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Audit of the Corporation for National and Community Service Grants Awarded to Youthprise

Date Issued
Report Number
Report Type
The audit of a CNCS Social Innovation Fund award to Youthprise and four of its six subgrantees (Amherst H. Wilder Foundation, MIGIZI Communications, Sauk-Rapids Rice, and Guadalupe Alternative Programs) identified questioned Federal costs of $626,099, questioned match costs of $990,137, and compliance findings. These costs tested were incurred between August 1, 2016 and June 30, 2018. Most of the questioned costs identified were associated with (1) Youthprise improperly awarding sole-source contracts; and (2) subgrantees’ timekeeping deficiencies. Overall, CNCS’s proposed actions addressed our recommendations. CNCS disagreed with five of 14 recommendations due to the grant period ending and the absence of future funding. CNCS has committed to monitoring Youthprise’s compliance with Federal regulations for future grants – which satisfies the intent of these recommendations. Also, Youthprise and its subgrantees took corrective actions to improve controls over monitoring contractors; implemented a new timekeeping system and engaged CNCS preferred vendors to enhance its compliance with National Service Criminal History Checks.
Joint Report
Agency Wide
Questioned Costs

Open Recommendations


Disallow and recover $603,476 ($231,806 in Federal and $374,861 in match costs) from Sauk-Rapids Rice due to the lack of support for employee's time worked on the grant and $3,192 for other Federal costs claimed because of insufficient match contributions.


Disallow and recover $673,178 ($336,062 in Federal and $337,116 in match) from Guadalupe Alternative Programs due to being unable to verify the accuracy of employees' time worked on the grant because of the lack of time being segregated by project/program codes.


Disallow and recover $11,681 ($5,681 in Federal from Amherst H. Wilder, and $6,000 in match from Sauk-Rapids Rice) due to unsupported costs in its financial management systems