Finding Text
Condition: During our audit, we noted the Agency incurred expenditures and charged a federal award outside the approved period of performance for the grant. Criteria: Under 2 CFR Part 200.309, non-federal entities may charge to the federal award only allowable costs incurred during the period of performance Costs incurred outside this period are not allowable unless prior written approval is obtained from the awarding agency. Cause: The Agency accrued an expenditure in its accounting system and did not verify that the expenditure was for a service date within the approved period of performance. Effect: The federal award was overbilled by $1,904. Recommendation:We recommend the Agency more carefully monitor expenditures incurred near grant end dates to ensure compliance with period of performance compliance requirements. Management Response: Management agrees with this finding and will more carefully monitor grant end dates to comply with period of performance compliance requirements.