Bank reconciliation statements were not closed timely (significant deficiency and noncompliance) Condition: During the testing, it was noted that bank reconciliations were not prepared timely and in one instance, a second review of the reconciliation was not performed as required per the internal control policy. Criteria: 2 CFR section 200.303 states that management must establish, document, and maintain effective internal control over the Federal award that provides reasonable assurance that the subrecipient is managing the Federal award in compliance with Federa statutes, regulations, and the terms and conditions of the Federal award. Cause: For the year ended June 30,2024, auditor noted for two of the operating bank accounts reconciliation statements were prepared and reviewed in the month of August 2024 and one instance where a second review of the reconciliation was not performed as required per the internal control policy. Effect: Management has not maintained effective internal control over the Federal Awards by not following the internal control policy established and documented by the organization. Recommendation: We recommend that management develope specific procedures to ensure that the bank reconciliation statements are prepared and reviewed timely in accordance with the established internal control policy. Response: Management will implement additional controls to ensure that bank reconciliations are prepared timely and that a second review is performed as required per the current internal control policy.
Subrecipient reports not submitted to the Grantor in a timely manner (significant deficiency and noncompliance) Condition: Quarterly grant disbursement reports were not timely filed. The reports filed by Behavioral Health Initiatives, inc. (Grantee) were submitted to the Grantor after the stated deadline. The reports are required to be submitted by the 30th day of the following month after quarter end as noted in the grant agreement. Internal Controls over grant compliance did not detect the error. Criteria: The grant contract requires that the Grantee submit the quarterly reports by the 30th of the month following the end of the quarter. Cause: The Grantee submitted the quarterly disbursement reports after the imposed deadline. The internal controls over grant compliance failed to detect the noncompliance. Effect: The late submissions of the quarterly disbursement reports resulted in noncompliance with the grant agreement during year ended June 30, 2024. Recommendation: We recommend that the Grantee develop specific procedures to ensure that all reports are submitted to the Grantor by the imposed deadline. Response: The Grantee has since developed procedures to ensure that reports are submitted timely and that any new filing deadlines will be documented and met without exception.
Bank reconciliation statements were not closed timely (significant deficiency and noncompliance) Condition: During the testing, it was noted that bank reconciliations were not prepared timely and in one instance, a second review of the reconciliation was not performed as required per the internal control policy. Criteria: 2 CFR section 200.303 states that management must establish, document, and maintain effective internal control over the Federal award that provides reasonable assurance that the subrecipient is managing the Federal award in compliance with Federa statutes, regulations, and the terms and conditions of the Federal award. Cause: For the year ended June 30,2024, auditor noted for two of the operating bank accounts reconciliation statements were prepared and reviewed in the month of August 2024 and one instance where a second review of the reconciliation was not performed as required per the internal control policy. Effect: Management has not maintained effective internal control over the Federal Awards by not following the internal control policy established and documented by the organization. Recommendation: We recommend that management develope specific procedures to ensure that the bank reconciliation statements are prepared and reviewed timely in accordance with the established internal control policy. Response: Management will implement additional controls to ensure that bank reconciliations are prepared timely and that a second review is performed as required per the current internal control policy.
Subrecipient reports not submitted to the Grantor in a timely manner (significant deficiency and noncompliance) Condition: Quarterly grant disbursement reports were not timely filed. The reports filed by Behavioral Health Initiatives, inc. (Grantee) were submitted to the Grantor after the stated deadline. The reports are required to be submitted by the 30th day of the following month after quarter end as noted in the grant agreement. Internal Controls over grant compliance did not detect the error. Criteria: The grant contract requires that the Grantee submit the quarterly reports by the 30th of the month following the end of the quarter. Cause: The Grantee submitted the quarterly disbursement reports after the imposed deadline. The internal controls over grant compliance failed to detect the noncompliance. Effect: The late submissions of the quarterly disbursement reports resulted in noncompliance with the grant agreement during year ended June 30, 2024. Recommendation: We recommend that the Grantee develop specific procedures to ensure that all reports are submitted to the Grantor by the imposed deadline. Response: The Grantee has since developed procedures to ensure that reports are submitted timely and that any new filing deadlines will be documented and met without exception.
