Single Audit Report Fiscal Year Ended June 30, 2012 - State ...

State of GeorgiaAuditee’s Corrective Action PlansFor the Fiscal Year Ended June 30, 2012needs. The transactions reflect an adjustment to amend allocated expenses to assure that all programs were charged their fairshare of expenses incurred during the delivery of services.Contact Person: John T. Williams, Accounting DirectorTelephone: 404-232-3575 Fax: 404-232-3578 E-mail: JohnT.Williams@dol.state.ga.usAUDITOR CONCLUDING REMARKS:Auditors requested and expected complete documentation for all transactions included in the testing of the programs. Auditwork performed and conclusions reached were based on documentation provided by the Georgia Department of Labor.Finding Control Number: FA-440-12-04PERIOD OF AVAILABILITY OF FEDERAL FUNDSExpenses Recorded Outside of Grant PeriodWe do not concur with finding. The Department notes that the expenses are appropriate for the grant but acknowledges thatthe Purchasing Office initially charged the expenses to the wrong grant year. However, because adjustments have been madein the fiscal year 2013 financial records to correct this matter, no questioned costs should have been reported.The Department will review its internal control procedures, and make revisions as indicated, to ensure expenses are recordedin accordance with period of availability requirements.Contact Person: John T. Williams, Accounting DirectorTelephone: 404-232-3575 Fax: 404-232-3578 E-mail: JohnT.Williams@dol.state.ga.usAUDITOR CONCLUDING REMARKS:During the year under review, these expenditures were recorded to the incorrect grant year and, as a result, were included asquestioned costs. As with all questioned costs associated with findings, subsequent reviews will ultimately determine thestatus, and this does not change the rationale that the cost was questioned during the year under review.Finding Control Number: FA-440-12-05PERIOD OF AVAILABILITY OF FEDERAL FUNDSExpenses Recorded Outside of Grant Period of AvailabilityWe concur with this finding with the following explanation. The expenditures in question are expenditures incurred byprogram sub-recipients. These expenditures were actually incurred within the period of eligibility but were not timelyreported to the Department to ensure the expenditures were recorded at the Department level within the same grant period ofavailability. It should be noted all the expenditures reported were allowable program expenditures.The Department will review its internal control procedures, and make revisions as indicated, to ensure that futureexpenditures are recorded in accordance with period of availability requirements.Contact Person: John T. Williams, Accounting DirectorTelephone: 404-232-3575 Fax: 404-232-3578 E-mail: JohnT.Williams@dol.state.ga.usFinding Control Number: FA-440-12-07REPORTINGDeficiencies in Financial ReportingWe do not concur with this finding. The finding is very vague in that the auditors list 4 quarters of #9130 reports that wereexamined but, then go on to note the problem as "several instances where the documentation provided was not adequate tosupport the amounts reported". The Unemployment Compensation Grant had 27 reports submitted during the audit period inquestion. The statement by the auditors "several instances" does not describe specifically which reports are questioned or towhat the extent of their determination of what any problem may have been. During the time the audit was in progress, theauditors did request additional information concerning the reports mentioned above and that information was provided.318