Audit 407730

U.S. Department of Health and Human Services Federal Financial Assistance Listing #93.696 Certified Community Behavioral Health Clinic Expansion Grant Reporting Significant Deficiency in Internal Control over Compliance Criteria: CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: During our testing, we identified instances where the annual reports submitted had inaccurate information and incomplete documentation of review and approval prior to submission. Cause: Fraser’s internal controls did not operate as designed, which resulted in inaccurate reports being submitted. Effect: Inadequate internal controls over compliance could result in noncompliance with the federal program. Questioned Costs: None reported. Context/Sampling: Both annual reports were reviewed in testing. Repeat Finding from Prior Year: No Recommendation: We recommend that management develop a more extensive and documented review over reporting prior to submission. Views of Responsible Officials: Management agrees with this finding.

U.S. Department of Health and Human Services Federal Financial Assistance Listing #93.696 Certified Community Behavioral Health Clinic Expansion Grant Cash Management Significant Deficiency in Internal Control over Compliance Criteria: CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: During our testing, we identified an instance where the reimbursement request had inaccurate information and incomplete documentation of review and approval prior to submission of the request. Cause: Fraser’s internal controls did not operate as designed, which resulted in an inaccurate reimbursement request being submitted. Effect: Inadequate internal controls over compliance could result in noncompliance with the federal program. Questioned Costs: $761.08 Context/Sampling: A nonstatistical sample of three out of eleven were selected for testing. Repeat Finding from Prior Year: No Recommendation: We recommend that management develop a more extensive and documented review over reimbursement requests prior to submission. Views of Responsible Officials: Management agrees with this finding.