Audit 28584

FY End
2022-06-30
Total Expended
$19.65M
Findings
24
Programs
41
Organization: Rowan County, North Carolina (NC)
Year: 2022 Accepted: 2023-01-10

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
20634 2022-004 Material Weakness - A
20635 2022-001 Material Weakness - E
20636 2022-002 Material Weakness - N
20637 2022-001 Material Weakness - E
20638 2022-002 Material Weakness - N
20639 2022-001 Material Weakness - E
20640 2022-002 Material Weakness - N
20641 2022-001 Material Weakness - E
20642 2022-002 Material Weakness - N
20643 2022-001 Material Weakness - E
20644 2022-002 Material Weakness - N
20645 2022-003 Significant Deficiency - P
597076 2022-004 Material Weakness - A
597077 2022-001 Material Weakness - E
597078 2022-002 Material Weakness - N
597079 2022-001 Material Weakness - E
597080 2022-002 Material Weakness - N
597081 2022-001 Material Weakness - E
597082 2022-002 Material Weakness - N
597083 2022-001 Material Weakness - E
597084 2022-002 Material Weakness - N
597085 2022-001 Material Weakness - E
597086 2022-002 Material Weakness - N
597087 2022-003 Significant Deficiency - P

Programs

ALN Program Spent Major Findings
21.027 Covid-19 Coronavirus State and Local Fiscal Recovery Funds $5.23M Yes 1
93.778 Medical Assistance Program $3.11M Yes 1
93.563 Child Support Enforcement $1.48M - 0
93.568 Covid-19 Low-Income Home Energy Assistance $1.00M Yes 2
93.658 Foster Care_title IV-E $824,560 Yes 0
93.667 Social Services Block Grant $616,981 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $496,367 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $415,821 - 0
20.509 Covid-19 Formula Grants for Rural Areas and Tribal Transit Program $355,789 - 0
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $282,527 - 0
93.568 Low-Income Home Energy Assistance $239,271 Yes 2
93.596 Child Care Mandatory and Matching Funds of the Child Care and Development Fund $214,558 Yes 0
20.509 Formula Grants for Rural Areas and Tribal Transit Program $195,513 - 0
10.561 Covid-19 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $120,343 Yes 0
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $109,254 - 0
93.354 Covid-19 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $95,809 - 0
93.217 Family Planning_services $75,254 - 0
93.767 Children's Health Insurance Program $74,390 - 0
93.556 Marylee Allen Promoting Safe and Stable Families $65,796 - 0
93.994 Maternal and Child Health Services Block Grant to the States $62,555 - 0
93.645 Stephanie Tubbs Jones Child Welfare Services Program $44,207 - 0
93.391 Covid-19 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $39,401 - 0
93.044 Covid-19 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $38,618 - 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $37,316 Yes 0
93.069 Public Health Emergency Preparedness $35,084 - 0
93.659 Adoption Assistance $30,657 Yes 0
93.991 Preventive Health and Health Services Block Grant $29,901 - 0
93.323 Covid-19 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $27,826 - 0
93.053 Nutrition Services Incentive Program $27,236 - 0
93.268 Immunization Cooperative Agreements $25,347 - 0
93.558 Temporary Assistance for Needy Families $21,127 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $16,820 - 0
14.239 Home Investment Partnerships Program $14,965 - 0
20.106 Airport Improvement Program, Covid19 Airports Programs, and Infrastructure Investment and Jobs Act Programs $14,792 - 0
97.042 Emergency Management Performance Grants $11,221 - 0
93.898 Cancer Prevention and Control Programs for State, Territorial and Tribal Organizations $6,300 - 0
93.268 Covid-19 Immunization Cooperative Agreements $3,400 - 0
16.606 State Criminal Alien Assistance Program $2,414 - 0
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $483 - 0
93.977 Preventive Health Services_sexually Transmitted Diseases Control Grants $58 - 0
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $50 - 0

