Finding Text
2022-002 - Allowable Costs/Cost Principles Federal Program Information: Department of Education - ALN: - 84.425 - Education Stabilization Fund Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 Condition: During audit procedures, it was identified that the Unit does not have a consistent, documented method over invoice and/or purchase order approval to ensure that only allowable costs are being charged to the program. Cause: The Unit has not adopted a policy documenting consistent internal controls for invoice and/or purchase order approval to ensure that only allowable costs are charged to the program. Effect: The Unit is at an increased risk for unallowable cost to be charged to the program. Identification of Questioned Costs: None identified. Context: The population for the test consisted of transactions of over 250 expenditures. 63 samples were selected using the haphazard method. Of the 63 samples, 17 did not have consistent, documented approval of invoices and/or purchase orders to ensure that only allowable costs were being charged to the program. Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Unit develop and implement policies and procedures for a consistent, documented approval process to ensure that only allowable costs are charged to the program. Views of Responsible Officials and Corrective Action Plan: Please see the Corrective Action Plan issued by Regional School Unit 01.