Finding 1079809 (2023-001)

Significant Deficiency
Requirement
A
Questioned Costs
-
Year
2023
Accepted
2024-10-22

AI Summary

  • Core Issue: The Agency did not meet the requirement for a Tri-Partite Board, with less than 1/3 of members representing low-income individuals and public officials.
  • Impacted Requirements: Non-compliance with the CSBG ACT at 42 USC 9910, which mandates balanced representation on the board.
  • Recommended Follow-Up: Implement procedures to address and resolve non-compliance issues promptly, ensuring balanced board representation moving forward.

Finding Text

Criteria: In accordance with the requirements of the Program outlined in CFDA 93.569, CSBG and the CSBG ACT at 42 USC 9910 (a) nonprofit organizations administer CSBG through a board comprising of one third (1/3) of the board members are chosen in a democratic selection process adequate to assure that these members of the board are representative of the low-income individuals and families served. Condition: The Agency was unable to meet the 1/3 requirements for the public elected/appointed officials and the 1/3 requirement for low income individuals and families served during the year ended September 30, 2023. Questioned Costs: N/A Effect: The Agency is out of compliance with the provisions requiring Tri-Partite Board as defined by The CSBG ACT at 42 USC 9910. Cause: While the Agency's controls did identify a lack of participation in these areas, they did not include control activities to resolve the non-compliance in a timely manner. Recommendation: The Agency should implement procedures to mitigate the risk of prolonged non-compliance that are triggered when non-compliance with Tri-Partite Board requirements are identified. Management's Response: The Capital Area Community Action Agency Board membership fluctuates over time. Sometimes there are several public representatives or their designees on the board. Other times there are several private sector representatives. As a tri-partite board, low-income representatives are always on the board. While the numbers are not always equal, the Agency strives to meet the spirit of the law in its recruitment efforts. The Board will work to develop a more robust recruitment method to ensure a balance of representation from the three sectors.

Categories

Special Tests & Provisions

Other Findings in this Audit

  • 503367 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.568 Low-Income Home Energy Assistance $930,724
93.569 Community Services Block Grant $766,166
93.600 Head Start $399,081
10.558 Child and Adult Care Food Program $342,709
81.042 Weatherization Assistance for Low-Income Persons $134,358
93.499 Low Income Household Water Assistance Program $12,350