Finding Text
2022-05 ? Controls over equipment purchases for federal programs Criteria: The Organization is required to maintain policies with internal controls over compliance with federal programs. Condition: The Organization does not have a formal policy for monitoring equipment purchases. Cause: There was no team member assigned to this task during the year. Effect: Potentially, unallowable costs could be charged to the federal programs. However, we did not note instances of this in our testing. Recommendation: The Organization should establish controls over equipment purchases for federal programs to ensure the costs are allowable and the equipment is used for activities allowed. The Organization?s policies should also include periodic physical inventory of the equipment. Response: The Organization will establish these policies and assign the appropriate program director to monitor compliance with the policy.