Houston, TX
United States
We identified questioned costs of $438,032 due to improper documentation and non-compliance with disaster grant requirements.QC further broken down as follows:
• LADRC – Leave & Holiday Hours totaling $39,983 in Questioned Costs.
• Incurred Costs…
We recommend the CEO perform a review of the Incurred Costs Grant budget application and timekeeping records related to the disasters from 2020 and 2021 to identify the actual hours worked and corresponding costs for case time and administrative leave…
We recommend the CEO implement a procedure to ensure that all relevant information, including the dates of office closures, offices impacted or closed, and staff on administrative leave due to disasters Hurricane Laura and Winter Storm Uri are adequately…
We recommend that the CEO revise LSLA’s contracting policy to require recompeting recurring purchases and long-standing contracts every three to five years.
We recommend that the CEO implement a process to ensure LSLA follows its procurement policy. This includes documenting bids for all applicable purchases. Additionally, sole-source justifications should be documented and approved.
We recommend that the CEO implement a process to ensure unauthorized personnel do not enter into contracts on behalf of LSLA. Alternatively, if LSLA decides that it would be beneficial to allow more flexibility in contract approval authority, this should…
We recommend that the CEO ensure LSLA's written cost allocation policies are updated to fully align with LSC requirements. Subjective adjustments should be minimized, and the considerations resulting in those adjustments should be formalized in the…
We recommend that the CEO update LSLA’s cost allocation methodology to ensure unrestricted funds are equitably included as a source to pay for indirect costs.
We recommend that the CEO ensure LSLA allocates the maximum allowable indirect costs to all funding sources, as per LSC guidance.
We recommend the CEO update the LSLA Accounting Manual to include policies and procedures surrounding card usage, statement reviews, payment processes and the credit card reconciliation process.
We recommend the CEO establish explicit written policies and procedures for board travel reimbursement policies. In addition, the policies should stipulate when per diem allowance limits can be overridden as well as the required documentation of review…
We recommend that the CEO revise LSLA's written policies to include the following details:
• Timeline for preparing management reports
• Identification of known commitments
• Contents of the income and expense report
• Support of projections by…
We recommend that the CEO implement a process to document management's review of monthly reports. This should include a signature and date to denote the review and ensure compliance with LSC’s Financial Guide.
We recommend the CEO update the LSLA Accounting Manual to include policies for reconciling labor costs with timekeeping records, and to ensure that paid time off is allocated proportionally based on hours worked across different funding sources.
We recommend that the CEO ensure LSLA's written policies reflect the actual practices in place and comply with the applicable legal requirements for unclaimed client funds.