Finding Text
Information on the Federal Program: Assistance Listing Number 16.575?Crime Victim Assistance, United States Department of Justice. Pass-Through Entity: Colorado Department of Public Safety. Award Number: 2020-VA-21-562-02. Compliance Requirements: Allowable Costs Type of Finding Noncompliance and significant deficiency. Criteria: In accordance with the terms and conditions of the grant agreement, employee wages may be reimbursed for allowable costs up to a stated percentage. The quarterly draws submitted to the Colorado Department of Public Safety should be equal to, or document, any variances from the stated salary percentages allowed. Condition: We identified inconsistencies between the allocation of wages submitted for reimbursement to the Colorado Department of Public Safety, and what was allowed per the budget under the terms and conditions of the grant. Context: Out of our sample of 10 quarterly wages submitted for reimbursement, 3 employees were reimbursed at a higher percentage than was allowable under the terms and conditions of the grant. Time records were available to support the amount charged to the grant, but were not in accordance with the terms and conditions of the grant. The differences were not identified or supported in the submission for reimbursement. Controls did not appear to be operating effectively to prevent or detect the discrepancy between the approved grant budget and the wages charged to reimbursement. Cause: There are a limited number of personnel to ensure adequate review is performed, prior to submitting quarterly reimbursements under the grant. Effect or Potential Effect: The Organization may be out of compliance with the terms and conditions of the grant. Questioned Costs: None. Recommendation: The Organization should have controls in place to ensure a more robust review of quarterly reimbursements are performed, and document any variances from the allowed wages in the grant agreement, and what is being submitted for reimbursement. Views of Responsible Official: The Organization has hired a full-time Finance Director who will monitor these matters more closely than under the previous structure. The Organization will also review the current controls to ensure a more robust review of quarterly reimbursements are performed and will document any variances from the allowed wages in the grant agreement, and what is being submitted for reimbursement. The organization will review policies and implement an action plan based on the availability of limited staff.