Finding 622360 (2022-002)

-
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-03-30
Audit: 39738
Organization: Dutchess County Boces (NY)
Auditor: Rbt Cpa's LLP

AI Summary

  • Core Issue: An employee's salary was incorrectly charged to a federal grant, as they did not work on that specific program.
  • Impacted Requirements: Compliance with OMB Circular A-87 standards for supporting salaries and wages through proper documentation was not met.
  • Recommended Follow-Up: Management should regularly verify employee assignments to grants to ensure accurate salary charges and provide training for new staff.

Finding Text

2022-002 Allowable Costs/Cost Principles ? Support of Salaries and Wages Federal Program: Assistant Listing Number.: 84.002 Adult Education ? Basic Grants to States Condition: The BOCES did not comply with the required standards of Support of Salaries and Wages because one employee whose time was charged to the federal grant during fiscal year did not actually work on the federal grant. The BOCES operates two different grants for adult education programs. The employee?s time was accidently charged to the wrong adult education program. Criteria: The distribution of the salaries and wages of employees are to be supported by either time certifications or personnel activity reports or equivalent documentation which meets the standards in Subsection 8.h. (5) of the OMB Circular A-87 Part 225 Appendix B. The certification for employees who work on one cost objective must be prepared at least semi-annually. Personnel activity reports (PAR) for employees who work on multiple activities or cost objectives must be prepared at least monthly and meet certain prescribed standards, such as accounting for the employee?s total compensation, and reflecting an after-the-fact distribution of the actual activity of each employee. The costs of such compensation are allowable to the extent that they satisfy the specific requirements of this and other appendices under 2 CFR Part 225, and that the total compensation for individual employees: (3) Is determined and supported as provided in Subsection h. (8. Compensation for Personal Services. A. (3).) Questioned Costs: There are no questioned costs. Effect: It is more likely that the extent of effort charged to the various cost objectives may not be representative of the related time devoted to the respective cost objectives. Cause: Due to new staff, the BOCES mistakenly charge the employees salary to the wrong grant. Recommendation: To prevent future occurrences of this deficiency, we recommend that management review the employees being charged to the specific grant and ensure they are actually working on the grant. Perspective: This is believed to be an isolated incident and training of the newer staff will help prevent this issue in the future. Repeat: This is not a repeat finding. Responsible Official?s View: The BOCES agrees with the finding. See attached corrective action plan.

Categories

Allowable Costs / Cost Principles HUD Housing Programs

Other Findings in this Audit

  • 45915 2022-001
    Significant Deficiency
  • 45916 2022-002
    -
  • 45917 2022-001
    Significant Deficiency
  • 45918 2022-002
    -
  • 622357 2022-001
    Significant Deficiency
  • 622358 2022-002
    -
  • 622359 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.027 Special Education_grants to States $1.55M
84.268 Federal Direct Student Loans $398,452
84.048 Career and Technical Education -- Basic Grants to States $280,520
84.063 Federal Pell Grant Program $178,989
84.002 Adult Education - Basic Grants to States $153,000
10.555 National School Lunch Program $129,431
10.553 School Breakfast Program $50,776
84.365 English Language Acquisition State Grants $27,519
10.649 Pandemic Ebt Administrative Costs $1,201