Finding Text
Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the Organization is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal award.Condition: The Organization?s special reports submitted to the Department of Health and Human Services were not reviewed and approved by a separate individual outside of the preparer.Cause: The Organization did not have an internal control process in place to ensure review and approval of the reports being submitted to the Department of Health and Human Services (HHS).Effect: There is a possibility that the reports may not be accurately completed.Questioned Costs: None reported.Context: Key line items were tested on the Period 2 and Period 3 special reports submitted to the Department of Health and Human Services. A total of 3 reports were tested, which the 3 reports all lacked appropriate approval.Repeat Finding from Prior Years: NoRecommendation: We recommend the Organization implement a control process which includes approval of required reports to be submitted to the federal agency.Views of Responsible Officials: Management agrees with the finding.