Finding Text
Condition and Context: Federal funds to cover expenditures incurred under one federal award project were drawn down from another federal project. In testing federal drawdowns, we traced each individual drawdown from the Health Start Initiative: Elimination Disparities in Perinatal Health federal award project, as reported in the HRSA PMS system, to the general ledger. There were 43 drawdowns during the year, totaling $1,055,582. Three of the drawdowns included amounts that should have been drawn down from the Catalysts for Infant Health Equity federal awqrd project. The total amount drawn down in error was $2,841. Criteria: Non-federal entities must minimize the time elapsing between the transfer of funds from the US Treasury and disbursement by the non-federal entity for direct cost programs. Cause: While a breakdown of which project the funds were to be drawn from was provided, the individual drawing down the funds mistakenly drew them from the same project. Effect: Funds in excess of cash needs were drawn down. Recommendation: Procedures should be established to ensure that federal funds are drawn down from the correct federal project.