Finding 598239 (2022-001)

Material Weakness
Requirement
G
Questioned Costs
-
Year
2022
Accepted
2023-07-11

AI Summary

  • Core Issue: Federal funds were incorrectly used as matching contributions, which should be nonfederal.
  • Impacted Requirements: This finding indicates a material weakness in internal controls and noncompliance with federal regulations.
  • Recommended Follow-Up: The Trust must confirm the source of matching funds for federal grants and secure nonfederal funds before the grant period ends.

Finding Text

Finding reference: 2022-001 Federal Agency: U.S. Environmental Protection Agency Pass-through entity: National Fish and Wildlife Foundation Federal Program: 66.466 Chesapeake Bay Trust Program Requirement: Matching Type of Finding: Material weakness in internal control over compliance; Noncompliance Condition and criteria: Federal funds were used as matching contributions that are required to be nonfederal. Cause: The Trust did not realize the funds being applied as matching funds were federal when they indicated them as matching funds. This resulted in noncompliance. Effect: Ineligible matching funds were used. Recommendation: The Trust should verify the source of funds it will use as matching funds for federal grants. The Trust?s response: The Trust will secure other nonfederal funds before the grant period ends and will verify the source of matching funds going forward.

Categories

Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 21797 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
10.902 Soil and Water Conservation $10,786
21.027 Coronavirus State and Local Fiscal Recovery Funds $4,541
66.466 Chesapeake Bay Program $1,062