Internal Control Findings - Material Weakness U.S. Department of Health and Human Services: 2022-003 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) CRITERIA: In accordance with the Uniform Guidance, the Organization should have internal controls over some or all of the compliance requirements for major federal programs. CONDITION: The Organization's internal controls over activities allowed/allowable costs were determined to be ineffective during the performance of internal control testing over the major federal program. CAUSE: The Organization did not adhere to their established controls and procedures over activities allowed/allowable costs. EFFECT: The Organization may include costs that are not allowable in their cost of assistance. A sample of 93 transactions totaling $128,271 was selected for testing from a population of 1,641 transactions. There were 7 disbursement transactions that were not approved by two employees in accordance with the organization?s policy and 1 payroll timesheet did not have evidence of the employee or supervisor approval. There were 8 payroll transactions that did not have documentation to support the organization?s policy that salaried employees work a minimum of 40 hours a week. There were two disbursement transactions charged to the program that were not related to the Head Start activities. One of these unallowable transactions was charged to the COVID 19 funding allocation. Our sample was a non-statistical sample. RECOMMENDATION: The Organization should review their established policies and procedures for effectiveness and ensure all employees adhere to all established procedures. Additionally, management should ensure all costs charged to the program are allowable under the grant guidelines. MANAGEMENT?S CORRECTIVE ACTION PLAN: United Way of Acadiana has welcomed a new Finance Director with experience in establishing internal controls. We are committed to implementing comprehensive internal controls that encompass enhancing financial reporting processes to ensure accuracy, transparency, and compliance with regulatory standards; budget oversight, risk management and expenditure and cash flow management.
U.S. Department of Health and Human Services: 2022-005 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) See internal control finding 2022-003.
Internal Control Findings - Material Weakness U.S. Department of Health and Human Services: 2022-003 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) CRITERIA: In accordance with the Uniform Guidance, the Organization should have internal controls over some or all of the compliance requirements for major federal programs. CONDITION: The Organization's internal controls over activities allowed/allowable costs were determined to be ineffective during the performance of internal control testing over the major federal program. CAUSE: The Organization did not adhere to their established controls and procedures over activities allowed/allowable costs. EFFECT: The Organization may include costs that are not allowable in their cost of assistance. A sample of 93 transactions totaling $128,271 was selected for testing from a population of 1,641 transactions. There were 7 disbursement transactions that were not approved by two employees in accordance with the organization?s policy and 1 payroll timesheet did not have evidence of the employee or supervisor approval. There were 8 payroll transactions that did not have documentation to support the organization?s policy that salaried employees work a minimum of 40 hours a week. There were two disbursement transactions charged to the program that were not related to the Head Start activities. One of these unallowable transactions was charged to the COVID 19 funding allocation. Our sample was a non-statistical sample. RECOMMENDATION: The Organization should review their established policies and procedures for effectiveness and ensure all employees adhere to all established procedures. Additionally, management should ensure all costs charged to the program are allowable under the grant guidelines. MANAGEMENT?S CORRECTIVE ACTION PLAN: United Way of Acadiana has welcomed a new Finance Director with experience in establishing internal controls. We are committed to implementing comprehensive internal controls that encompass enhancing financial reporting processes to ensure accuracy, transparency, and compliance with regulatory standards; budget oversight, risk management and expenditure and cash flow management.
U.S. Department of Health and Human Services: 2022-005 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) See internal control finding 2022-003.
2022-004 Controls Over Reporting Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) CRITERIA: In accordance with the federal program guidelines, the Organization is required to file the SF-429 Real Property Status Report, SF-429A General Reporting, and the SF-425 Federal Financial Report. The Organization should have internal controls over the preparation and timely submission of these required reports. CONDITION: The Organization did not have adequate internal controls over the preparation and timely submission of the required reports for their major federal program. CAUSE: The Organization has established controls and procedures over reporting; however, the controls are not operating effectively. EFFECT: The Organization?s SF-429 and SF-429A was filed approximately 36 days after the prescribed due date. RECOMMENDATION: The Organization should review their established policies and procedures and ensure that the required federal program reporting is submitted within the prescribed timelines. MANAGEMENT?S CORRECTIVE ACTION PLAN: United Way of Acadiana has initiated finance training in collaboration with Head Start consultants through the Head Start Program. This training partnership has provided UWA with valuable insights into best practices, and we have already begun to benefit from this support. We are committed to expanding our training efforts and refining our policies and procedures to further enhance our capabilities. Our objective is to guarantee punctual and precise submission of all reports, reinforcing our dedication to transparency and accountability.
2022-006 Controls Over Reporting Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) See internal control finding 2022-004.
