Audit 384272

Federal Program: Medical Assistance Program (U01) Criteria: 2 CFR 200.332(d) requires pass-through entities to monitor the activities of subrecipients to ensure compliance with federal statutes, regulations, and the terms and conditions of the subaward. Required monitoring activities include reviewing financial and performance reports, following up on deficiencies, and ensuring timely corrective action. Condition: The Organization did not maintain records of the monitoring procedures performed on subrecipients as required by Uniform Guidance. Cause: The Organization had a change over in leadership and key positions, during the transition the documentation of monitoring procedures and results was not maintained. Effect: There is an increased risk that subrecipients may not comply with federal requirements, which could result in unallowable costs, questioned costs, or other noncompliance with federal statutes and regulations. Questioned Costs: None. Context: This finding was noted for all subrecipients for the year ended December 31, 2024 with a total of $1,838,933 paid to subrecipients. Repeat Finding: No. Recommendation: We recommend the organization maintain copies of all monitoring records and results of the site visits, to ensure all required subrecipient monitoring activities are performed and properly documented in accordance with Uniform Guidance.