Finding Text
2022-001: Residential Treatment Services ? Allowable Costs Federal Agency: Department of Health and Human Services CFDA No.: 93.959 Federal Program: Block Grants for Prevention and Treatment of Substance Abuse Federal Award Program No.: H2810DEZ and H2810DFZ Federal Award Year: 2022 Control Category: Allowable Costs Questioned Costs: $0.00 Criteria: 2 CFR 200.430, Compensation ? personal services, states, in part: ?(i) Standards for Documentation of Personnel Expenses (1) Charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must: (i) Be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated?? Condition: During our review of payroll costs for the year ended June 30, 2022, we noted four instances where the employee did not have a personnel action form to document the change in their pay grade for the pay period tested. Other employees did not have an initial personnel action form to show the pay grade at the time of hire. Cause: Hope House management noted that not completing initial documentation at the employee?s hire date caused a deficiency in maintaining supporting documentation for merit increases. Effect: We were unable to determine if the amount paid to the employee was approved by management. Questioned Costs: $0.00 Recommendation: We recommend that Hope House prepare and maintain a copy of each employee's initial compensation and merit increase.