Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-003: Material weakness due to a lack of segregation of duties and effective internal controls
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: 2 CFR 200.303(a) requires that “the non-Federal entity must establish and maintain effective
internal control over the Federal award that provides reasonable assurance that the non-Federal entity is
managing the Federal award in compliance with Federal statutes, regulations, and the terms and
conditions of the federal award. These internal controls should be in compliance with guidance in
“Standards for Internal Control in the Federal Government” issued by the Comptroller General of the
United States or the “Internal Control Integrated Framework,” issued by the Committee of Sponsoring
Organizations of the Treadway Commission (COSO).”
Condition and Context: Helping Hand House has a lack of segregation of duties and internal controls when
it comes to the processes related to the requirements of activities allowed, allowable costs / cost
principles, period of performance, and reporting. Through the samples related to testing internal controls,
we identified the following:
14 out of 60 selections for ALN 21.023 and 17 out of 60 selections for ALN 21.019 lacked sufficient
evidence of approval of disbursements of rental assistance.
46 out of 60 selections for ALN 21.023 and 40 out of 60 selections for ALN 21.019 in which the
same person was involved in preparing the underlying support for expenditures, approving them,
and also reviewing and approving the invoices remitted to the Pass-through Grantor for
reimbursements.
This is a condition identified using a statistically valid sample.
Cause: Management also failed to implement proper segregation of duties and internal controls related
to the activities surrounding the administration of the federal award programs.
Effect: The lack of segregation of duties related to these areas heightens the risk of potential errors and
even fraud as it relates to ensuring that the expenditures are appropriate for the award and appropriately
remitted for reimbursement. This also weakens the Organization’s ability to ensure compliance with the
awards’ requirements.
Question Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House establish written policies and procedures
related to the programs stating explicit roles of each individual involved in the process. We also
recommend that management conduct regular risk assessments and conduct monitoring functions over
the internal controls to ensure that they are effectively working and appropriately documented.
Views of Responsible Officials: See Corrective Action Plan.
Finding 2021-004: Material Weakness Due to Unsupported Administration and Program Operations Costs
Federal Agency: U.S. Department of Treasury
Program Title: Emergency Rental Assistance Program and Corona Virus Relief Fund
Assistance Listing Numbers (ALN): 21.023 and 21.019
Federal Award Years: Year ended December 31, 2023
Pass-through Grantor and identifying numbers: Pierce County; SC-108112, SC-108282, SC-108719, SC-
108080
Criteria: Charges to federal awards must meet the requirements of Title 2 U.S. Code of Federal Regulations
Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards Subpart E - Cost Principles. Specifically CFR 200.400(d) indicates the Organization must support
the accumulation of costs and provide for adequate documentation to support costs charged to the
Federal award.
Condition and Context: Administration and program operation costs charged to the award for the period
ended December 31, 2021 lacked supporting documentation to verify whether there were equivalent
administrative and program operation expenses incurred by the Organization. All budgets approved by
the Pass-through Grantor allowed for such costs to be reimbursed by the award as long as adequate
documentation of how the costs were determined was retained. Since the organization did not retain any
such documentation, there is no way of knowing if a portion or all of those administration or program
operation costs related to actual activities that were performed related to these programs. The
Organization most certainly did incur administration and program operation costs that were legitimate to
be remitted to the award. However, with no controls in place to ensure that these costs were
appropriately accumulated and documented, the amounts reimbursed by the programs might not be
appropriate.
During our audit, we were able to fully quantify the full amount of administration and program operations
costs that were inappropriately supported through discussions with management of the Organization and
reviewing the reimbursement requests that were submitted to the Pass-through Grantor. The amounts
included in the questioned costs below is the entire amount of such costs that were charged to the
program during the year ended December 31, 2021.
Cause: Helping Hand House did not have processes and controls in place to ensure that documentation
to ensure that administrative and program operation costs that were charged to the program were
appropriately documented.
Effect: There is the potential that the Pass-through grantor may require a repayment of a portion or all of
the program and administrative costs that were paid for by the program. As such, a loss contingency
disclosure has been included in the notes to the financial statements to indicate that there is the potential
that the Pass-through Grantor may require some of these amounts to be repaid. This also is the reason
for the qualified opinion in the Report On Compliance for Each Major Federal Program.
Known Questioned Costs for ALN 21.023: $329,572
Known Questioned Costs for ALN 21.019: $164,757
Repeat Finding: Not applicable.
Recommendation: We recommend that Helping Hand House develop and document procedures and
controls for how administrative and program operation costs will be allocated to the federal awards. This
information should be retained so that it can be made available at the request of the Pass-through
Grantor, the auditor or other relevant parties.
Views of Responsible Official: See Corrective Action Plan.
Finding 2021-005: Submission of the Data Collection Form
Criteria: 2 CFR section 200.512(a) states that the data collection form and reporting package must be
submitted the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the
end of the audit period to the Federal Audit Clearinghouse (FAC). If the due date falls on a Saturday,
Sunday, or federal holiday, the reporting package is due the next business day.
Condition and Context: The reporting package for the year ended December 31, 2021 was not submitted
by September 30, 2022 to the FAC.
Cause: The Organization’s audit for the year ended December 31, 2021 did not begin until November of
2023. This was due to the forensic investigation that is mentioned in Finding 2021-001. The Organization
communicated the delay to the appropriate parties.
Effect: The Schedule of Expenditures of Federal Awards were not available in a timely manner in order to
allow for timely submission of the data collection form related to ALN 21.023 and 21.019.
Questioned Costs: None
Repeat Finding: Not applicable.
Recommendation: We recommend that the data collection form is filed timely in the future. In order to
do so, steps should be taken to ensure that the appropriate oversight is exercised and controls are put in place to ensure the accuracy and reliability of the financial data which will enable the audits to be
completed on a more timely basis.
Views of Responsible Official: See Corrective Action Plan.