Finding 971089 (2022-002)

U.S. Department of Education Education Innovation and Research CFDA #84.411C Activities Allowed Allowable Costs Period of Performance Material Weakness in Internal Control Criteria: A complete system of internal controls requires all expenditures to be properly approved and supported by appropriate documentation. In addition, all expenditures charged to the federal programs are required to be allowable costs under the program and allocated in accordance with CFA’s cost allocation plan. Condition: One out of 19 non‐payroll expenditures tested lacked the required signature of the Director of Fiscal and Business Operations. Cause: Due to an oversight by CFA, the signatures of both the Director of Fiscal and Business Operations and the Manager of Business Operations were not present on the expenditure documentation. Effect: Improper expenses may be improperly approved. Questioned Costs: $0 Context/Sampling: A nonstatistical sample of 27 transactions out of 135 total transactions were selected for testing which accounted for $203,609 of $774,665 total federal program expenditures. Repeat Finding from Prior Year: No. Recommendation: We recommend CFA’s management require both the Director of Fiscal and Business Operations and the Manager of Business Operations to review and approve all non‐payroll expenditures. Views of Responsible Officials: Management agrees with the finding.