FAC Explorer

Finding 636542 (2022-002)

Significant Deficiency
Requirement
B
Questioned Costs
$1
Year
2022
Accepted
2022-12-13
Audit: 54850
Organization: Marshall University Research Corporation (WV)
Auditor: Cliftonlarsonallen LLP

AI Summary

  • Core Issue: Incorrect fringe benefit and indirect cost rates were charged to federal grants due to inadequate internal controls.
  • Impacted Requirements: Compliance with negotiated indirect cost rate agreements and proper internal controls as per CFR Part 200.
  • Recommended Follow-Up: MURC should establish a regular review process for fringe benefit rates charged to grants to prevent future errors.

Finding Text

2022 ? 002 Incorrect Fringe Benefit and Indirect Cost Rates Charged to Grants Federal agency: National Science Foundation, Department of Education, Department of Health and Human Services Federal program title: Research & Development Cluster, IDEA Cluster, Opioid STR Federal Assistance Listing Number: 93.279, 47.074, 84.027, 93.788 Award Period: July 1, 2021 to June 30, 2022 Type of Finding: Significant Deficiency in Internal Controls Over Compliance and Other Matter Criteria or Specific Requirement: When an entity has a negotiated indirect cost rate agreement, rates used to charge indirect costs must be consistent with the appropriate indirect cost rate proposal in accordance with c CFR Part 200, Appendix III or agreement with a pass-through entity. The entity must also have designed and implemented appropriate internal controls over cost rates that are charged to grants. Condition: MURC?s indirect cost rate agreement contains percentages to be applied to direct costs to claim as indirect costs and fringe benefit rates that are to be applied to salaries and wages of employees charged to federal grants. During testing it was noted that for the period of April 1, 2022 to June 30, 2022, an incorrect indirect cost rate percentage and fringe rate was used to calculate indirect costs charged to federal grants. Questioned Costs: Questioned costs are under $25,000 Cause: MURC?s system of internal controls did not properly identify incorrect fringe benefit rates being charged to certain grant agreements. Effects: Fringe benefit rates charged to certain grants were incorrect. Repeat Finding: Not a repeat finding. Recommendation: MURC should implement a control to establish an ongoing review process of the fringe benefit rates being charged to grants. Views of Responsible Officials: Management agrees and has a plan to correct the finding.

