Audit 386570

Finding 2025-003 93.323 Epidemiology and Laboratory Capacity for Infectious Diseases – Compliance finding and significant deficiency in internal controls over activities allowed or unallowed and allowable costs/cost principles. Criteria Proper oversight, review procedures and controls should be established to ensure expenditures charged to the grant are allowable under provisions of the grant agreement. Condition Amounts reported on the Oregon Health Authority Public Health Division Expenditures and Revenue Report for the quarter covering January, February, and March 2025 included indirect costs applied to the program in excess of what is allowable as the calculation included capital outlay expenditures. Cause The review process was ineffective, and as a result, calculation errors were not identified. Effect The County claimed more for indirect costs than was allowed under the grant agreement. Questioned Costs $8,500 Recommendations The County should establish oversight and review procedures to ensure the amounts reported on the Oregon Health Authority Public Health Division Expenditures and Revenue Reports are accurate and adequately support the expenditures allowable under the grant. Views of responsible officials The identified reporting error was resolved with OHA and further review checkpoints have been established.

Finding 2025-004 93.323 Epidemiology and Laboratory Capacity for Infectious Diseases – Compliance finding and significant deficiency in internal controls over reporting. Criteria Proper oversight, review procedures and controls should be established to ensure the reports submitted are accurate and timely. Condition The agreement with the Oregon Health Authority stipulates the County must submit quarterly Public Health Division Expenditures and Revenue Report. The reports for the first and second quarters of calendar year 2025 were submitted after the applicable reporting deadline by five and seven days, respectively. In addition, errors were noted in the reports submitted. Cause The review process was ineffective, and as a result, the reports were not submitted timely and were not accurate. Effect The County did not submit the report timely to the Oregon Health Authority and errors were noted in the reports submitted. Questioned Costs None Recommendations The County should establish oversight and review procedures to ensure the reports submitted are accurate and are submitted on time. Views of responsible officials The County is in the process of implementing grant management software which will help ensure reports are submitted timely.