Fiscal Monitoring: Ensuring Accountability of Your Sub-Grantees Kristina Tecce Walker & Company LLP Ktecce@walkerllp.com 877-363-9300

Purpose for Monitoring Ensure Compliance & Program Quality Provide Technical Assistance and Support Share information Ensure Accountability Communicate Concerns Gather Best Practices

Fiscal Site Visit Goals Effective system of internal control and accountability Accounting transactions are recorded properly and timely General ledger is consistent with financial reporting Source documentation to support recent FSR is available Match is properly documented and recorded (including in-kind)

Selecting Projects for Onsite Monitoring Use risk assessment tool to assess risk Various risk factors Grantee Funding levels Staff Turnover (either Fiscal or Program) Number of years as grantee Prior issues Audit findings Time since last visit

Pre-Visit Review materials in preparation for visit FSR (269) and Reimbursement Requests Egrants Budget Review previous site visit and recent correspondance Review A-133 Audits and/or available financial reports Review Member enrollment and hours

Items to Review/Request Accounting manual/written fiscal policies & procedures Print out from Chart of Accounts where grant expenses are reported Recent FSR Supporting ledger for recent payment request Most recent reconciled bank statement

Items to Review/Request Staff time sheets Cost allocation methodology memo Segregation duties checklist Budget to actual expenses variance analysis Source document to support all expenses reported (federal & non-federal) on FSR for the period under review Indirect Cost Agreement (if applicable) Other items as applicable

Compliance Monitoring FSR Review Based on information obtained in previous questions as well as general ledger print out are expenses Reasonable Allowable Necessary Make sure that General Ledger is consistent with approved budget and recent FSR

Compliance Monitoring Personnel/Staff Expenditures -Critical to ensure time and activity is appropriate -Salary charges to the grant should be based on actual time or a periodic (monthly/quarterly) reconciliation of budgeted time to actual time worked. Are there staff that work less that 100% on grant or work on two grants? Be sure to examine allocations.

Compliance Monitoring Match cash resources How does the organization record donations for match? How are these funds tracked? Is program meeting 15% non-federal match for stipends? Is program meeting operational match?

Compliance Monitoring In-kind Documentation Do forms or vouchers include Name of donor Date of donation Description of item/service Estimated value (should come from donor) Donor signature Is value appropriate?

Compliance Monitoring Accounting records Using chart of accounts, Are there different codes within the accounting system to separately track grant funds and match? Segregation of duties Who reconciles bank statement? Who signs checks? Ensure that more than one person is involved in processes.

Post Visit Findings & Follow-up Work with Grants Officer Discuss issues Determine appropriate corrective action Follow-up in writing with Grantee Set deadlines for follow-up items