Finding Text
CFDA Numbers: 93.959 and 93.788 Criteria: Each recipient shall establish and maintain sufficient financial records. Grantees shall maintain evidence to support how the funds were expended. Condition and context: The Organization had several drawdowns that did not have any support for the draw. Cause: Lack of internal controls over the drawdown process. Effect: Activities or costs that are allowed or allowable could potentially be overpaid or underpaid. Questioned Costs: $523,832 Recommendation: The Organization should establish policies and procedures to ensure grants management properly approves all drawdowns that are to be paid with Federal awards. Organization response: The Organization has hired a new executive director and chief financial officer; the management team has implemented new accounting and financial policies within the accounting department to oversee and maintain federal expenditures are incompliance with grant agreements.