Audit 48351

FY End

2022-06-30

Total Expended

$2.06M

Findings

2

Programs

2

Organization: Community Transit of Delaware County, Inc. (PA)

Year: 2022 Accepted: 2022-12-26

Auditor: Rkl LLP

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
43697	2022-001	-	-	L
620139	2022-001	-	-	L

ALN	Program	Spent	Major	Findings
93.778	Medical Assistance Program	$1.56M	Yes	1
20.513	Enhanced Mobility of Seniors and Individuals with Disabilities	$502,368	-	0

Contacts

Name	Title	Type
C67RS65GH827	Marj Babiak	Auditee
6104903960	Timothy Kraft	Auditor
No contacts on file

Notes to SEFA

Title: Program Clusters Accounting Policies: The Community Transit of Delaware County, Inc. (the Organization) maintains its accounting records in accordance with accounting principles generally accepted in the United States of America. The financial information contained in the schedules of expenditures of federal awards and Pennsylvania Department of Human Services expenditures has been prepared on the basis of accounting practices prescribed under the terms of Operating Assistance, Planning, and Capital Grants with the Federal Transit Administration. The practices differ from accounting principles generally accepted in the United States of America as follows:A.Depreciation is not allowed as a project cost.B.Certain expenditures that would not normally be included in the determination of net income are either allowable or unallowable for project purposes. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The following program clusters, as defined by the Uniform Guidance, were treated as single programs for determining major programs:CFDA NumberExpendituresTransit Services Programs Cluster20.513$502,368Medicaid Cluster93.778$1,559,587

Finding Details

Finding 2022-001

The Organization did not file quarterly Medical Assistance reports timely. Condition The Organization filed three of the Quarterly Statement of Expenditures for the Medical Assistance Program after the specified due date. The first quarter was filed 44 days late, the second quarter was filed 27 days late, and the fourth quarter was 3 days late. Corrective Action PennDOT has required the use of the Ecolane Software and dictated the commencement of the use of such software at each agency. The Organization complied with commencement directives. The software includes a time study component. The Organization utilizes the vendor model and the County has oversight of MATP. The County has the ability to claim indirect costs for monitoring if they complete a time study. In the DHS MATP Standards and Guidelines, there is no language that references ?vendor? providers being required to do a time study. Vendors simply have a negotiated trip rate with the counties. It should be noted that the Organization is subject to various agency audits and DHS does not require a time study and has not been flagged for compliance. Criteria Quarterly Statement of Expenditures for the Medical Assistance Program are due thirty days after the end of the quarter. Cause Reports were not prepared prior to the due date. There was turnover in the personnel responsible for preparing and reports, causing them to be late. Effect Consistent late reporting could result in the Organization losing grant funding. Recommendation The Organization should prepare the Quarterly Statement of Expenditures for the Medical Assistance Program prior to the due date in order to ensure timely reporting.

Finding 2022-001

The Organization did not file quarterly Medical Assistance reports timely. Condition The Organization filed three of the Quarterly Statement of Expenditures for the Medical Assistance Program after the specified due date. The first quarter was filed 44 days late, the second quarter was filed 27 days late, and the fourth quarter was 3 days late. Corrective Action PennDOT has required the use of the Ecolane Software and dictated the commencement of the use of such software at each agency. The Organization complied with commencement directives. The software includes a time study component. The Organization utilizes the vendor model and the County has oversight of MATP. The County has the ability to claim indirect costs for monitoring if they complete a time study. In the DHS MATP Standards and Guidelines, there is no language that references ?vendor? providers being required to do a time study. Vendors simply have a negotiated trip rate with the counties. It should be noted that the Organization is subject to various agency audits and DHS does not require a time study and has not been flagged for compliance. Criteria Quarterly Statement of Expenditures for the Medical Assistance Program are due thirty days after the end of the quarter. Cause Reports were not prepared prior to the due date. There was turnover in the personnel responsible for preparing and reports, causing them to be late. Effect Consistent late reporting could result in the Organization losing grant funding. Recommendation The Organization should prepare the Quarterly Statement of Expenditures for the Medical Assistance Program prior to the due date in order to ensure timely reporting.