FAC Explorer

Audit 44644

FY End
2022-09-30
Total Expended
$6.54M
Findings
4
Programs
3
Organization: Community Mental Health Partnership of Southeast Michigan (MI)
Year: 2022 Accepted: 2023-06-26
Auditor: Roslund Prestage & Company PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
43213 2022-002 Significant Deficiency - B
43214 2022-001 Significant Deficiency - M
619655 2022-002 Significant Deficiency - B
619656 2022-001 Significant Deficiency - M

Programs

ALN Program Spent Major Findings
93.958 Block Grants for Community Mental Health Services $160,864 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $143,191 Yes 0
93.788 Opioid Str $38,652 Yes 0

Contacts

Name Title Type
RDMJC6RVJD54 Matt Berg Auditee
7342223896 Christina Schaub Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedule are reported on the full accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts (if any) shown on the schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of Community Mental Health Partnership of Southeast Michigan (the Entity) under programs of the federal government for the year ended September 30, 2022. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the Entity, it is not intended to and does not present its financial position or changes in net position of the Entity.
Title: RECONCILIATION WITH AUDITED FIANNCIAL STATEMENTS Accounting Policies: Expenditures reported on the schedule are reported on the full accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts (if any) shown on the schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. Revenues related to federal expenditures are reported as follows in the financial statements of Community Mental Health Partnership of Southeast Michigan: DescriptionAmountFederal revenues subject to single audit as seen on SEFA6,540,342State revenues and remaining federal revenues not subject to single audit419,671Total Federal funding per financial statement audit6,960,013

Finding Details

Finding 2022-002
2022-002: Considered a significant deficiency in internal control over compliance/immaterial non-compliance Program: ALN 93.959 Block Grants for Prevention and Treatment of Substance Abuse (COVID-19 - ARPA Prevention) Criteria: As detailed by 2 CFR 200.309, ?A non-Federal entity may charge to the Federal award only allowable costs incurred during the period of performance and any costs incurred before the Federal awarding agency or pass-through entity made the Federal award that were authorized by the Federal awarding agency or pass-through entity.?. Condition: During testing it was noted that $112,581 of costs that were allowable under COVID-19 - ARPA Treatment were incorrectly allocated from COVID-19 - ARPA Treatment to ARPA Prevention. Cause/Effect: This condition appears to be a breakdown of communication between members of the entity?s staff relating to the allowability of costs under different grants. Questioned Cost: $112,581 Recommendation: We recommend that the Entity review its methods for communicating among its staff to ensure that staff appropriately understand the allowability of costs under each grant. View of Responsible Official: Management is in agreement with this recommendation.
Finding 2022-001
2022-001: Considered a significant deficiency in internal control over compliance/immaterial non-compliance Program: ALN 93.958 Block Grants for Prevention and Treatment of Substance Abuse (Treatment and Access Management) Criteria: As detailed by 2 CFR 200.332, the pass-through entity must communicate specific information to subrecipients, as applicable. Condition: During testing of contracts with subrecipients it was noted that these contracts did not include portions of required disclosures. Cause/Effect: This condition appears to be the result of inconsistent application of internal controls over compliance. Contracts with subrecipients were not in compliance with 2 CFR 200.332. Questioned Cost: None. Recommendation: We recommend that the Entity update all contracts with subrecipients to include required language. View of Responsible Official: Management is in agreement with this recommendation.
Finding 2022-002
2022-002: Considered a significant deficiency in internal control over compliance/immaterial non-compliance Program: ALN 93.959 Block Grants for Prevention and Treatment of Substance Abuse (COVID-19 - ARPA Prevention) Criteria: As detailed by 2 CFR 200.309, ?A non-Federal entity may charge to the Federal award only allowable costs incurred during the period of performance and any costs incurred before the Federal awarding agency or pass-through entity made the Federal award that were authorized by the Federal awarding agency or pass-through entity.?. Condition: During testing it was noted that $112,581 of costs that were allowable under COVID-19 - ARPA Treatment were incorrectly allocated from COVID-19 - ARPA Treatment to ARPA Prevention. Cause/Effect: This condition appears to be a breakdown of communication between members of the entity?s staff relating to the allowability of costs under different grants. Questioned Cost: $112,581 Recommendation: We recommend that the Entity review its methods for communicating among its staff to ensure that staff appropriately understand the allowability of costs under each grant. View of Responsible Official: Management is in agreement with this recommendation.
Finding 2022-001
2022-001: Considered a significant deficiency in internal control over compliance/immaterial non-compliance Program: ALN 93.958 Block Grants for Prevention and Treatment of Substance Abuse (Treatment and Access Management) Criteria: As detailed by 2 CFR 200.332, the pass-through entity must communicate specific information to subrecipients, as applicable. Condition: During testing of contracts with subrecipients it was noted that these contracts did not include portions of required disclosures. Cause/Effect: This condition appears to be the result of inconsistent application of internal controls over compliance. Contracts with subrecipients were not in compliance with 2 CFR 200.332. Questioned Cost: None. Recommendation: We recommend that the Entity update all contracts with subrecipients to include required language. View of Responsible Official: Management is in agreement with this recommendation.