Finding Text
Assistance Listing Number(s): 93.958
Name of Federal Program or Cluster: Block Grants for Community Mental Health Services
Name of Federal Agency: Department of Health and Human Services
Name of Pass-through Entity: Wisconsin Department of Health Services – Award Period: October 1, 2022 through September 30, 2023 and October 1, 2023 through September 30, 2024
Criteria or Specific Requirement: Title 2 U.S. Code of Federal Regulations section 200.303 requires a nonfederal entity to establish and maintain effective internal control over the federal award that provides reasonable assurance that the nonfederal entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award.
Condition: Testing of grant financial reports disclosed 3 reports that did not have documentation of review and approval prior to submission to the grantor.
Cause: Grant financial reports were not reviewed and approved due to turnover in personnel.
Effect or Potential Effect: A lack of review and approval may result in noncompliance with the requirements of federal programs and/or disallowed costs.
Context: A sample of 3 reports was selected for testing from a population of 6 reports. The testing found 3 files that did not have documentation of review and approval.
Repeat Finding: This finding is a repeat of Finding 2022-001.Recommendation: An individual with sufficient knowledge and training should review and approve grant financial reports prior to submission to the grantor.
Views of Responsible Officials: Management agrees with the finding and noted that since they work in a virtual environment, they recognize that it makes it difficult to track emails with questions and updates before submitting monthly grant reports. The President/CEO and outsourced accounting rep will meet monthly to review cost reports and correlating invoices together before approving and submitting to the funder.