Finding 1073689 (2023-007)

Significant Deficiency
Requirement
H
Questioned Costs
-
Year
2023
Accepted
2024-09-17
Audit: 319826
Organization: County of Kern (CA)

AI Summary

  • Core Issue: The County failed to properly record expenditures within the grant's performance period, leading to a significant deficiency in internal controls.
  • Impacted Requirements: Compliance with 2 CFR Part 200 is necessary for managing federal awards, specifically regarding the timing of expense recognition.
  • Recommended Follow-Up: Conduct training for departments on accrual accounting to ensure expenditures are recorded based on when benefits are received.

Finding Text

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Block Grants for Prevention and Treatment of Substance Abuse Assistance Listing Number: 93.959 Pass-Through Agency: California Department of Health Care Services Award Period: July 01, 2022, through June 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matter Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of period of performance. The County should have internal controls designed to ensure that expenditures are recorded within the period of performance. Additionally, 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award section 200.303 requires that entities establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: During our testing of Allowable Costs, we noted that the County incorrectly included a portion of nonpayroll costs which were predominantly incurred before or after the period of performance. Questioned Costs: None. Context: This condition was on 3 of 8 samples testing during the first month of the period of performance. Cause: The compilation of expenditures reported was based on the system date for when expenditures were recorded in the system instead of when benefits from the expenditures were received. Effect: Expenditures recorded to the grant may have been recorded outside of the grant’s period of performance. Repeat Finding: No Recommendation: We recommend the County conduct training with its various departments to instruct them on how to compile expenditures based on the accrual basis of accounting (when the benefits from the expenditures were received). Views of Responsible Officials: The County concurs with the finding

