Hawaii Claimed Unallowable Community Services Block Grant Costs for Honolulu Community Action Program, Inc.'s Expenditures Under the Recovery Act

Under the American Recovery and Reinvestment Act of 2009 (Recovery Act), the Hawaii Department of Labor and Industrial Relations, Office of Community Services (State agency), was awarded $5 million in Community Services Block Grant (CSBG) funds for fiscal years 2009 and 2010. For the period October 19, 2009, through September 30, 2010, the State agency awarded Honolulu Community Action Program, Inc. (HCAP), $3.1 million in CSBG Recovery Act funds.

Of the $2.4 million of CSBG costs that the State agency claimed for HCAP's program expenditures, $1.9 million was allowable in accordance with applicable Federal requirements. The remaining $500,000 represented unallowable costs for computer and multimedia equipment, furniture, and supplies.