Finding 584594 (2023-001)

Federal Agency: Department of Justice Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Minnesota Office of Justice Programs Pass-Through Number: A-ARPS-2022-WOMADV-00015 Award Period: 01/01/2022 – 03/31/2023 Type of Finding: • Significant Deficiency in Internal Control Criteria: 2 CFR §200.303 requires entities to establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Condition: The Organization did not have documented approval of expenses reimbursed through the grant. Context: No documentation of approval of expenditures for two out of twenty-eight selections were kept. Cause: Management was not able to find the documented approval of invoices/credit card statement due to employee turnover within the Organization. Effect: When internal controls are not in place over expenses, there is increased risk that expenses charged to the grant could be incorrect. Recommendation: The Organization should implement internal controls to ensure documentation of approval for expenditures is retained. View of Responsible Officials: Management is in agreement with this audit finding.