Finding 976676 (2023-002)

FINDINGS - MAJOR FEDERAL AWARD PROGRAM AUDIT Corporation for National and Community Service Finding, 2023-002: Major Program: AmeriCorps, Federal Assistance Listing Number 94.006 STATEMENT OF CONDITION The Organization has a cost reimbursement contract with AmeriCorps. CRITERIA AmeriCorps’ cost reimbursement contracts require the costs to be incurred by the Organization in order to receive reimbursement. EFFECT OF CONDITION The Organization will need to amend the billing and may be requested to repay AmeriCorps a total of $4,421. CONTEXT During audit fieldwork, tests were performed for compliance requirements over the major program, including controls over cost reimbursement billing. It was discovered the major program was overbilled by $4,421. CAUSE OF CONDITION The Organization overbilled AmeriCorps due to an oversight of management while preparing the bill. RECOMMENDATION The auditor recommends the Organization adjust the internal control process to have the bills verified internally, before sending to AmeriCorps. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTIONS The Organization will be contacting AmeriCorps regarding the overbilling and intends on implementing a modification to the procedures for billing cost reimbursement contracts.