Finding Text
2023-005 – Inadequate Policies and Procedures (Significant Deficiency in Internal Controls over
Compliance)
Federal Program Information
Federal Award Title and ALN: Research & Development Cluster, 84.031
Federal Awarding Agency: U.S. Department of Education
Federal Award ID Number: P031S210287, P031S210288, P031C200002, P031C210215
Federal Award Year: 2023
Condition: The College does not maintain written procedures as required by 2 CFR 200, Subparts D
and E of the Uniform Guidance.
Criteria: Per 2 CFR 200.302(b)(6), Financial Management, the financial management system of each
non-federal entity must provide the following: Written procedures to implement the requirements
of 200.305 Federal Payment. Per 2 CFR 200.302(b)(7), Financial Management, the financial
management system of each nonfederal entity must provide the following: 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.
Cause: The College does not have written procedures for the federal program financial
management requirements.
Effect: Not having written procedures for the aforementioned puts the College in direct violation of
Federal requirements over Federal programs under the Uniform Guidance, which could result in a
loss of programs, funds and/or repayment of federal monies already awarded back to the Federal
government.
Questioned Costs: None
Auditor recommendation: We recommend the College establish the required written procedures for
federal monies and have them available to all personnel who work with federal programs.