Finding 1098809 (2024-004)

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Requirement
L
Questioned Costs
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Year
2024
Accepted
2025-02-07

AI Summary

  • Core Issue: Financial reports for June 2024 were submitted late, violating the contract requirement to submit by July 10, 2024.
  • Impacted Requirements: The delay was due to staffing shortages and new hires in the accounting department, leading to missed deadlines.
  • Recommended Follow-Up: Provide training for staff on reporting, strengthen internal controls, and consider requesting waivers for late submissions from the funding agency.

Finding Text

Aging Cluster, U.S. Department of Health and Human Services Federal Assistance Listing #93.041-93.045/93.052/93.053, Contract No. K/T AAA 23/24-01 Condition: The Organization did not timely submit financial reports for the month of June 2024 for the program by the 10th day of the following month the respective report was due. Reports were not submitted until October and November 2024, well after the July 10, 2024 due date. Criteria: Per the Kings/Tulare Area Agency on Aging Agreement No: K/T AAA 23/24-01 Article IV "the Contractor shall prepare and submit by the 10th of each month to the K/T AAA, in electronic format, a monthly expenditure report and request for funds in the forma Cause: The error stems from the Organization being short staffed and having newer staff causing failure to complete and submit reports timely. Due to several positions within the accounting and finance department being vacant or newly filled at year-end, the Organization fell behind on completing reports and closing out grants at year-end. Effect: Failure to timely report financial information may result in a reduction or loss of future funding. Recommendation: Management should provide additional training related to reporting. Additionally, management should review and strengthen their current controls related to internal review over the program to verify that the policies and procedures are adhered to. Lastly, in instances where reports are not timely filed, the Organization should consider reaching out to the funding agency to obtain a waiver for late submissions.

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.248 Community Development Block Grants Section 108 Loan Guarantees $2.29M
93.041 Special Programs for the Aging, Title Vii, Chapter 3, Programs for Prevention of Elder Abuse, Neglect, and Exploitation $1.11M
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.00M
17.258 Wioa Adult Program $860,872
93.569 Community Services Block Grant $463,512
93.568 Low-Income Home Energy Assistance $416,016
17.278 Wioa Dislocated Worker Formula Grants $228,995
93.499 Low Income Household Water Assistance Program $197,167
93.558 Temporary Assistance for Needy Families $179,353
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $165,670
17.259 Wioa Youth Activities $159,070
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $130,000
17.502 Occupational Safety and Health Susan Harwood Training Grants $128,528
17.235 Senior Community Service Employment Program $104,276
93.472 Title IV-E Prevention Program $98,326
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $89,375
93.959 Block Grants for Prevention and Treatment of Substance Abuse $78,141
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $41,472
14.267 Continuum of Care Program $35,616
93.658 Foster Care Title IV-E $25,225
17.277 Wioa National Dislocated Worker Grants / Wia National Emergency Grants $20,591
93.556 Marylee Allen Promoting Safe and Stable Families Program $16,135
81.042 Weatherization Assistance for Low-Income Persons $15,027
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $14,173
97.024 Emergency Food and Shelter National Board Program $9,636
14.218 Community Development Block Grants/entitlement Grants $5,793