Finding Text
Activities Allowed/Allowable Costs/Costs Principles, Period of Performance
Emergency Rental Assistance ALN# 21.023
US Department of the Treasury
Passed through Oregon Housing and Community Services
Federal Grant/Contract Number: ERA000
Grant period – 2022
Criteria – Per 2 CFR 200.303, the non-federal entity 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 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).
Condition – In our sample of 100 items, we noted the following exceptions:
• 13 instances where the check request used to identify approval of the disbursement could not be located
• 1 instance where the request was not signed by the supervisor
Cause – Supporting check request documentation relevant to verify that proper approval controls had been performed could not be obtained.
Effect – Expenses not relevant to the fund or client benefits could be paid without approval. Expenses could be in excess of costs that client was eligible for or could be outside of the period of performance.
Questioned Costs – Not applicable.
Recommendation – Documentation should be prepared, reviewed, and retained to support the allowable costs, activities allowed, eligibility, and period of performance for benefits paid to individuals for services. The documentation should clearly document who prepared the information, who reviewed the information, and that the reviewer considered whether the information was complete and accurate.
Management’s Response – Management has reviewed and accepted the finding. See “Corrective Action Plan”.