Categories

Allowable Costs / Cost Principles Period of Performance Significant Deficiency Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 497236 2023-003
    Material Weakness
  • 497237 2023-004
    Significant Deficiency
  • 497238 2023-004
    Significant Deficiency
  • 497239 2023-004
    Significant Deficiency
  • 497240 2023-005
    Significant Deficiency
  • 497241 2023-005
    Significant Deficiency
  • 497242 2023-005
    Significant Deficiency
  • 497243 2023-006
    Significant Deficiency
  • 497244 2023-006
    Significant Deficiency
  • 497245 2023-006
    Significant Deficiency
  • 497246 2023-007
    Significant Deficiency
  • 497247 2023-007
    Significant Deficiency
  • 497248 2023-007
    Significant Deficiency
  • 497249 2023-008
    Material Weakness
  • 497250 2023-008
    Material Weakness
  • 497251 2023-008
    Material Weakness
  • 497252 2023-009
    Significant Deficiency
  • 1073678 2023-003
    Material Weakness
  • 1073679 2023-004
    Significant Deficiency
  • 1073680 2023-004
    Significant Deficiency
  • 1073681 2023-004
    Significant Deficiency
  • 1073682 2023-005
    Significant Deficiency
  • 1073683 2023-005
    Significant Deficiency
  • 1073684 2023-005
    Significant Deficiency
  • 1073685 2023-006
    Significant Deficiency
  • 1073686 2023-006
    Significant Deficiency
  • 1073687 2023-006
    Significant Deficiency
  • 1073688 2023-007
    Significant Deficiency
  • 1073690 2023-007
    Significant Deficiency
  • 1073691 2023-008
    Material Weakness
  • 1073692 2023-008
    Material Weakness
  • 1073693 2023-008
    Material Weakness
  • 1073694 2023-009
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
20.205 Highway Planning and Construction $17.91M
93.563 Child Support Services $16.82M
21.027 Coronavirus State and Local Fiscal Recovery Funds $13.11M
17.259 Wia Youth Activities $10.06M
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $7.93M
17.258 Wia Adult Program $7.47M
93.778 Medical Assistance Program $7.19M
93.558 Temporary Assistance for Needy Families $3.31M
14.239 Home Investment Partnerships Program $3.17M
93.659 Adoption Assistance $3.06M
17.264 National Farmworker Jobs Program $2.89M
93.090 Guardianship Assistance $2.84M
20.509 Formula Grants for Rural Areas and Tribal Transit Program $2.47M
20.106 Airport Improvement Program, Covid-19 Airports Programs, and Infrastructure Investment and Jobs Act Programs $2.33M
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $1.96M
14.231 Emergency Solutions Grant Program $1.89M
16.575 Crime Victim Assistance $1.72M
93.667 Social Services Block Grant $1.57M
97.067 Homeland Security Grant Program $1.52M
16.606 State Criminal Alien Assistance Program $1.41M
10.025 Plant and Animal Disease, Pest Control, and Animal Care $1.10M
93.556 Marylee Allen Promoting Safe and Stable Families Program $1.02M
93.959 Block Grants for Prevention and Treatment of Substance Abuse $890,015
93.645 Stephanie Tubbs Jones Child Welfare Services Program $773,117
93.590 Community-Based Child Abuse Prevention Grants $765,370
93.870 Maternal, Infant and Early Childhood Homevisiting Grant Program $657,719
14.241 Housing Opportunities for Persons with Aids $653,796
93.917 Hiv Care Formula Grants $610,615
20.616 National Priority Safety Programs $593,872
93.658 Foster Care Title IV-E $579,454
97.042 Emergency Management Performance Grants $577,314
93.069 Public Health Emergency Preparedness $540,438
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $535,710
93.994 Maternal and Child Health Services Block Grant to the States $517,816
10.555 National School Lunch Program $477,853
16.741 Dna Backlog Reduction Program $456,308
93.324 State Health Insurance Assistance Program $455,556
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $345,411
93.889 National Bioterrorism Hospital Preparedness Program $336,859
93.332 Cooperative Agreement to Support Navigators in Federally-Facilitated Exchanges $317,841
97.044 Assistance to Firefighters Grant $304,172
93.052 National Family Caregiver Support, Title Iii, Part E $289,777
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $289,119
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $278,128
93.817 Hospital Preparedness Program (hpp) Ebola Preparedness and Response Activities $241,727
21.023 Emergency Rental Assistance Program $238,958
93.767 Children's Health Insurance Program $238,037
10.181 Ams - Pandemic Response and Safety Grants Program/ Ams - Farmworker and Meatpacking Worker Relief Grant Program $231,684
95.001 High Intensity Drug Trafficking Areas Program $226,784
93.150 Projects for Assistance in Transition From Homelessness (path) $209,211
93.940 Hiv Prevention Activities Health Department Based $201,951
16.593 Residential Substance Abuse Treatment for State Prisoners $175,007
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $164,153
93.268 Immunization Cooperative Agreements $156,562
93.041 Special Programs for the Aging, Title Vii, Chapter 3, Programs for Prevention of Elder Abuse, Neglect, and Exploitation $122,729
93.053 Nutrition Services Incentive Program $118,453
10.666 Schools and Roads - Grants to Counties $118,288
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $109,263
16.588 Violence Against Women Formula Grants $100,000
16.922 Equitable Sharing Program $87,500
14.218 Community Development Block Grants/entitlement Grants $80,000
14.267 Continuum of Care Program $79,976
93.071 Medicare Enrollment Assistance Program $79,369
93.958 Block Grants for Community Mental Health Services $73,397
16.738 Edward Byrne Memorial Justice Assistance Grant Program $71,241
16.742 Paul Coverdell Forensic Sciences Improvement Grant Program $61,179
93.421 Strengthening Public Health Systems and Services Through National Partnerships to Improve and Protect the Nation�s Health $51,636
93.043 Special Programs for the Aging, Title Iii, Part D, Disease Prevention and Health Promotion Services $51,377
93.596 Child Care Mandatory and Matching Funds of the Child Care and Development Fund $41,187
97.039 Hazard Mitigation Grant $37,779
10.553 School Breakfast Program $34,867
15.237 Rangeland Resource Management $30,000
16.607 Bulletproof Vest Partnership Program $27,057
93.042 Special Programs for the Aging, Title Vii, Chapter 2, Long Term Care Ombudsman Services for Older Individuals $15,485
93.566 Refugee and Entrant Assistance State/replacement Designee Administered Programs $13,410
17.278 Wia Dislocated Worker Formula Grants $11,789
93.977 Sexually Transmitted Diseases (std) Prevention and Control Grants $11,770
10.664 Cooperative Forestry Assistance $7,084