EIN: 621615913
UEI: R81TNHZ365U9
Audited by: Baker Tilly US, LLP
Oversight agency: 21 [Department of the Treasury]
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Data as of August 28, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on March 31, 2026. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by October 1, 2026 (32 days from today).
What is a management decision? →Finding 2025-001 – Lack of Proper Approval of Employee Timecards Federal Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Agency: U.S. Dept of the Treasury Award Year: 2025 and 2024 Criteria: Per 2 CFR §200.430(i), charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be part of the organization’s internal controls and must be reviewed and approved by a responsible official to ensure the accuracy of payroll charges. Additionally, the entity’s internal policies require all employee timecards to be reviewed and approved by supervisors prior to payroll processing. Condition and Context: During our testing of payroll transactions, we noted that 2 out of 25 timecards sampled (8%) were processed without documented supervisory approval. For these instances, timecards were submitted and included in payroll without evidence of review in the timekeeping system or via alternative documented approval. Subsequently, the Organization received permission from the grantor to provide an attestation of the time applied to the grant and implemented controls in August 2024 to manually approve all timecards prior to grant submission. The sample was not a statistically valid sample. Cause: The lack of approval occurred due to oversight in monitoring timecard submissions and enforcement of established approval procedures within the timekeeping system. Effect: Without documented approval, there is an increased risk that payroll charges applied to the federal program may be inaccurate or unallowable, which may lead to questioned costs, misstatements in payroll expense allocations, or noncompliance with federal requirements. Questioned Costs: There are no questioned costs associated with this finding. Recommendation: We recommend that management implement procedures to enforce supervisory review and approval of all timecards prior to payroll processing. We acknowledge that management implemented these procedures after communication with the grantor in August 2024. Planned Corrective Actions and View of Responsible Officials: Management agrees with the finding and implemented controls in August 2024 to be in compliance with the requirements of 2 CFR 200.430(i).
Show full finding ▾Hide full finding ▴Finding 2025-001 – Lack of Proper Approval of Employee Timecards Federal Program: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Agency: U.S. Dept of the Treasury Award Year: 2025 and 2024 Criteria: Per 2 CFR §200.430(i), charges to federal awards for salaries and wages must be based on records that accurately reflect the work performed. These records must be part of the organization’s internal controls and must be reviewed and approved by a responsible official to ensure the accuracy of payroll charges. Additionally, the entity’s internal policies require all employee timecards to be reviewed and approved by supervisors prior to payroll processing. Condition and Context: During our testing of payroll transactions, we noted that 2 out of 25 timecards sampled (8%) were processed without documented supervisory approval. For these instances, timecards were submitted and included in payroll without evidence of review in the timekeeping system or via alternative documented approval. Subsequently, the Organization received permission from the grantor to provide an attestation of the time applied to the grant and implemented controls in August 2024 to manually approve all timecards prior to grant submission. The sample was not a statistically valid sample. Cause: The lack of approval occurred due to oversight in monitoring timecard submissions and enforcement of established approval procedures within the timekeeping system. Effect: Without documented approval, there is an increased risk that payroll charges applied to the federal program may be inaccurate or unallowable, which may lead to questioned costs, misstatements in payroll expense allocations, or noncompliance with federal requirements. Questioned Costs: There are no questioned costs associated with this finding. Recommendation: We recommend that management implement procedures to enforce supervisory review and approval of all timecards prior to payroll processing. We acknowledge that management implemented these procedures after communication with the grantor in August 2024. Planned Corrective Actions and View of Responsible Officials: Management agrees with the finding and implemented controls in August 2024 to be in compliance with the requirements of 2 CFR 200.430(i).
