Finding 624514 (2022-007)

Significant Deficiency Repeat Finding
Requirement
B
Questioned Costs
$1
Year
2022
Accepted
2023-07-13
Audit: 53429
Organization: Ucan (IL)
Auditor: Rsm US LLP

AI Summary

  • Core Issue: Unallowable salary costs were submitted for reimbursement, including duplicate charges and amounts exceeding payroll support.
  • Impacted Requirements: This violates the grant agreement budget and 2 CFR 200.430, which mandates accurate salary allocation based on actual work performed.
  • Recommended Follow-Up: Strengthen internal controls over salary allocations to ensure compliance with grant requirements and prevent future errors.

Finding Text

Finding 2022-007: Unallowable cost-salary allocation Repeat Finding Yes (2021-008) Federal Program Title: U.S. Department of Justice Passed through Illinois Criminal Justice Information Authority 16.575; Crime Victim Assistance Award Year Award# 219040: March 23, 2021 ? May 31, 2022 Criteria: Section C of the grant agreement budget from Illinois Criminal Justice Information Authority indicates approved individuals and positions with their approved salary allocation percentages. 2 CFR 200.430 requires that charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. Condition: One employee?s salary was applied twice in the same reporting period. One employee?s expenditure was applied at an amount that was greater than the individual?s payroll support provided. Cause: Due to turnover in upper financial management, program oversight was not performed timely. Effect: Unallowable costs were submitted for reimbursement causing UCAN to be out of compliance with grant agreement budget Section C. Questioned costs: There was $1,458 in payroll applied twice in the same period and $500 in payroll expenses applied more than payroll support. Questioned costs totaled $3,585. Context: Out of 60 selections, one employee?s salary was applied twice in the same reporting period and one employee?s payroll expenditure was submitted for reimbursement at a higher amount than allowable per grant agreement. Recommendation: We recommend that management strengthen their internal controls over the salary amounts being charged to the program. Views of responsible officials: Management agrees with this finding. Please see corrective action plan attached.

Categories

Questioned Costs Allowable Costs / Cost Principles Internal Control / Segregation of Duties

Other Findings in this Audit

  • 47968 2022-010
    Significant Deficiency Repeat
  • 47969 2022-011
    Significant Deficiency
  • 47970 2022-012
    Significant Deficiency Repeat
  • 47971 2022-013
    Significant Deficiency Repeat
  • 48072 2022-007
    Significant Deficiency Repeat
  • 50958 2022-008
    Material Weakness Repeat
  • 50959 2022-009
    Significant Deficiency Repeat
  • 624410 2022-010
    Significant Deficiency Repeat
  • 624411 2022-011
    Significant Deficiency
  • 624412 2022-012
    Significant Deficiency Repeat
  • 624413 2022-013
    Significant Deficiency Repeat
  • 627400 2022-008
    Material Weakness Repeat
  • 627401 2022-009
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
16.575 Crime Victim Assistance $890,857
94.011 Foster Grandparent Program $419,581
17.259 Wioa Youth Activities $290,970
10.555 National School Lunch Program $58,272
10.553 School Breakfast Program $38,333