Finding 1118469 (2024-002)

Significant Deficiency
Requirement
L
Questioned Costs
$1
Year
2024
Accepted
2025-03-31

AI Summary

  • Issue: $4,000 was billed without proper review, leading to an overstatement of $3,600.
  • Impact: Billings for the period were inflated, affecting financial accuracy.
  • Follow-up: Management should enforce billing policies to ensure all charges match supporting documents and undergo review before submission.

Finding Text

Cause: $4,000 during billing. The billing did not agree to supporting documents due to lack of an independent review. Effect: Billings for the related period were overstated by $3,600. Questioned Costs: $3,600 Context: We selected 25 samples totaling $209,465 out of a population of 429 totaling $3,080,376 to test. For one of the samples tested, we found that $3,600 more was billed than the total costs incurred. Repeat Finding: No Recommendation: We recommend that management ensure the policies and procedures are followed when processing billing to ensure amounts charged to the grant agree with supporting documents and are reviewed and approved before submission. View of responsible officials and planned corrective actions: ECA agrees with this finding. This particular event was a result of human error and ultimately an “extra” zero was added into the system by mistke. ECA hired a Chief Operating Officer in July 2024, who will ultimately be responsible for creating a new policy for all grant billing that must be entered into a third-party software that will include adequate reviews.

Categories

Questioned Costs

Other Findings in this Audit

  • 542026 2024-002
    Significant Deficiency
  • 542027 2024-002
    Significant Deficiency
  • 542028 2024-002
    Significant Deficiency
  • 1118468 2024-002
    Significant Deficiency
  • 1118470 2024-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
81.042 Weatherization Assistance for Low-Income Persons $631,856
14.218 Community Development Block Grants/entitlement Grants $528,519
21.027 Coronavirus State and Local Fiscal Recovery Funds $408,124
17.289 Community Project Funding/congressionally Directed Spending $249,056
93.568 Low-Income Home Energy Assistance $225,879
14.913 Healthy Homes Production Program $103,945
93.558 Temporary Assistance for Needy Families $83,762
66.306 Environmental Justice Collaborative Problem-Solving Cooperative Agreement Program $51,959
66.815 Environmental Workforce Development and Job Training Cooperative Agreements $18,244