Performance Audit Report on SALA’s LSC Grant Oversight and Compliance with LSC Grant Requirements

Date Issued

Monday, December 9, 2024

Submitting OIG

Legal Services Corporation OIG

Agencies Reviewed/Investigated

Legal Services Corporation

Report Number

AU 25-03

Report Type

Audit

Location

Tucson, AZ
United States

Number of Recommendations

Questioned Costs

$48,887

Funds for Better Use

Report updated under NDAA 5274

Open Recommendations

This report has 7 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use
1	No	$0	$0
Develop written timekeeping policies and procedures, including timesheet review, and provide training to SALA staff and to new employees on charging leave and holiday time.
2	No	$27,167	$0
Provide training to all SALA employees involved in coding costs as direct or indirect. The training should include the definitions of direct and indirect costs and should contain explicit guidance on how to account for each type of expense.
3	No	$17,816	$0
Update SALA’s Accounting Manual to include a specific, compliant method for charging support staff salaries directly to sponsored funding sources as well as policies and procedures to account for hours worked in excess of the SALA 35 hours per week requirement.
4	No	$0	$0
Once the Accounting Manual is updated, provide training to its accounting staff.
5	No	$3,904	$0
Update the SALA Accounting Manual with detailed second-party review procedures to ensure that unallowable expenses are not charged to the LSC grants.
6	No	$0	$0
Once the Accounting Manual is updated with detailed procedures, train applicable SALA staff on the timecard and second-party review procedures.
7	No	$0	$0
Develop detailed review procedures and/or checklists to be used in oversight reviews of records created to support accounting entries and/or compliance assessments.