Finding Text
Finding 2023-004 – Period of Performance
Federal Agency: Department of Health and Human Services
Federal program title: Block Grants for Community Mental Health Services
Assistance Listing Number: 93.958
Pass-Through Agency: Illinois Department of Human Services
Pass-Through Number: 45CBB04278; 45CBB03514; 45CBB00648
Award Period: 07/01/2022 – 06/30/2023
Criteria or specific requirement: A non-federal entity may charge only allowable costs incurred during the approved budget period of a federal award's 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 (2 CFR sections 200.308 200.309 and 200.403(h)). A period of performance may contain one or more budget periods.
Condition: Costs outside of the period of performance were charged to the grant.
Questioned Costs: $7,253
Context: Four (4) of the sixteen (16) transactions selected for testing.
Cause: The Organization did not have a control in place to ensure the proper cut-off of expense charged to federal awards.
Effect: The Organization allocated unallowable costs to the federal grant.
Repeat Finding: No
Recommendation: Management should review and revise its process for allocating costs to federal grants to include additional layers of review related to the cut-off of grant expenditures. Particular attention should be focused on the first and last month of the grant budget period.
Views of responsible officials: There is no disagreement with the audit finding.