Audit 55937

FY End
2022-06-30
Total Expended
$37.29M
Findings
8
Programs
3
Year: 2022 Accepted: 2023-03-30

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
58023 2022-002 Material Weakness Yes M
58024 2022-002 Material Weakness Yes M
58025 2022-002 Material Weakness Yes M
58026 2022-002 Material Weakness Yes M
634465 2022-002 Material Weakness Yes M
634466 2022-002 Material Weakness Yes M
634467 2022-002 Material Weakness Yes M
634468 2022-002 Material Weakness Yes M

Programs

ALN Program Spent Major Findings
93.569 Community Services Block Grant $2.06M Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $471,426 - 0
16.540 Juvenile Justice and Delinquency Prevention_allocation to States $76,727 - 0

Contacts

Name Title Type
ZTSEK22R2M57 Armando Lopez Mendez Auditee
7879777060 Angel A. Lopez Vega Auditor
No contacts on file

Notes to SEFA

Accounting Policies: A. GENERALThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the funds expended by the Socioeconomic and Community Development Office (Office) from all federal programs for the year ended June 30, 2022. The Offices reporting entity is defined in Note 1 to the financial statement.B. BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards 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 and was prepared following the modified accrual basis of accounting.C. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures presented on the Schedule are reported on the cash basis of accounting. Expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.D. FEDERAL ASSISTANCE LISTING NUMBER AND PASS-THROUGH ENTITY IDENTIFYING NUMBERThe Assistance Listing Number (FALN), formerly known as the Catalog of Federal Domestic Assistance (CFDA) Number, is a five-digit number assigned in the awarding document for all federal assistance award mechanisms, including federal grants and cooperative agreements. Assistance listings are detailed public descriptions of federal programs that provide grants, loans, scholarships, insurance, and other types of assistance awards. The Sam.gov assistance listing is the publicly available online database showing all available Federally-funded programs.State or local government redistributions of federal awards to the Office, known as passthrough awards, should be treated by the Office as though they were received directly from the federal government. The Uniform Guidance requires the Schedule to include the name of the passthrough entity and the identifying number assigned by the pass-through entity for the federal awards received as a sub recipient. Numbers identified as N/A are not applicable and numbers identified as N/AV are not available.E. INDIRECT COST RATEThe Office has elected not to use the 10% minimum cost rate and did not charge indirect cost to federal grants during the year ended June 30, 2022. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None
Finding Reference 2022-002 Federal Agency U.S. Department of Health of Health and Human Services Federal Program Title Community Services Block Grant (ALN 93.569) Compliance Requirement Subrecipient Monitoring (M) Type of finding Material Weakness in Internal Control (MW), Instance of Noncompliance (NC) This finding is similar to prior years finding 2021-002, 2020-005 and 2019-005. Statement of Condition We performed audit procedures to the four (4) sub-recipient monitoring reports. Out of those subrecipients, we found three (3) that lacked adequate monitoring procedures. Criteria 42 USC 9914 (a)(1)(2), establishes that (a) In order to determine whether eligible entities meet the performance goals, administrative standards, financial management requirements, and other requirements of State, the State shall conduct the following reviews of eligible entities:(1) a full onsite review of each such entity at least once during each 3-year period, (2) an onsite review of each newly designated entity immediately after the completion of the first year in which such entity receives funds through the Community Services Block Grant Program (CSBG). Cause of Condition Internal Control Monitoring Program for Federal Funds CSBG establishes the guidelines over monitoring reports. The Office does not have sufficient staff to perform monitoring reviews to sub-recipients. Effect of Condition The Office cannot ensure that the delegated funds to the sub-recipients are being used to meet the goals and standards required by the State. Also, the Office is not in compliance with the 42 USC 9914 (a)(1)(2). Recommendation The Office should strengthen internal control procedures in the supervision process of the monitoring in order to comply with state and federal regulations. Questioned Cost None