Finding Text
Criteria: An Organization is required to submit complete and accurate special reports required by the major program. Condition: The Organization made errors in completing portions of the special report required by the major program tested. In completing the report, management included information about both lost revenue and qualifying expenses but incorrectly marked that they will be using both qualifying expenses and lost revenue to qualify for funds. The intent of management was to use lost revenue alone to qualify for the funds. Cause: This was the first year the specific report was available and little guidance was available online. Management has never filled out a similar report and instructions were not clear as to when not to include both lost revenue and qualifying expenses on the report. Effect: Information provided on the report incorrectly states that the Organization is relying on qualified expenses to qualify for the funds. Recommendation: We recommend management improve controls to ensure reports are completed in accordance with instructions and consult with grant lawyers or experts to help complete any major reports. Views of Responsible Officials and Corrective Action Plan: The Organization agrees with the finding and has implemented procedures to ensure that the Organization is following federal reporting requirements.