Finding 1098671 (2024-001)

Material Weakness
Requirement
E
Questioned Costs
$1
Year
2024
Accepted
2025-02-06

AI Summary

  • Core Issue: A funding request was made for a child who was not eligible, violating NC Pre-K guidance.
  • Impacted Requirements: Compliance with eligibility criteria set by the United States Department of Health and Human Services is at risk, potentially leading to a loss of funding.
  • Recommended Follow-Up: Implement stronger controls for verifying eligibility documentation and ensure multiple staff review initial rosters and any changes throughout the year.

Finding Text

Item 2024-0001- Eligibility - Material Weakness Name of Federal Agency: United States Department of Health and Human Services Federal Program Name: Temporary Assistance for Needy Families (TANF) Assistance Listing Number 93.558 Federal Award Identification Number and Year: 47515 - Year Ended June 30, 2024 Name of Pass-through Entity: North Carolina Department of Health and Human Services Criteria NC Pre-K guidance requires that all children whom a direct service provider requests funding for must be eligible to receive that funding. Condition The Halifax - Warren Smart Start Partnership (HWSS) requested and received funding for one child sampled who was not eligible. Cause Providers were instructed to only request funding for eligible children as part of their contract. The Partnership requested funding for one child who was deemed to be ineligible. Effect or Potential Effect The effect is noncompliance with the United States Department of Health and Human Services regulations, which could result in a loss of funding. Questioned Costs: $7,190 Context During testing of the eligibility compliance requirement, it was noted that, one student out of forty students tested was entered into the NCPK APP and deemed ineligible by the system. The scorecard was marked ineligible and sent to the site. Funding was requested for the child despite them being ineligible. Identification of Repeat Finding: Not a repeat finding. Recommendation Management should implement controls over record retention for eligibility documentation of children. Reporting Views of Responsible Officials Going forward, all initial rosters submitted to HWSS will be reviewed by at least two different HWSS staff and compared to eligibility results to verify eligibility prior to entering rosters into NCPK KIDS. Any changes to a roster during the year will also be verified by at least two HWSS staff.

Categories

Questioned Costs Eligibility Subrecipient Monitoring Material Weakness Reporting

Other Findings in this Audit

  • 522229 2024-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.558 Temporary Assistance for Needy Families $753,192
84.425R Emergency Assistance to Non-Public Schools (crrsa) (nc Pre-K) (current Year) $84,938
93.575 Child Care and Development Block Grant $1,510