Boys & Girls Clubs of Central Florida, Inc.Non-Profit

Information on Federal Program - U.S. Department of Agriculture Passed through Florida Department of Health CFDA Number: 10.558 CFDA Name: Child and Adult Care Food Program Criteria – The Code of Federal Regulations (CFR) Section 230 Appendix B 8.m states support is required for salaries and wages charged to federal awards. It states that the distribution of salaries and wages to awards must be supported by personnel activity reports that reflect the distribution of activity of each employee. The reports must reflect an after-the-fact determination of the actual activity of each employee and must account for the total activity for which employees are compensated. The reports must be signed by the individual employee, or by a responsible supervisory official having first-hand knowledge of the activities performed by the employee, that the distribution of activity represents a reasonable estimate of the actual work performed by the employee during the period covered by the reports. Condition – During our testing of payroll disbursements, we noted that 22 of the 40 payroll expenditures (relating to eight salaried employees) selected for testing did not have the properly approved personnel activity report that reflects the distribution of activity of the selected employee. Cause - Policies and procedures were not appropriately adhered to in this instance to ensure a properly approved timesheet was maintained to evidence this cost was allowable and that an appropriate level of review and approval was completed prior to charging this cost to a federal program. Effect or Potential Effect – The lack of sufficient documentation around actual time incurred/spent on a program could lead to either over or under charging the federal program for salary costs. Questioned Costs – We were unable to determine the amount of known questioned costs. See context section below. Context – We tested a sample of 40 payroll expense items and found 22 exceptions relating to eight salaried employees. The expense consisted of $9,015 in gross employee wages charged to the federal program for which properly approved personnel activity report was not available. Total expense charged to the federal program for these employees was $104,446. This is a condition identified per review of the Organization’s controls over compliance with specified requirements using a statistically valid sample.

Information on Federal Program - U.S. Department of Agriculture Passed through Florida Department of Health CFDA Number: 10.558 CFDA Name: Child and Adult Care Food Program Criteria – The Code of Federal Regulations (CFR) Section 200.403(g) states that for costs to be allowable under federal awards, they must be adequately documented and there must be sufficient documentation. Additionally, CFR Section 200.430 states that charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed and are supported by a system of internal control which provides reasonable assurance that the charges are accurate and allowable. Condition – During our testing of payroll disbursements, we noted that three of the 40 payroll expenditures (all three relating to one employee) selected for testing did not have a properly approved personnel action form documenting the employee’s approved pay rate. Cause - Policies and procedures were not appropriately adhered to in this instance to ensure a properly approved personnel action form was maintained to evidence this cost was allowable and that an appropriate level of review and approval was completed prior to charging this cost to a federal program. Effect or Potential Effect - The lack of sufficient documentation around approved pay rates of employees could lead to either over or under charging the federal program for salary costs. Questioned Costs - There are no questioned costs as the disbursement amount is under the questioned cost threshold. See context section below. Context – We tested a sample of 40 payroll expense items and found three exceptions. The expense consisted of $1,244 in gross employee wages charged to the federal program for which properly approved supporting documentation for the employee’s pay rate was not available. Total expense charged to the federal program for this employee was $3,945. This is a condition identified per review of the Organization’s controls over compliance with specified requirements using a statistically valid sample.

Information on Federal Program(s) - U.S. Department of Agriculture Passed through Florida Department of Health CFDA Number: 10.558 CFDA Name: Child and Adult Care Food Program Criteria ? The Code of Federal Regulations (CFR) Section 200.403(g) states that for costs to be allowable under Federal awards, they must be adequately documented and there must be sufficient documentation. Additionally, CFR Section 200.430 states that charges to Federal awards for salaries and wages must be based on records that accurately reflect the work performed and are supported by a system of internal control which provides reasonable assurance that the charges are accurate and allowable. Condition ? During our testing of payroll disbursements, we noted that one of the 25 payroll expenditures selected for testing did not have a properly approved personnel action form documenting the employee?s pay rate. Cause - Policies and procedures were not appropriately adhered to in this instance to ensure a properly approved personnel action form was maintained to evidence this cost was allowable and that an appropriate level of review and approval was completed prior to charging this cost to a federal program. Effect or Potential Effect - We were unable to confirm the accuracy or completeness of the expense claimed as a federal expenditure. Questioned Costs - There are no questioned costs as the disbursement amount is under the threshold. Context ? We tested a sample of 25 payroll expense items and found one exception. The expense consisted of $262 in gross employee wages charged to the federal program for which properly approved supporting documentation for the employee?s pay rate was not available. Total expense charged to the federal program for this employee was $5,948. This is a condition identified per review of the Organization?s controls over compliance with specified requirements using a statistically valid sample. Recommendation - We recommend that the Organization review its controls over payroll disbursements to ensure that all employees have a personnel action form to document approved pay rates. Views of Responsible Officials ? Management was aware of the Organization?s manual process to approve and store physical copies of pay rate approval, which placed the Organization at risk of losing proper documentation especially when Management experienced high turnover in Human Resource Department. Beginning in September 2022, the Organization has modified this process to allow managers to virtually approve and store digital copies of pay rate documentation.

2019-002 Reimbursement Request Calculations Information on Federal Programs: U.S. Department of Agriculture CFDA Number: 10.558 CFDA Name: After School Meal Program Grant Award Number - A-4995 U.S. Department of Agriculture CFDA Number: 10.559 CFDA Name: Summer Food Service Program Criteria: Claim forms for monthly meal reimbursements should be based on attendance records reflecting actual number of meals served. Condition: During the audit process, it was noted that claims for snack reimbursements were not properly reconciled to the related summary of attendance, and therefore the claim form reimbursement requests tested was overstated for the Summer Food Service Program and understated for the After School Meal Program. Questioned Costs: There are no questioned costs as the amounts overstated for the Summer Food Service Program are under the threshold and the amounts for the After School Meal Program were underfunded and due to the Organization. Context: These conditions were identified through our audit process and communicated to management as identified. Effect: Failure to report the proper number of meals served could result in inaccurate reporting of expenses during a specified period and possible disallowance of funds. Cause: Personnel did not adhere to the reconciliation and review process in relation to this condition. Recommendation: Boys & Girls Clubs should ensure that they remain in compliance with reconciliation and review processes.

2019-003 Procurement Policy Information on Federal Programs: U.S. Department of Agriculture CFDA Number: 10.558 CFDA Name: After School Meal Program U.S. Department of Agriculture CFDA Number: 10.559 CFDA Name: Summer Food Service Program Criteria: The Organization should adhere to the federal procurement policies as set forth in the U.S Code of Federal Regulations. Condition: The Organization did not adopt the applicable procurement policies in relation to supplies and services purchased with federal funds during the year ended June 30, 2019. Questioned Costs: There are no questioned costs as the amounts expended were for allowable costs and activities related to the major programs. Context: These conditions were identified through our audit process and communicated to management as identified. Effect: Failure to adhere to federal procurement policies could result in findings upon review by the funding agency and possible disallowance of future funding. Cause: The Organization did not change its internal procurement policies to adhere to federal policies. Recommendation: The Organization should modify its current procurement policies to adhere to the procurement policies as set forth in the U.S. Code of Federal Regulations.

GSA_MIGRATION