Management's Corrective Action Plan For the Year Ended June 30, 2025 Finding 2025-001 Condition During the audit testing of payroll transactions, it was noted that 2 out of 25 timecards sampled (8%) were processed without documented supervisory approval. For these instances, timecards were submitted and included in payroll without evidence of review in the timekeeping system or via alternative documented approval. The Organization received permission from the grantor to provide an attestation of the time and payroll costs submitted to the grant. Subsequently, the Organization implemented controls to approve all time allocated to the grant prior to submission. Corrective Action Plan Corrective Action Planned: The Organization will utilize the timekeeping system and implement a control mechanism within the system to validate and attest on all grant timecards. This control establishes a two-part signature method (employee user then administrator user) as well as an attestation statement. The attestation statement will be included on the timecard and will state the grant for which the timecard applies. Once an employee user submits their timecards, an administrator user will review the timecard for completeness of hours to the stated grant, ensuring the timecard is sufficient to the grant requirements and supports the payroll calculations used for grant invoice submission. The administrator will then validate and sign the timecard, preparing it for the payroll processing step of grant invoice submission. For timecards where the employee user and the administrator user are the same, the Organization will ensure that a different administrator user signs off and attests on the respective timecard. Name(s) of Contact Person(s) Responsible for Corrective Action: The persons responsible will be one or more of the following, Michael Hook, Director of Research & Education; Allie Haynes, Assistant Director of Research & Education; Felicia Philbin, Accountant; and or Jessica Ray, Executive Director. Anticipated Completion Date: August 30, 2025 Name of Responsible Person: Michael Hook, MBA, Director of Research & Education
FAC accepted this audit on December 31, 2024 — management decision was due July 1, 2025.
FAC accepted this audit on March 28, 2024 — management decision was due September 28, 2024.
In fiscal year 2023, the Organization submitted monthly invoices for payroll expenses related to the grant. These payroll expenses were calculated based on budgeted pay for the fiscal year and not what employees were actually paid. This caused the Organization to be reimbursed more or less for certain employees than the employees were paid. Cause: Payroll is not handled by Cumberland Pediatric Foundation and thus salary amounts for all employees are not easily attainable on a regular basis. Recommendation: We recommend that management obtain documentation on each employee’s pay to use in the calculation of monthly reimbursement requests for the grant. Additionally, we recommend management distribute and maintain documentation on each employee’s pay rate and any pay changes that occur. Views of responsible officers: Management acknowledges this finding and will address remediation in the accompanying management’s corrective action plan.
Show full finding ▾Hide full finding ▴Criteria: Management is responsible for only charging allowable costs to the federal award. In accordance with allowable costs requirements for cost-reimbursed contracts, the Organization is required to request reimbursement for actual, reasonable, and necessary costs based upon the grant budget. Condition: In fiscal year 2023, the Organization submitted monthly invoices for payroll expenses related to the grant. These payroll expenses were calculated based on budgeted pay for the fiscal year and not what employees were actually paid. This caused the Organization to be reimbursed more or less for certain employees than the employees were paid. Cause: Payroll is not handled by Cumberland Pediatric Foundation and thus salary amounts for all employees are not easily attainable on a regular basis. Recommendation: We recommend that management obtain documentation on each employee’s pay to use in the calculation of monthly reimbursement requests for the grant. Additionally, we recommend management distribute and maintain documentation on each employee’s pay rate and any pay changes that occur. Views of responsible officers: Management acknowledges this finding and will address remediation in the accompanying management’s corrective action plan.
Management's Response: We concur. View of Responsible Officials and Corrective Action: Grant budgets are prepared in advance of the funding award. The contracts are awarded based on the projected budget. CPF billed for the salary reimbursement based on the contracted budgeted salary. This resulted in some salaries not being exact. To correct, CPF will bill the exact paid salary. Recommendation: CPF management will review and obtain documentation on each employee's payroll amount and include it in the backup documentation submitted with invoicing. This documentation will clearly support the method and amount of the calculation for all monthly reimbursement requests for salary and will ensure it matches what each employee is paid. Monthly documentation will be obtained before invoicing grants. The person responsible for implementing the corrective action plan is the accountant, Louise, Ratts, CPA. Completion Date: March 01, 2024
Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.
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