Finding Text
Finding Number 2022-001 CFDA Number 84.181A Program Name Early Intervention Program Federal Agency Department of Education Federal Award ID DFHS22SCH005 Federal Award Year 2022 Finding Type Significant Deficiency Compliance Requirement Allowable Costs Pass-Through Entity State of New Jersey, Department of Health Questioned Costs $0 Southern New Jersey Regional Early Intervention Collaborative, Inc. had internal controls over compliance issues related to payroll. Condition According to 2 Code of Federal Regulation (CFR) 220 (2 CFR 220), Appendix A, Section C to be allowable for a federal grant, a cost must be allocable to the federal award and be necessary and reasonable for the administration and performance of the award. Furthermore, Section C 3 provides that a reasonable cost is one that a ?prudent person? would have incurred under similar circumstances. For one individual out of 16 employees tested, review procedures did not identify incorrect pay rate. As a result, the individual was paid incorrectly throughout the period.