Finding 564127 (2024-002)

Significant Deficiency
Requirement
B
Questioned Costs
$1
Year
2024
Accepted
2025-06-06
Audit: 358248
Organization: Target Hunger, INC . (TX)

AI Summary

  • Core Issue: A payroll transaction lacked necessary timesheet support, leading to potential inaccuracies in federal grant compensation reporting.
  • Impacted Requirements: Compliance with §200.430 for allowable costs, which mandates accurate records for employee compensation across multiple funding sources.
  • Recommended Follow-Up: Implement training for staff to ensure all payroll transactions are backed by timesheets to maintain proper compensation allocation.

Finding Text

Finding #2024-002 – Significant Deficiency and Other Noncompliance. Applicable federal program: Harris County, Passed through The Houston Food Bank, COVID-19 Coronavirus State and Local Fiscal Recovery Funds, Assistance Listing #21.027, Contract Number: N/A, Contract Year: 02/08/23 – 12/31/24. Criteria: Allowable Costs – Compensation for personal services in accordance with §200.430 of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards must be based on records that accurately reflect the work performed and support the distribution of the employee’s salary or wages among specific activities or costs objectives if the employee works on more than one federal award, non-federal award, indirect activities, or unallowable activities. Condition and context: 1 of 25 payroll transactions was not supported by a timesheet. Cause: A timesheet was not obtained for one transaction due to the employee changing positions during the month. Effect: Failure to have a time sheet to support compensation allocations could result in an over/under statement of compensation charged to the Federal grant. Questioned costs: $205.32. Recommendation: Provide additional training to employees to ensure timesheets are obtained for all payroll transactions to support the allocation of compensation. Views of responsible officials and corrective action plans: Management agrees with the finding. See Corrective Action Plan.

Corrective Action Plan

Finding #2024-002 – Significant Deficiency and Other Noncompliance. Applicable federal program: Harris County, Passed through The Houston Food Bank, COVID-19 Coronavirus State and Local Fiscal Recovery Funds, Assistance Listing #21.027, Contract Number: N/A, Contract Year: 02/08/23 – 12/31/24. Recommendation: Provide additional training to employees to ensure timesheets are obtained for all payroll transactions to support the allocation of compensation. Planned corrective action: Target Hunger will provide additional training to employees to remind them to always prepare timesheets if their payroll is being allocated. Responsible officer: Sandra Wicoff, Chief Executive Officer. Estimated completion date: June 2025.

Categories

Questioned Costs Allowable Costs / Cost Principles

Other Findings in this Audit

  • 564126 2024-001
    Significant Deficiency
  • 564128 2024-001
    Significant Deficiency
  • 1140568 2024-001
    Significant Deficiency
  • 1140569 2024-002
    Significant Deficiency
  • 1140570 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.251 Economic Development Initiative, Community Project Funding, and Miscellaneous Grants $1.95M
10.569 Emergency Food Assistance Program (food Commodities) $917,055
21.027 Coronavirus State and Local Fiscal Recovery Funds $194,465
97.024 Emergency Food and Shelter National Board Program $133,501