Finding Text
U.S. Department of Labor, WIOA Adult Program, Assistance Listing Number 17.258, Passed Through Workforce Connections, Internal Control over Allowable Activities, Allowable Costs and Period of Performance.
Criteria: To promote an effective control environment, internal controls over the approval of the Request for Reimbursement (RFR) form should be designed, implemented, and consistently applied.
Condition: RFR forms are prepared and submitted to the grantor in order to receive reimbursement for expenditures. A review of each RFR should be performed to ensure expenditures are for allowable costs, allowable activities and are within the period of performance allowed for under the grant. There was no control in place to ensure to the appropriateness of expenditures for all of the 23 test selections.
Cause: The internal control system over the review of the RFR form had not been designed or implemented.
Effect: Failure to design and implement controls over the review of the RFR form could result in errors in the expenses allocated to the grant. U.S. Department of Labor, WIOA Adult Program, Assistance Listing Number 17.258, Passed Through Workforce Connections, Internal Control over Allowable Activities, Allowable Costs and Period of Performance. (continued)
Repeat Finding: This is a repeat finding from the year ended June 30, 2022 (2022-003).
Recommendation: We recommend management design and implement a system of internal controls whereby all RFR forms are reviewed prior to submission.
Views of Responsible Officials: Hope for Prisoners’ CEO reviews and approves all RFR forms in writing prior to submission. Oversight by specific board members will be provided through a review of the submitted RFR to compare it to the monthly financial reports already being provided.