Finding 965956 (2023-001)

Material Weakness
Requirement
H
Questioned Costs
-
Year
2023
Accepted
2024-03-29
Audit: 300465
Organization: American Library Association (IL)

AI Summary

  • Issue: An invoice from September 2023 was incorrectly recorded in the fiscal year ending August 31, 2023.
  • Requirements Impacted: Expenditures must be charged within the designated budgetary period as mandated by the Federal Agency.
  • Follow-Up: Implement stronger internal controls and provide training to ensure accurate recording of expenditures in the correct period.

Finding Text

FINDING 2023-001 - CONTROLS OVER PERIOD OF PERFORMANCE Federal Program: 36.XXX - United States Holocaust Museum and Memorial Holocaust Museum Traveling Exhibition Criteria: The Federal Agency requires that expenditures charged to federal awards must occur in the covered budgetary period, for the year ended August 31, 2023. Condition: During our testing of the 36.XXX program, we noted one sample item that was a September 2023 invoice incorrectly accrued as of fiscal year end. Cause: The individuals responsible for processing this invoice did not record the expenditure in the proper period. Effect: The expenditure was charged to the wrong period. Questioned Costs: None Recommendation: We recommend that the Association implement internal controls and procedures to ensure expenditures are recorded in the proper period. Management's Response: During the fiscal year end closing process, invoices will be closely examined to determine proper cut-off procedures are applied and invoices will be matched and recorded in the period that the service is performed and/or the goods are received. In addition, education will be strengthened for Grant Principal Investigators to aid in the determination of recording invoices in the correct fiscal year.

Categories

Period of Performance Internal Control / Segregation of Duties

Other Findings in this Audit

  • 389514 2023-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
36.U00 United States Holocaust Museum and Memorial $272,862
45.313 Laura Bush 21st Century Librarian Program $154,151
45.312 National Leadership Grants $144,403
45.164 Promotion of the Humanities_public Programs $117,697
42.010 Teaching with Primary Sources $109,817
43.U00 National Science Foundation $36,055
43.001 Science $7,908