Report Summary
Department of Commerce
Federal Compliance Audit
|
Financial Audit Division Report 11-10 |
Released April 22, 2011 |
Conclusion
The Department of Commerce generally complied with and had controls to ensure compliance with provisions of laws, regulations, contracts, and grants applicable to the major federal programs we audited for fiscal year 2010. However, the department had control weaknesses and noncompliance with federal requirements, as noted in the four findings presented in this report.
Findings
- The Department of Commerce did not adequately perform certain monitoring procedures designed to ensure that local service providers complied with federal requirements of the Weatherization Assistance for Low-Income Persons Program.
- The Department of Commerce overcharged $117,324 of agency indirect costs to federal programs for the fourth quarter ending June 30, 2010.
- The Department of Commerce has not yet recovered disallowed expenditures totaling $426,523 for the Weatherization Assistance for Low-Income Persons Program reimbursed to a local service provider that it suspended.
- The Department of Commerce did not adequately track equipment inventory purchased by local service providers with funds from the federal Weatherization Assistance for Low-Income Persons Program.
Audit Scope
Our scope included the Low-Income Home Energy Assistance Program and the Weatherization Assistance for Low-Income Persons Program, which were major federal programs for the State of Minnesota for fiscal year 2010.
