Finding 569049 (2024-002)

Material Weakness Repeat Finding

Requirement

Questioned Costs

Year

2024

Accepted

2025-06-30

Audit: 360710

Organization: Rape Crisis Center of Collin County (TX)

Auditor: Sutton Frost Cary

AI Summary

Core Issue: There is a significant weakness in internal controls regarding allowable costs, with 19 out of 38 samples not properly charged to the grant.
Impacted Requirements: Compliance with Section 200 of the Code of Federal Regulations, which mandates a consistent and supported cost allocation plan.
Recommended Follow-Up: Update the cost allocation methodology for clarity and consistency, and ensure all calculations are documented and retained for compliance.

Finding Text

Finding 2024-002: Allowable costs – Material weakness over internal controls over compliance and compliance finding. Crime Victim Assistance ALN 16.575 Criteria: Section 200 of the Code of Federal Regulations requires recipients to have a cost allocation plan in place for allocated costs that is consistently followed and supported. Condition: During allowable cost testing for federal grants, 19 out of 38 samples were not 100% charged to the grant and/or were not supported by a cost allocation plan for how the percentages charged to the grant were determined. This is a repeat finding due to the timing of when the previous single audit took place and corrective action was not implemented until after this fiscal year. Cause: Turnover in the Organization and lack of knowledge of allocated cost requirements. Recommendation: In order to comply with the Uniform Guidance federal regulations, we recommend a cost allocation methodology be updated so that is easy to follow and consistently applied throughout the year. In addition, support of all calculations should be kept on file to document how the allocation was determined. Management’s response: See corrective action plan.

Corrective Action Plan

Finding Number: 2024-002: Allowable Costs – 19 out of 38 samples were not 100% charged to the grant and/or were not supported by a cost allocation plan for how the percentages charged to the grant were determined. This issue was previously identified and remained unresolved at the time of this audit because the finding and subsequent corrective action was implemented after the end of this fiscal year, following the timing of the last single audit. Planned Corrective Action: The Turning Point has updated the existing cost allocation plan and the appropriate staff have been trained on the updated plan. Monthly reviews with the Executive Director have been implemented to review monthly reconciliation statements and grant invoice statements. Cost allocation calculations are now kept on file to document how the allocation was determined. We have also established and maintained a more robust allocation process to include updated Allocation Tables and Grant Ledgers to eliminate future errors. Completion Date: October 1, 2024 Responsible Contact Person: Tana Rice, Director of Finance

Other Findings in this Audit

569048 2024-001

Significant Deficiency
569050 2024-003

Significant Deficiency Repeat
1145490 2024-001

Significant Deficiency
1145491 2024-002

Material Weakness Repeat
1145492 2024-003

Significant Deficiency Repeat

Programs in Audit

ALN	Program Name	Expenditures
16.575	Crime Victim Assistance	$580,000
93.497	Family Violence Prevention and Services/ Sexual Assault/rape Crisis Services and Supports	$174,359
16.017	Sexual Assault Services Formula Program	$150,000
93.991	Preventive Health and Health Services Block Grant	$52,647
16.588	Violence Against Women Formula Grants	$5,399