Bank reconciliation statements were not closed timely (significant deficiency and noncompliance) Condition: During the testing, it was noted that bank reconciliations were not prepared timely and in one instance, a second review of the reconciliation was not performed as required per the internal control policy. Criteria: 2 CFR section 200.303 states that management must establish, document, and maintain effective internal control over the Federal award that provides reasonable assurance that the subrecipient is managing the Federal award in compliance with Federa statutes, regulations, and the terms and conditions of the Federal award. Cause: For the year ended June 30,2024, auditor noted for two of the operating bank accounts reconciliation statements were prepared and reviewed in the month of August 2024 and one instance where a second review of the reconciliation was not performed as required per the internal control policy. Effect: Management has not maintained effective internal control over the Federal Awards by not following the internal control policy established and documented by the organization. Recommendation: We recommend that management develope specific procedures to ensure that the bank reconciliation statements are prepared and reviewed timely in accordance with the established internal control policy. Response: Management will implement additional controls to ensure that bank reconciliations are prepared timely and that a second review is performed as required per the current internal control policy.
Subrecipient reports not submitted to the Grantor in a timely manner (significant deficiency and noncompliance) Condition: Quarterly grant disbursement reports were not timely filed. The reports filed by Behavioral Health Initiatives, inc. (Grantee) were submitted to the Grantor after the stated deadline. The reports are required to be submitted by the 30th day of the following month after quarter end as noted in the grant agreement. Internal Controls over grant compliance did not detect the error. Criteria: The grant contract requires that the Grantee submit the quarterly reports by the 30th of the month following the end of the quarter. Cause: The Grantee submitted the quarterly disbursement reports after the imposed deadline. The internal controls over grant compliance failed to detect the noncompliance. Effect: The late submissions of the quarterly disbursement reports resulted in noncompliance with the grant agreement during year ended June 30, 2024. Recommendation: We recommend that the Grantee develop specific procedures to ensure that all reports are submitted to the Grantor by the imposed deadline. Response: The Grantee has since developed procedures to ensure that reports are submitted timely and that any new filing deadlines will be documented and met without exception.
Bank reconciliation statements were not closed timely (significant deficiency and noncompliance) Condition: During the testing, it was noted that bank reconciliations were not prepared timely and in one instance, a second review of the reconciliation was not performed as required per the internal control policy. Criteria: 2 CFR section 200.303 states that management must establish, document, and maintain effective internal control over the Federal award that provides reasonable assurance that the subrecipient is managing the Federal award in compliance with Federa statutes, regulations, and the terms and conditions of the Federal award. Cause: For the year ended June 30,2024, auditor noted for two of the operating bank accounts reconciliation statements were prepared and reviewed in the month of August 2024 and one instance where a second review of the reconciliation was not performed as required per the internal control policy. Effect: Management has not maintained effective internal control over the Federal Awards by not following the internal control policy established and documented by the organization. Recommendation: We recommend that management develope specific procedures to ensure that the bank reconciliation statements are prepared and reviewed timely in accordance with the established internal control policy. Response: Management will implement additional controls to ensure that bank reconciliations are prepared timely and that a second review is performed as required per the current internal control policy.
Subrecipient reports not submitted to the Grantor in a timely manner (significant deficiency and noncompliance) Condition: Quarterly grant disbursement reports were not timely filed. The reports filed by Behavioral Health Initiatives, inc. (Grantee) were submitted to the Grantor after the stated deadline. The reports are required to be submitted by the 30th day of the following month after quarter end as noted in the grant agreement. Internal Controls over grant compliance did not detect the error. Criteria: The grant contract requires that the Grantee submit the quarterly reports by the 30th of the month following the end of the quarter. Cause: The Grantee submitted the quarterly disbursement reports after the imposed deadline. The internal controls over grant compliance failed to detect the noncompliance. Effect: The late submissions of the quarterly disbursement reports resulted in noncompliance with the grant agreement during year ended June 30, 2024. Recommendation: We recommend that the Grantee develop specific procedures to ensure that all reports are submitted to the Grantor by the imposed deadline. Response: The Grantee has since developed procedures to ensure that reports are submitted timely and that any new filing deadlines will be documented and met without exception.