Finding Text
Criteria or specific requirement - (including statutory, regulatory, or other citation) - The Code of Federal Regulations (CFR) Title 2, Part 200.305(b)(3) states that non-federal entities must disburse funds for program purposes before requesting payment from the federal awarding agency or pass-through entity. Condition - The District's expenditure report filed for June 30, 2023 included expenditures in the amount of $27,366 paid in September 2023. These amounts were not reported as committed or obligated. Questioned Costs - NONE. Contexts - The District received federal reimbursement before expenditures were paid. Effect - The June 30, 2023 expenditure report was filed overstating expenditures by $27,366. Cause - Grant expenditures reported on the final June 30, 2023 expenditure report included $27,366 of expenditures that that were not paid by the District until the following fiscal year. Recommendation - Grant expenditure reports should only include expenditures that have been paid during the grant report expenditure period. Managment's response - There is no disagreement with this finding and management will monitor all future federal reimbursement requests.