Finding 610693 (2022-001)

Significant Deficiency
Requirement
A
Questioned Costs
-
Year
2022
Accepted
2023-07-24
Audit: 32684
Organization: Barron County Housing Authority (WI)

AI Summary

  • Core Issue: The organization lacks proper time and effort documentation for payroll costs charged to federal programs.
  • Impacted Requirements: This violates 2 CFR Part 200, which mandates accurate tracking of time for individuals working on federal grants.
  • Recommended Follow-Up: Implement a system to accurately track and document actual time spent on federal programs to ensure compliance.

Finding Text

2022 ? 001 Federal Agency: U.S. Department of Housing and Urban Development Federal Program Name: Housing Voucher Cluster Assistance Listing Number: 14.871 Federal Award Identification Number and Year: W1245VO164 - 2022 Award Period: January 1, 2022 ? December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance ? Other Matters Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires time and effort documentation for all individuals whose time is coded to the federal grants. Condition: During our testing we noted that the organization is allocating payroll costs based on time study done several years ago and did not have time and effort documentation to verify actual time spent agrees on federal program agrees to the allocation being used. Questioned costs: None Context: During our testing of payroll, it was noted that 18 out of 18 payroll charges had no time and effort documented for the wages charged to the program. Cause: The client has been using allocation determined several years ago and was unaware of time and effort documentation requirements. Effect: Noncompliance with HUD requirements. Repeat Finding: No Recommendation: We recommend, the entity develop a method to track actual time spent on various programs to time allocated to federal award programs. Views of responsible officials: There is no disagreement with the audit finding.

Categories

Allowable Costs / Cost Principles HUD Housing Programs Significant Deficiency

Other Findings in this Audit

  • 34251 2022-001
    Significant Deficiency
  • 34252 2022-002
    Significant Deficiency
  • 610694 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $717,840
14.182 Section 8 New Construction and Substantial Rehabilitation $208,328