Hawaii Claimed Unallowable Community Services Block Grant Costs for Administrative Expenditures Under the Recovery Act.

摘要

In the State of Hawaii, the Department of Labor and Industrial Relations, Office of Community Services (State agency), was responsible for approving CAAs applications for CSBG Recovery Act funds and monitoring CAAs compliance with Federal requirements. Under the Recovery Act, the State agency was awarded $5 million in CSBG funds for FYs 2009 and 2010. The State agency distributed the entirety of the CSBG Recovery Act award to four CAAs. By accepting grant awards, States agree to comply with Federal regulations governing the administration of the grants, including compliance with various cost principles. States receiving CSBG Recovery Act funds are subject to 45 CFR part 96. ACF guidance stated that the Recovery Act (unlike the regular CSBG program) did not allow for State expenditures on administrative costs and statewide discretionary activities. Our objective was to determine whether the State agency complied with Federal requirements when distributing CSBG Recovery Act funds to the CAAs and returning unspent funds to the Federal Government.