  • 1130664 2021-002
    Material Weakness Repeat
  • 1130665 2021-004
    Material Weakness Repeat
  • 1130666 2021-005
    Material Weakness Repeat
  • 1130667 2021-006
    Material Weakness Repeat
  • 1130668 2021-007
    Material Weakness Repeat
  • 1130669 2021-008
    Material Weakness Repeat
  • 1130670 2021-009
    Material Weakness Repeat
  • 1130671 2021-002
    Material Weakness Repeat
  • 1130672 2021-004
    Material Weakness Repeat
  • 1130673 2021-005
    Material Weakness Repeat
  • 1130674 2021-006
    Material Weakness Repeat
  • 1130675 2021-007
    Material Weakness Repeat
  • 1130676 2021-008
    Material Weakness Repeat
  • 1130677 2021-009
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
47.050 Geosciences $2.92M
47.080 Office of Cyberinfrastructure $83,858
47.070 Computer and Information Science and Engineering $22,257
47.083 Integrative Activities $18,453
47.079 Office of International Science and Engineering $4,367