Item: 2024-001
Assistance Listing Number: 93.243
Program: Substance Abuse and Mental Health Services, Projects of Regional and National Significance
Federal Agency: U.S. Department of Health and Human Services
Pass-Through Agency: N/A
Contract Number: 5H79TI082775-02
Award Year: 9/30/2023 – 9/29/2024
Compliance Requirement: Cash Management, Reporting
Criteria: Per 2 CFR 200.305, under the reimbursement method, expenditures must be incurred prior to the date of the reimbursement request. The Organization is also responsible for submitting an annual Federal Financial Report (“FFR” or SF-425) to the U.S. Department of Health and Human Services, Substance Abuse and Mental Health Services Administration.
Condition: The Organization erroneously included a duplicate request for reimbursement in a monthly reimbursement request report submitted to the granting agency and was overpaid by the amount of this duplicate request for reimbursement totaling $41,042. Additionally, the total expenditures reported in the FFR/SF-425 were misstated by $23,058.
Questioned Costs: $41,042
Context: In our testing of the annual FFR/SF-425, we noted that the total expenditures reported did not agree to the expenditures reported on the Schedule of Expenditures of Federal Awards by $23,058. Upon further investigation and review of each monthly request for reimbursement submitted for fiscal 2024, we noted a duplicate reimbursement request totaling $41,042. Additionally, we noted that $17,984 representing an expense accrual at September 30, 2024, while properly reflected on the Schedule of Expenditures of Federal Awards, was not properly included in the detail of expenditures noted in the FFR/SF-425 for fiscal 2024. As a result, the FFR/SF-425 misreported expenditures by $23,058, the net of the two errors noted above.
Effect: The duplicate federal draw request resulted in a duplicate payment from the grantor. Thus, the Organization has drawn federal funds in excess of the federal expenditures incurred totaling $41,042, which is reported as a questioned cost as the overpayment is due back to the granting agency. Additionally, the expenditures reported on the FFR/SF-425 for fiscal 2024 were misstated by $23,058. This is deemed to be a material weakness in internal control over compliance.
Cause: Review and approval controls of the monthly reimbursement request and the annual FFR/SF-425 report were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should ensure monthly requests for reimbursement and reviewed and approved prior to submission. Additionally, the annual FFR/SF-425 should be reviewed and reconciled to the monthly draws.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-003
Assistance Listing Number: 16.812
Program: Second Chance Act Reentry Initiative
Federal Agency: U.S. Department of Justice
Pass-Through Agency: Pima County
Contract Number: CT-BH-21-378
Award Year: 10/01/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreement, the Organization is required to submit monthly reports to the grantor within 10 days following the end of each month.
Condition: For all 4 of the monthly reports tested, the reports were submitted subsequent to the 10th day following the end of each respective month.
Questioned Costs: N/A
Context: In a population of 12 monthly reports, we conducted a non-statistical sample of 4 reports. For all 4 reports tested, we noted the reports were submitted subsequent to the 10th day following the end of each respective month.
Effect: The system of internal controls was not properly implemented to ensure review, approval and submission of reports in a timely manner. This is deemed to be a material weakness in internal control over compliance.
Cause: Review and approval controls of the monthly reports were not operating timely or effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should ensure monthly reports are reviewed and approved in a timely manner to ensure grant reporting deadlines are met.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-001
Assistance Listing Number: 93.243
Program: Substance Abuse and Mental Health Services, Projects of Regional and National Significance
Federal Agency: U.S. Department of Health and Human Services
Pass-Through Agency: N/A
Contract Number: 5H79TI082775-02
Award Year: 9/30/2023 – 9/29/2024
Compliance Requirement: Cash Management, Reporting
Criteria: Per 2 CFR 200.305, under the reimbursement method, expenditures must be incurred prior to the date of the reimbursement request. The Organization is also responsible for submitting an annual Federal Financial Report (“FFR” or SF-425) to the U.S. Department of Health and Human Services, Substance Abuse and Mental Health Services Administration.
