Finding 578125 (2022-002)

Federal Agency: Department of Treasury Federal Program: Coronavirus State and Local Fiscal Recovery Funds ALN: # 21.027 Compliance Requirement: Activities Allowed/ Unallowed and Allowable Costs Type of Finding: Compliance Finding, Significant Deficiency in Internal Controls over Compliance Repeat Finding: No Criteria: The Organization will only submit allowable costs for reimbursement. Condition: From a sample of three months payment reimbursement requests, we identified that the Organization was improperly including employee paid insurance in the reimbursement amounts. Questioned Costs: $28,102 Cause: The Organization overlooked this in its preparation of the payment reimbursement requests. Effect: The Organization was over-reimbursed for expenses. The Organization repaid these funds in FY23. Recommendation: The Organization’s management should ensure all expenses submitted are reimbursable. Management’s Response: We agree with the finding and have implemented procedures to ensure established controls are being followed.