Internal Control Findings - Material Weakness U.S. Department of Health and Human Services: 2022-003 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) CRITERIA: In accordance with the Uniform Guidance, the Organization should have internal controls over some or all of the compliance requirements for major federal programs. CONDITION: The Organization's internal controls over activities allowed/allowable costs were determined to be ineffective during the performance of internal control testing over the major federal program. CAUSE: The Organization did not adhere to their established controls and procedures over activities allowed/allowable costs. EFFECT: The Organization may include costs that are not allowable in their cost of assistance. A sample of 93 transactions totaling $128,271 was selected for testing from a population of 1,641 transactions. There were 7 disbursement transactions that were not approved by two employees in accordance with the organization?s policy and 1 payroll timesheet did not have evidence of the employee or supervisor approval. There were 8 payroll transactions that did not have documentation to support the organization?s policy that salaried employees work a minimum of 40 hours a week. There were two disbursement transactions charged to the program that were not related to the Head Start activities. One of these unallowable transactions was charged to the COVID 19 funding allocation. Our sample was a non-statistical sample. RECOMMENDATION: The Organization should review their established policies and procedures for effectiveness and ensure all employees adhere to all established procedures. Additionally, management should ensure all costs charged to the program are allowable under the grant guidelines. MANAGEMENT?S CORRECTIVE ACTION PLAN: United Way of Acadiana has welcomed a new Finance Director with experience in establishing internal controls. We are committed to implementing comprehensive internal controls that encompass enhancing financial reporting processes to ensure accuracy, transparency, and compliance with regulatory standards; budget oversight, risk management and expenditure and cash flow management.
U.S. Department of Health and Human Services: 2022-005 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) See internal control finding 2022-003.
Internal Control Findings - Material Weakness U.S. Department of Health and Human Services: 2022-003 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) CRITERIA: In accordance with the Uniform Guidance, the Organization should have internal controls over some or all of the compliance requirements for major federal programs. CONDITION: The Organization's internal controls over activities allowed/allowable costs were determined to be ineffective during the performance of internal control testing over the major federal program. CAUSE: The Organization did not adhere to their established controls and procedures over activities allowed/allowable costs. EFFECT: The Organization may include costs that are not allowable in their cost of assistance. A sample of 93 transactions totaling $128,271 was selected for testing from a population of 1,641 transactions. There were 7 disbursement transactions that were not approved by two employees in accordance with the organization?s policy and 1 payroll timesheet did not have evidence of the employee or supervisor approval. There were 8 payroll transactions that did not have documentation to support the organization?s policy that salaried employees work a minimum of 40 hours a week. There were two disbursement transactions charged to the program that were not related to the Head Start activities. One of these unallowable transactions was charged to the COVID 19 funding allocation. Our sample was a non-statistical sample. RECOMMENDATION: The Organization should review their established policies and procedures for effectiveness and ensure all employees adhere to all established procedures. Additionally, management should ensure all costs charged to the program are allowable under the grant guidelines. MANAGEMENT?S CORRECTIVE ACTION PLAN: United Way of Acadiana has welcomed a new Finance Director with experience in establishing internal controls. We are committed to implementing comprehensive internal controls that encompass enhancing financial reporting processes to ensure accuracy, transparency, and compliance with regulatory standards; budget oversight, risk management and expenditure and cash flow management.
U.S. Department of Health and Human Services: 2022-005 Controls Over Activities Allowed/Allowable Costs Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) See internal control finding 2022-003.
2022-004 Controls Over Reporting Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) CRITERIA: In accordance with the federal program guidelines, the Organization is required to file the SF-429 Real Property Status Report, SF-429A General Reporting, and the SF-425 Federal Financial Report. The Organization should have internal controls over the preparation and timely submission of these required reports. CONDITION: The Organization did not have adequate internal controls over the preparation and timely submission of the required reports for their major federal program. CAUSE: The Organization has established controls and procedures over reporting; however, the controls are not operating effectively. EFFECT: The Organization?s SF-429 and SF-429A was filed approximately 36 days after the prescribed due date. RECOMMENDATION: The Organization should review their established policies and procedures and ensure that the required federal program reporting is submitted within the prescribed timelines. MANAGEMENT?S CORRECTIVE ACTION PLAN: United Way of Acadiana has initiated finance training in collaboration with Head Start consultants through the Head Start Program. This training partnership has provided UWA with valuable insights into best practices, and we have already begun to benefit from this support. We are committed to expanding our training efforts and refining our policies and procedures to further enhance our capabilities. Our objective is to guarantee punctual and precise submission of all reports, reinforcing our dedication to transparency and accountability.
2022-006 Controls Over Reporting Fiscal year finding initially occurred: 2021 Head Start Cluster (93.600) See internal control finding 2022-004.