Condition: The Organization erroneously included a duplicate request for reimbursement in a monthly reimbursement request report submitted to the granting agency and was overpaid by the amount of this duplicate request for reimbursement totaling $41,042. Additionally, the total expenditures reported in the FFR/SF-425 were misstated by $23,058.
Questioned Costs: $41,042
Context: In our testing of the annual FFR/SF-425, we noted that the total expenditures reported did not agree to the expenditures reported on the Schedule of Expenditures of Federal Awards by $23,058. Upon further investigation and review of each monthly request for reimbursement submitted for fiscal 2024, we noted a duplicate reimbursement request totaling $41,042. Additionally, we noted that $17,984 representing an expense accrual at September 30, 2024, while properly reflected on the Schedule of Expenditures of Federal Awards, was not properly included in the detail of expenditures noted in the FFR/SF-425 for fiscal 2024. As a result, the FFR/SF-425 misreported expenditures by $23,058, the net of the two errors noted above.
Effect: The duplicate federal draw request resulted in a duplicate payment from the grantor. Thus, the Organization has drawn federal funds in excess of the federal expenditures incurred totaling $41,042, which is reported as a questioned cost as the overpayment is due back to the granting agency. Additionally, the expenditures reported on the FFR/SF-425 for fiscal 2024 were misstated by $23,058. This is deemed to be a material weakness in internal control over compliance.
Cause: Review and approval controls of the monthly reimbursement request and the annual FFR/SF-425 report were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should ensure monthly requests for reimbursement and reviewed and approved prior to submission. Additionally, the annual FFR/SF-425 should be reviewed and reconciled to the monthly draws.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-002
Assistance Listing Number: 21.027
Program: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds
Federal Agency: U.S. Department of the Treasury
Pass-Through Agencies: Maricopa County, City of Phoenix
Contract Numbers: C-22-20-029-3-12, 220141; 157666-005, 159341-0 , 160315-0
Award Year: 10/1/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreements, the Organization is required to submit monthly program reports for each contract within certain prescribed timeframes. Documentation should be maintained to support that the required reports were submitted to the granting agencies and that the submissions were timely.
Condition: For seven reports tested, there was no documentation supporting that the reports were submitted to the granting agencies.
Questioned Costs: N/A
Context: In a population of 160 monthly program reports, we conducted a non-statistical sample of twenty-four reports. For seven of the 24 reports tested, we noted no evidence of documentation to support submission of the required reports to the granting agencies. However, subsequently, the Organization was able to obtain confirmation/verification from the granting agencies that the reports were submitted and were submitted timely.
Effect: The system of internal controls was not properly implemented to ensure documentation supporting the submission of required reports to the granting agencies was maintained. This is considered to be a material weakness in internal control over compliance.
Cause: Controls to ensure documentation supporting the submission of required reports to the granting agencies was maintained were not operating effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should enhance its existing controls to ensure documentation of submission of monthly program reporting to granting agencies is maintained.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.
Item: 2024-003
Assistance Listing Number: 16.812
Program: Second Chance Act Reentry Initiative
Federal Agency: U.S. Department of Justice
Pass-Through Agency: Pima County
Contract Number: CT-BH-21-378
Award Year: 10/01/2023 – 9/30/2024
Compliance Requirement: Reporting
Criteria: In accordance with the grant agreement, the Organization is required to submit monthly reports to the grantor within 10 days following the end of each month.
Condition: For all 4 of the monthly reports tested, the reports were submitted subsequent to the 10th day following the end of each respective month.
Questioned Costs: N/A
Context: In a population of 12 monthly reports, we conducted a non-statistical sample of 4 reports. For all 4 reports tested, we noted the reports were submitted subsequent to the 10th day following the end of each respective month.
Effect: The system of internal controls was not properly implemented to ensure review, approval and submission of reports in a timely manner. This is deemed to be a material weakness in internal control over compliance.
Cause: Review and approval controls of the monthly reports were not operating timely or effectively.
Identification as a Repeat Finding: Not a repeat finding
Recommendation: The Organization should ensure monthly reports are reviewed and approved in a timely manner to ensure grant reporting deadlines are met.
Views of Responsible Officials: Management of the Organization concurs with the finding. See Corrective Action Plan.