Categories

Questioned Costs Subrecipient Monitoring Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 60100 2022-002
    Significant Deficiency
  • 60101 2022-002
    Significant Deficiency
  • 60102 2022-002
    Significant Deficiency
  • 60103 2022-002
    Significant Deficiency
  • 60104 2022-002
    Significant Deficiency
  • 60105 2022-002
    Significant Deficiency
  • 60106 2022-002
    Significant Deficiency
  • 636543 2022-002
    Significant Deficiency
  • 636544 2022-002
    Significant Deficiency
  • 636545 2022-002
    Significant Deficiency
  • 636546 2022-002
    Significant Deficiency
  • 636547 2022-002
    Significant Deficiency
  • 636548 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.788 Opioid Str $2.11M
93.859 Biomedical Research and Research Training $986,471
84.027 Special Education_grants to States $684,416
84.044 Trio_talent Search $608,282
93.959 Block Grants for Prevention and Treatment of Substance Abuse $557,609
84.047 Trio_upward Bound $528,086
93.136 Injury Prevention and Control Research and State and Community Based Programs $490,264
93.847 Diabetes, Digestive, and Kidney Diseases Extramural Research $485,063
93.191 Graduate Psychology Education Program and Patient Navigator and Chronic Disease Prevention Program $429,294
93.658 Foster Care_title IV-E $416,904
93.273 Alcohol Research Programs $380,520
93.837 Cardiovascular Diseases Research $369,154
23.001 Appalachian Regional Development (see Individual Appalachian Programs) $367,163
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $365,364
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $362,287
47.041 Engineering $336,180
84.042 Trio_student Support Services $315,309
17.268 H-1b Job Training Grants $304,832
93.958 Block Grants for Community Mental Health Services $291,977
84.066 Trio_educational Opportunity Centers $284,121
84.173 Special Education_preschool Grants $277,465
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $255,795
84.325 Special Education - Personnel Development to Improve Services and Results for Children with Disabilities $245,160
16.582 Crime Victim Assistance/discretionary Grants $231,021
93.426 Improving the Health of Americans Through Prevention and Management of Diabetes and Heart Disease and Stroke $226,900
93.855 Allergy, Immunology and Transplantation Research $188,105
47.079 Office of International Science and Engineering $183,552
11.020 Cluster Grants $157,766
81.057 University Coal Research $122,365
17.280 Workforce Investment Act (wia) Dislocated Worker National Reserve Demonstration Grants $116,468
23.011 Appalachian Research, Technical Assistance, and Demonstration Projects $112,521
93.421 Strengthening Public Health Systems and Services Through National Partnerships to Improve and Protect the Nations Health $103,462
93.393 Cancer Cause and Prevention Research $97,362
93.113 Environmental Health $85,059
20.933 National Infrastructure Investments $84,024
11.303 Economic Development_technical Assistance $83,868
93.110 Maternal and Child Health Federal Consolidated Programs $79,666
93.279 Drug Abuse and Addiction Research Programs $77,964
93.155 Rural Health Research Centers $72,628
93.994 Maternal and Child Health Services Block Grant to the States $71,220
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $64,489
16.839 Stop School Violence $62,264
93.912 Rural Health Care Services Outreach, Rural Health Network Development and Small Health Care Provider Quality Improvement $50,898
17.603 Brookwood-Sago Grant $49,036
45.169 Promotion of the Humanities_office of Digital Humanities $49,001
16.842 Opioid Affected Youth Initiative $45,565
12.600 Community Investment $43,757
93.240 State Capacity Building $43,243
16.560 National Institute of Justice Research, Evaluation, and Development Project Grants $42,889
84.425 Education Stabilization Fund $38,000
47.070 Computer and Information Science and Engineering $37,306
93.732 Mental and Behavioral Health Education and Training Grants $35,756
16.540 Juvenile Justice and Delinquency Prevention_allocation to States $30,530
11.307 Economic Adjustment Assistance $29,673
64.054 Research and Development $27,055
45.129 Promotion of the Humanities_federal/state Partnership $24,956
12.630 Basic, Applied, and Advanced Research in Science and Engineering $23,151
93.853 Extramural Research Programs in the Neurosciences and Neurological Disorders $22,752
12.903 Gencyber Grants Program $22,122
10.351 Rural Business Development Grant $18,604
93.242 Mental Health Research Grants $17,561
84.344 Office of Postsecondary Education $16,882
15.634 State Wildlife Grants $16,476
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $15,408
81.041 State Energy Program $13,707
47.050 Geosciences $12,511
93.866 Aging Research $11,264
16.812 Second Chance Act Reentry Initiative $10,627
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $10,414
81.049 Office of Science Financial Assistance Program $10,095
66.516 P3 Award: National Student Design Competition for Sustainability $9,408
47.049 Mathematical and Physical Sciences $8,267
12.360 Research on Chemical and Biological Defense $7,182
16.754 Harold Rogers Prescription Drug Monitoring Program $5,871
15.904 Historic Preservation Fund Grants-in-Aid $5,593
16.838 Comprehensive Opioid Abuse Site-Based Program $5,116
93.077 Family Smoking Prevention and Tobacco Control Act Regulatory Research $3,195
93.884 Grants for Primary Care Training and Enhancement $3,179
47.074 Biological Sciences $2,902
93.211 Telehealth Programs $1,215
12.431 Basic Scientific Research $1,106
43.008 Education $737
93.867 Vision Research $535
23.002 Appalachian Area Development $63
93.087 Enhance Safety of Children Affected by Substance Abuse $-448
93.130 Cooperative Agreements to States/territories for the Coordination and Development of Primary Care Offices $-539
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $-720
20.205 Highway Planning and Construction $-931
45.130 Promotion of the Humanities_challenge Grants $-2,264
47.076 Education and Human Resources $-4,912
93.396 Cancer Biology Research $-9,997
13.446 Rural Housing Service $-14,489