Crowley's Ridge Development Council, Inc., Claimed Unallowable Costs Under a Recovery Act Grant

The Arkansas Department of Human Services, Office of Community Services (the State), claimed $28,000 on behalf of Crowley's Ridge Development Council, Inc. (the Agency), in unallowable costs for professional services that were not allocable to the program. In addition, the Agency's documentation was inadequate, and, therefore, we could not determine whether $87,000 in accounting services and facility costs were allocated correctly under the terms of the grant and applicable Federal requirements. The Agency also did not competitively bid the purchase of seven vehicles, each of which cost more than $25,000.

Under the American Recovery and Reinvestment Act of 2009, P.L. No. 111-5, enacted February 17, 2009, the Administration for Children and Families received an additional $1 billion for the CSBG program for States to alleviate the causes and conditions of poverty in communities.