Finding Text
2023-004 U.S. Department of Department of Transportation – AL #20.106 Airport Improvement Program – Allowable Costs
Grant Award: 3-38-0022-064-2022 & 3-38-0022-056-2021
Criteria
The Authority is required to ensure costs charged to the AIP program comply with the cost principles at 2 CFR 200, Subpart E, and the AIP handbook.
Condition
During Review of costs charged to the AIP program, it was noted that the Authority submitted a payment request and subsequently received AIP funds for Payroll and Benefit expenses that were previously reimbursed. Additionally, the Authority submitted a payment request and subsequently received AIP funds for AIP Ineligible Constructions costs. As of December 31, 2023 no funds have been returned to U.S. DOT.
Questioned Costs
$129,874
Context
We reviewed all expenditures charged to the AIP program
Cause
Employee oversight.
Effect
The questioned cost could potentially result in unallowable costs for the program.
Recommendation
We recommend that the Authority implement internal controls to ensure all payment requests, related invoices and expenditures are properly reviewed for allowability and accuracy.
Repeat Finding
This is not a repeat finding.
Views of Responsible Officials
Management recognizes the deficiency and plans to implement the auditor’s recommendation.