Finding Text
Finding: 2022-001 Federal Agency: United States Department of Labor Pass-through Agency: Puerto Rico Department of Economic Development Federal Program Title: WIOA Youth Activities Assistance Listing Number: 17.259 Compliance Requirement: Matching, Level of Effort, Earmarking Type of Finding: Significant Deficiency in Internal Control Over Compliance (SD) Responsible Official: Samaris A. Tejada Cruz ? Executive Director Prior Year Finding: 2021-001 Condition Per audit procedures performed over the WIOA Youth Activities, it was noted of the total program expenses spent on the Youth Activities, 7.50% was spent on paid and unpaid work experiences. Criteria Per Section 129(c)(4), WIOA, 128 Stat, 1510, not less than 20 percent of Youth Activities funds allocated to the local area, except for the local area expenditures for administration, must be used to provide paid and unpaid work experiences. Cause Cause is due to the lack of total expenditures on Youth Activities for paid and unpaid work experiences not meeting the required 20 percent threshold. Effect The Local Area is out of compliance with the earmarking requirement of the WIOA in that 20 percent of Youth Activity Funds allocated were not expended on paid and unpaid work experiences. Recommendation We recommend the Local Area review the expenditures and perform measures to ensure that earmarking expenditure requirements being met throughout the year for each grant. Questioned Costs None