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Finding 2013-007, continued:
Year ended June 30, 2013
Per the provision of CFR 2 §215.34, a physical inventory of equipment shall be taken and the results reconciled with the equipment records at least once every two years. Any differences between quantities determined by the physical inspection and those shown in the accounting records shall be investigated to determine the causes of the difference. The recipient shall, in connection with the inventory, verify the existence, current utilization, and continued need for the equipment.
The University currently does not have adequate controls in place to ensure the inventory is taken and reconciled with the equipment records at least once every two years.
The provisions of CFR 2 §215.34 were not followed.
We recommend the University review its current procedures for their inventory process and implement a control that will ensure equipment records are reconciled to the physical inventory taken at least once every two years.
We concur. The University is updating the procedures for inventory process to include a control that will ensure equipment records are reconciled to the physical inventory at least once every two years.
Finding 2013-008:
Federal Program: U.S. Department of Education HBCU – Grad, CFDA 84.382G Food Safety in Changing Economy, CFDA 10.443 Farm Production Marketing Farm Energy, CFDA 10.443
During our review of the time and effort reports, we noted nine reports not being approved in a timely manner, two not signed by the employee, and two not originally completed for all personnel charged to the grant.
Per the OMB Circular A-21 compensation for personal services is allowed when payroll is distributed using an acceptable method such as after the fact activity records. Under this system the distribution of salaries and
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