Contacts

Name Title Type
GCB7UCV96NW6 Anna Bumgarner Auditee
7042168170 Erica Brown Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal and State awards (SEFSA) includes the federal and state grant activity of the County under the programsof the federal government and the State of North Carolina for the year ended June 30, 2022. The information in this SEFSA is presented in accordance with therequirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAward s and the State Single Audit Implementation Act. Because the schedule presents only a selected portion of the operations of the County, it is not intendedto and does not present the financial position, changes in net position or cash flows of the County.
Title: Cluster of Programs Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The following are clustered by the N.C. Department of Health and Human Services and are treated separately for state audit requirement purposes:Subsidized Child Care, Foster Care, Adoption and Guardianship Assistance Program, and Special Children Adoption Fund

Finding Details

U.S. Department of Treasury Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds AL Number: 21.027 Non-Material Non-Compliance Material Weakness, Activities Allowed or Unallowed Criteria: In accordance with 2 CFR 200, the County is required to establish and maintain effective internal control over federal award that provides reasonable assurance that the County is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. In accordance with 31 CFR 35, a written justification is required that explains how premium pay to certain higher income workers was responsive to the public health emergency. Condition: The guidelines for premium pay included in the interim and final rules over Coronavirus State and Local Fiscal Recovery Funds include a requirement to provide a written justification of premium pay to certain higher income individuals. Context: The County spent $5,234,382 of their allocation of Coronavirus State and Local Fiscal Recovery Funds, including $2,049,702 in premium pay to 860 workers during the year ended June 30, 2022. The total compensation of 28 of those employees was higher than the calculated threshold based on the County?s average annual wages. A written justification for these 28 employees was not included in the SLFRF Compliance Report ? SLT-3447-P&E Report-Q1 2022 as required due to a lack of oversight by management responsible for administering the grant. The written justification was later added to the Q2 2022 report and therefore, the County is in compliance with the final regulations. Effect: The County was not in compliance with requirements of the final regulations over premium pay during the year. The County later corrected the report to be in compliance. Cause: There was a lack of oversight of the premium pay calculations and execution of the County?s premium pay plan in conjunction with a misinterpretation of the interim rules under which the premium pay was administered. The administrator of the grant who filed the Q1 2022 report was not familiar with the written justification requirements. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County?s grant administrator should be familiar with all regulations over how Coronavirus State and Local Fiscal Recovery Funds are allowed to be spent and specific reporting requirements that apply to each category of funds. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
Passed-through N.C. Department of Health and Human Services Program Name: Medical Assistance Program AL Number: 93.778 Grant Number: XIX-MAP 18 Non-Material Non-Compliance Significant Deficiency Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that required second party reviews are completed and corrective action plans are implemented and communicated in a timely manner. In accordance with the Dear County Director Letter dated March 30, 2017, County Departments of Social Services are required to perform second party review procedures and submit the results and corrective action plans quarterly by the 20th day following the end of the quarter. Condition: Two of the quarterly reports were submitted after the due date. Context: Of the four quarterly reports, two were not submitted by the due date. The first quarter report was filed on October 21 and the second quarter report was filed on January 24. Effect: The County is not in compliance with second party review reporting requirements of the North Carolina Department of Health and Human Services, Division of Medical Assistance. Cause: There were delays in completing the second party review tracking spreadsheet which is required to be submitted. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have due date management tools that assist in filing the required second party review tracking in a timely manner. The tracking spreadsheet should be filed even if all corrective actions have not yet been implemented by the due date. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Treasury Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds AL Number: 21.027 Non-Material Non-Compliance Material Weakness, Activities Allowed or Unallowed Criteria: In accordance with 2 CFR 200, the County is required to establish and maintain effective internal control over federal award that provides reasonable assurance that the County is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. In accordance with 31 CFR 35, a written justification is required that explains how premium pay to certain higher income workers was responsive to the public health emergency. Condition: The guidelines for premium pay included in the interim and final rules over Coronavirus State and Local Fiscal Recovery Funds include a requirement to provide a written justification of premium pay to certain higher income individuals. Context: The County spent $5,234,382 of their allocation of Coronavirus State and Local Fiscal Recovery Funds, including $2,049,702 in premium pay to 860 workers during the year ended June 30, 2022. The total compensation of 28 of those employees was higher than the calculated threshold based on the County?s average annual wages. A written justification for these 28 employees was not included in the SLFRF Compliance Report ? SLT-3447-P&E Report-Q1 2022 as required due to a lack of oversight by management responsible for administering the grant. The written justification was later added to the Q2 2022 report and therefore, the County is in compliance with the final regulations. Effect: The County was not in compliance with requirements of the final regulations over premium pay during the year. The County later corrected the report to be in compliance. Cause: There was a lack of oversight of the premium pay calculations and execution of the County?s premium pay plan in conjunction with a misinterpretation of the interim rules under which the premium pay was administered. The administrator of the grant who filed the Q1 2022 report was not familiar with the written justification requirements. