Finding 621737 (2022-001)

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Requirement
G
Questioned Costs
-
Year
2022
Accepted
2023-03-15

AI Summary

  • Core Issue: The Organization did not meet the 20% earmarking requirement for work experiences in the WIOA Youth Activities program, utilizing only 11.21% of funds.
  • Impacted Requirements: Compliance with the WIOA Act section 129 (c)(4) is essential for proper fund allocation towards youth work experiences.
  • Recommended Follow-Up: The Organization should either comply with the earmarking requirement or request a waiver from the federal funding agency.

Finding Text

Findings 2022-001: WIOA Youth Activities (CFDA # 17.259) Agency: Department of Labor Compliance: Earmarking Finding Type: Compliance Criteria: The Organization is required to comply with the WIOA Act section 129 (c)(4) when utilizing the Youth Activities program funds. Accordingly, not less than 20 percent of Youth Activities funds allocated to the local area, except for the local area expenditures for administration, must be used to provide paid and unpaid work experiences to in-school and out-of-school youth. Condition: The Organization has not fulfilled the earmarking percentage requirement for work experience for youth activities. Context: Out of the funds allocated for the WIOA Youth Activities, only 11.21% was used to provide in-school youth and out-of-school youth with paid and unpaid work experiences. Identification of Repeat Finding: Yes, see Finding 2020-001. Questioned Cost: None Cause: The continued impact by the worldwide COVID-19 pandemic health crisis has caused on-going and significant reduction in youth enrollments thus resulting in a significant reduction of the number of youth work experience opportunities. In addition, the impact of the pandemic created significant staff shortages and prolonged vacancies which resulted in the inability to recruit youth enrollments and identify work experience opportunities overall. Finally, the unsubsidized labor market has created extreme competition in the ability to entice youth involvement in the WIOA Youth work experience program. Effect: Fund allocated for paid and unpaid work experience for Youth Activities was not fully utilized. Recommendation: We recommend that the Organization comply with the requirements or seek a waiver from the federal funding agency. View of Responsible Official: Management agrees with the finding. See the management?s views and corrective action plan.

Categories

Matching / Level of Effort / Earmarking

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
17.258 Wia Adult Program $1.14M
17.259 Wia Youth Activities $346,901
17.274 Youthbuild $223,366
11.307 Economic Adjustment Assistance $111,624
17.720 Disability Employment Policy Development $107,643
17.278 Wia Dislocated Worker Formula Grants $66,887
17.270 Reintegration of Ex-Offenders $59,138
94.006 Americorps $36,056
16.726 Juvenile Mentoring Program $19,679
93.093 Affordable Care Act (aca) Health Profession Opportunity Grants $6,689