Finding Text
Condition: During our testing of cash management, it was noted an individual received their disbursement of remaining funds 91 days after the date of entry.
Criteria: In accordance with the federal contract, all client funds must be expended within 90 days of arrival.
Cause: Principles and procedures were not appropriately adhered to in this instance resulting in expenditures occurring after the 90-day period.
Effect: An ineffective control system related to ensuring expenditures occur within the required 90 days period which could result in noncompliance with law and regulations and possible loss of funding for the related program.
Context: We sampled 40 items and found 1 exception. This is a condition identified per review of the Institute’s compliance with specified requirements using a statistically valid sample.
Recommendation: We recommend that the Institute ensure its policies and procedures are followed on a consistent basis.