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County?s grant administrator should be familiar with all regulations over how Coronavirus State and Local Fiscal Recovery Funds are allowed to be spent and specific reporting requirements that apply to each category of funds. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Material Weakness, Eligibility Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that casefiles include properly reviewed income calculations. In accordance with 45 CFR 435, documentation must be maintained to support eligibility determinations. Condition: The County Department of Social Services failed to properly determine income for five applicants. The County Department of Social Services failed to obtain the applicant?s signature, including an online or telephonic signature, on the DSS-8178 Energy Programs Application. Upon further review, the applicants were ultimately eligible. Context: Of the 2,282 benefit payments valued at $2,138,857, we examined 60 payment records ($32,358 value) and determined that in six casefiles (10%) proper documentation was not retained to support the eligibility determination, including five casefiles that did not have properly calculated income, and one casefile that did not include a client?s signature authorizing the application. Upon further review and recalculation, the applicants were deemed eligible. Effect: Casefile did not have properly calculated income or a signed application form, which could allow benefits to be provided to individuals who are not eligible. Cause: Caseworker failed to accurately calculate income and obtain a signed application form. Questioned Cost: The finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: Casefiles should be reviewed to verify that calculations are accurate and all required documentation has been obtained before approving benefits. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
U.S. Department of Health and Human Services Passed-through N.C. Department of Health and Human Services Program Name: Low Income Home Energy Assistance AL Number: 93.568 Grant Number: G18B1NCLIEA Non-Material Non-Compliance Material Weakness, Special Tests and Provisions Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that applicants are timely notified of denial and their right to a hearing. In accordance with Section 135 of the Energy Programs Manual, households that are denied assistance or do not receive reasonably prompt assistance must have an opportunity for a hearing, and therefore, must be informed of their right to a hearing. Condition: Two applicants were denied assistance and did not receive the notice of denial and right to a hearing. Context: Of the 1,242 denied applications, we examined 60 and determined that in two cases (3%) the applicants were not provided with the notice of denial and right to a hearing. Effect: Hearings may not be provided within the required time frame to households who were denied or did not receive prompt assistance. Eligible applicants may not receive benefits that they should have received. Cause: The notice of denial is automatically generated by NC Fast. In cases where a notice is not automatically generated, the case worker must manually generate the notice. Whether the notice is automatically generated or manually generated, the case worker is required to mailed the notice. Case workers did not mail the notices as required. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have a system in place to ensure that the notice of denial and right to a hearing is provided to every denied applicant. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.
Passed-through N.C. Department of Health and Human Services Program Name: Medical Assistance Program AL Number: 93.778 Grant Number: XIX-MAP 18 Non-Material Non-Compliance Significant Deficiency Criteria: In accordance with 2 CFR 200, management should have an adequate system of internal control procedures in place to ensure that required second party reviews are completed and corrective action plans are implemented and communicated in a timely manner. In accordance with the Dear County Director Letter dated March 30, 2017, County Departments of Social Services are required to perform second party review procedures and submit the results and corrective action plans quarterly by the 20th day following the end of the quarter. Condition: Two of the quarterly reports were submitted after the due date. Context: Of the four quarterly reports, two were not submitted by the due date. The first quarter report was filed on October 21 and the second quarter report was filed on January 24. Effect: The County is not in compliance with second party review reporting requirements of the North Carolina Department of Health and Human Services, Division of Medical Assistance. Cause: There were delays in completing the second party review tracking spreadsheet which is required to be submitted. Questioned Cost: This finding represents an internal control issue; therefore, questioned costs are not applicable. Recommendation: The County should have due date management tools that assist in filing the required second party review tracking in a timely manner. The tracking spreadsheet should be filed even if all corrective actions have not yet been implemented by the due date. Views of Responsible Officials and Planned Corrective Action: Management concurs with the finding. See Corrective Action Plan.