Finding 994152 (2022-002)

Significant Deficiency
Requirement
AB
Questioned Costs
-
Year
2022
Accepted
2023-03-29

AI Summary

  • Core Issue: Two employees were not paid the correct salary as per the authorized payroll notices, indicating a significant deficiency in payroll controls.
  • Impacted Requirements: This finding violates 2 CFR 200.430(i), which mandates accurate payroll records supported by internal controls.
  • Recommended Follow-Up: Payroll staff should regularly verify that employee pay rates match the authorized notices to prevent incorrect payments.

Finding Text

Finding Number: 2022-002Repeat Finding: NoType of Finding: Significant DeficiencyDescription: Internal Control over Payroll ExpendituresCondition: Out of a sample of 20 payroll transactions there were 2 employees that were not paid at the salary or rate noted on the authorized payroll/status change notice.Criteria: 2 CFR 200.430(i) states that ?Charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must: Be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable, and properly allocated;?.Cause: A lack of updating the payroll system to reflect the actual hourly pay rate or salary that agrees to the authorized payroll/status change notice.Effect: Without ensuring the proper pay rate or salary is entered in the payroll system, it is possible that employees could be compensated the incorrect amounts, and if paid more than the authorized rate or salary, grants could be overcharged, resulting in unallowable costs.Recommendation: We recommend that a member of the payroll department or fiscal team review each employee?s payroll/status change notice and compare to what is in the payroll system to ensure they agree.View of responsible officials: Management agrees with the finding and has committed to a corrective action plan.Finding Number 2022-002: Represents a significant deficiency in internal control over compliance with Tallatoona Community Action Partnership, Inc.?s major federal programs.Repeat Finding: NoType of Finding: Material WeaknessDescription: Internal Control over Payroll ExpendituresMajor Programs: AL#93.569 ? Community Services Block Grant (Passed Through the Georgia Department of Human Services) and AL#93.600 ? Head Start Cluster (Direct)Questioned Costs: NoneHow the questioned costs were computed: N/ACompliance Requirements: Activities Allowed or Unallowed and Allowable Costs, Cost PrinciplesAwards effected:CSBG 42700-040-0000096839 and CSBG 42700-040-0000103931COVID-19 CSBG 42700-040-0000103959 and COVID-19 CSBG 42700-040-0000095979Head Start FY-21 04CH010523-04-01 and Head Start FY-22 04CH010523-05-02COVID-19 Head Start ? CARES - FY21-FY23 04HE000247-01-01COVID-19 Head Start ? ARPA ? FY21-FY 23 04HE000247-01-01Early Head Start CCP FY 21 04HP000305-02-01 and Early Head Start CCP FY 22 04HP000305-03-00COVID-19 Early Head Start CCP CARES ? FY 21-FY 23 04HE000247-01-01COVID-19 Early Head Start CCP ARPA ? FY 21-FY 23 04HE000247-01-01View of responsible officials: Management agrees with the finding and has committed to a corrective action plan.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 417704 2022-001
    Material Weakness
  • 417705 2022-001
    Material Weakness
  • 417706 2022-002
    Significant Deficiency
  • 417707 2022-002
    Significant Deficiency
  • 417708 2022-001
    Material Weakness
  • 417709 2022-001
    Material Weakness
  • 417710 2022-002
    Significant Deficiency
  • 417711 2022-002
    Significant Deficiency
  • 994146 2022-001
    Material Weakness
  • 994147 2022-001
    Material Weakness
  • 994148 2022-002
    Significant Deficiency
  • 994149 2022-002
    Significant Deficiency
  • 994150 2022-001
    Material Weakness
  • 994151 2022-001
    Material Weakness
  • 994153 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.568 Low-Income Home Energy Assistance $688,620
81.042 Weatherization Assistance for Low-Income Persons $518,773
93.600 Head Start $496,706
10.558 Child and Adult Care Food Program $341,937
93.569 Community Services Block Grant $274,488