ASSOCIATION OF UNIVERSITY CENTERS ON DISABILITIES

Finding 2023-001: Cut off of Expenses Information on the Federal Program: 93.421 Criteria or Specific Requirement (Including Statutory, Regulatory, or Other Citation): Title 2 CFR 200 Section 200.303 “Internal Controls” requires recipients of Federal funds to establish internal controls that should be in compliance with guidance in the "Integral Control Integrated Framework" issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: During our audit, we noted expenses that were applicable to fiscal year ended June 30, 2022 that were entered into their accounting system in the fiscal year ended June 30, 2023. In addition, as a result of these items being in the wrong period, management did a search and noted items applicable to the fiscal year ended June 30, 2023 that were initially recorded in fiscal year ending June 30, 2024. Cause: The employee that is in charge of submitting invoices to Bill.com for grant payments failed to submit these into their accounting system in the proper period. Effect or Potential Effect: This caused the Schedule of Expenditures of Federal Awards to be understated for the year ended June 30, 2022 and overstated for the year ended June 30, 2023. Questioned Costs: None Context: Our audit procedures over accounts payable consisted of items over our materiality threshold These items were identified through these tests. Identification as a Repeat Finding, if Applicable: Not applicable Recommendation: We recommend that AUCD develop additional procedures to ensure that the employee in charge of this program records all invoices to be paid in the proper period.