Audit 299626

Subrecipient Monitoring Finding Type: Significant Deficiency in Internal control over compliance and noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare crisis (93.931). Criteria: The Uniform Guidance in 2 CFR Section 200.332 states that pass-through entities must “evaluate each subrecipient’s risk of noncompliance with federal statutes, regulations, and the terms and conditions of the subaward for purposes of determining the appropriate subrecipient monitoring.” Condition and context: The Organization did not have a subrecipient risk assessment process in place that corresponded with a risk-based monitoring plan. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: Yes, see finding 2022-006. Recommendation: We recommend that the Organization implement a formal risk assessment process to monitor its subrecipients. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Material Weakness in Internal Controls over Compliance and Noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crisis (93.391). Criteria: 2 CFR Section 200.332 states that pass-through entities must verify that every subrecipient is audited as required when it is expected that the subrecipient's federal awards expended during the respective fiscal year equaled or exceeded the threshold set forth in §200.501 as well as folow up and ensure the subrecipients take timely and appropriate action on all deficiencies pertaining to the federal award, including actions taken to address single audit findings. Condition and context: Subrecipients were required to certify whether a single audit was required; and if completed, to report any findings. We were unable to obtain documentation that management followed up on the reported findings for two out of the nine statistically valid samples. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: No. Recommendation: We recommend that the Organization implement a process to follow up with subrecipients to ensure compliance with 2 CFR Section 200.332. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Significant Deficiency in Internal control over compliance and noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare crisis (93.931). Criteria: The Uniform Guidance in 2 CFR Section 200.332 states that pass-through entities must “evaluate each subrecipient’s risk of noncompliance with federal statutes, regulations, and the terms and conditions of the subaward for purposes of determining the appropriate subrecipient monitoring.” Condition and context: The Organization did not have a subrecipient risk assessment process in place that corresponded with a risk-based monitoring plan. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: Yes, see finding 2022-006. Recommendation: We recommend that the Organization implement a formal risk assessment process to monitor its subrecipients. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Material Weakness in Internal Controls over Compliance and Noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crisis (93.391). Criteria: 2 CFR Section 200.332 states that pass-through entities must verify that every subrecipient is audited as required when it is expected that the subrecipient's federal awards expended during the respective fiscal year equaled or exceeded the threshold set forth in §200.501 as well as folow up and ensure the subrecipients take timely and appropriate action on all deficiencies pertaining to the federal award, including actions taken to address single audit findings. Condition and context: Subrecipients were required to certify whether a single audit was required; and if completed, to report any findings. We were unable to obtain documentation that management followed up on the reported findings for two out of the nine statistically valid samples. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: No. Recommendation: We recommend that the Organization implement a process to follow up with subrecipients to ensure compliance with 2 CFR Section 200.332. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Significant Deficiency in Internal control over compliance and noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare crisis (93.931). Criteria: The Uniform Guidance in 2 CFR Section 200.332 states that pass-through entities must “evaluate each subrecipient’s risk of noncompliance with federal statutes, regulations, and the terms and conditions of the subaward for purposes of determining the appropriate subrecipient monitoring.” Condition and context: The Organization did not have a subrecipient risk assessment process in place that corresponded with a risk-based monitoring plan. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: Yes, see finding 2022-006. Recommendation: We recommend that the Organization implement a formal risk assessment process to monitor its subrecipients. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Material Weakness in Internal Controls over Compliance and Noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crisis (93.391). Criteria: 2 CFR Section 200.332 states that pass-through entities must verify that every subrecipient is audited as required when it is expected that the subrecipient's federal awards expended during the respective fiscal year equaled or exceeded the threshold set forth in §200.501 as well as folow up and ensure the subrecipients take timely and appropriate action on all deficiencies pertaining to the federal award, including actions taken to address single audit findings. Condition and context: Subrecipients were required to certify whether a single audit was required; and if completed, to report any findings. We were unable to obtain documentation that management followed up on the reported findings for two out of the nine statistically valid samples. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: No. Recommendation: We recommend that the Organization implement a process to follow up with subrecipients to ensure compliance with 2 CFR Section 200.332. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Significant Deficiency in Internal control over compliance and noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare crisis (93.931). Criteria: The Uniform Guidance in 2 CFR Section 200.332 states that pass-through entities must “evaluate each subrecipient’s risk of noncompliance with federal statutes, regulations, and the terms and conditions of the subaward for purposes of determining the appropriate subrecipient monitoring.” Condition and context: The Organization did not have a subrecipient risk assessment process in place that corresponded with a risk-based monitoring plan. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: Yes, see finding 2022-006. Recommendation: We recommend that the Organization implement a formal risk assessment process to monitor its subrecipients. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.

Subrecipient Monitoring Finding Type: Material Weakness in Internal Controls over Compliance and Noncompliance Federal Program Title and AL Number: Activities to Support State, Tribal, Local and Territorial (STLT) Health Department Response to Public Health or Healthcare Crisis (93.391). Criteria: 2 CFR Section 200.332 states that pass-through entities must verify that every subrecipient is audited as required when it is expected that the subrecipient's federal awards expended during the respective fiscal year equaled or exceeded the threshold set forth in §200.501 as well as folow up and ensure the subrecipients take timely and appropriate action on all deficiencies pertaining to the federal award, including actions taken to address single audit findings. Condition and context: Subrecipients were required to certify whether a single audit was required; and if completed, to report any findings. We were unable to obtain documentation that management followed up on the reported findings for two out of the nine statistically valid samples. Cause: The Organization’s internal controls did not ensure compliance with 2 CFR Section 200.332. Effect: The Organization did not comply with subrecipient monitoring requirements. Questioned Costs: Questioned costs are not able to be determined. Repeat finding: No. Recommendation: We recommend that the Organization implement a process to follow up with subrecipients to ensure compliance with 2 CFR Section 200.332. Views of responsible officials and planned corrective actions: Management concurs with the finding and recommendation. Please see the attached corrective action plan.