Finding 570644 (2021-003)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2021
Accepted
2025-07-08
Audit: 361669
Organization: Native Village of Paimiut (AK)
Auditor: Brad Cage CPA

AI Summary

  • Core Issue: Management lacks written internal control procedures for determining allowable costs related to federal awards.
  • Impacted Requirements: This violates 2 CFR 200, Subpart D, Section 200.302(b)(7), which mandates written procedures for cost allowability.
  • Recommended Follow-up: Management should create and implement written internal control procedures to ensure compliance with the Uniform Guidance.

Finding Text

Management did not have written internal control procedures for determining allowable costs and other requirements over federal awards specifically relating to the Uniform Guidance. 2 CFR 200, Subpart D, Section 200.302(b)(7) requires “written procedures for determining the allowability of costs in accordance with Subpart E – Cost Principles of this part and the terms and conditions of the Federal Award. no questioned costs. Lack of written controls to identify allowable costs and special tests and provisions. Costs may be disallowed and required to be repaid to the granting agency. Compliance requirements set forth in the grant agreements were not followed. Management should develop written internal control procedures in accordance with the Uniform Guidance. This was a repeat finding as Finding 2020-004.

Corrective Action Plan

Management will work with their consultant and develop written policies and procedures over their federal awards in accordance with the requirements of the Uniform Guidance.

Categories

Allowable Costs / Cost Principles Special Tests & Provisions

Other Findings in this Audit

  • 570642 2021-001
    Material Weakness Repeat
  • 570643 2021-002
    Material Weakness Repeat
  • 1147084 2021-001
    Material Weakness Repeat
  • 1147085 2021-002
    Material Weakness Repeat
  • 1147086 2021-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
15.021 Consolidated Tribal Government $1.19M
21.027 Coronavirus State and Local Fiscal Recovery Funds $481,392
15.030 Indian Law Enforcement $195,465
66.926 Indian Environmental General Assistance Program (gap) $74,729
21.019 Coronavirus Relief Fund $39,160
20.205 Highway Planning and Construction $7,092