Finding Text
Significant deficiency in internal controls and noncompliance with the reporting requirements.
Federal Agency: Department of Health and Human Services
Program Title: Substance Abuse and Mental Health Services Projects of Regional and National Significance
Assistance Listing Number: 93.732
Award Numbers and Years: All awards
Criteria
In accordance with 2 CFR Part 170, recipients of grants or cooperative agreements who make first tier subawards of $30,000 or more are required to register in the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS) and report subaward data through FSRS as required by appendix A to Part 2 CFR part 170.
Condition/Context
During reporting compliance testing for the year ended June 30, 2024, for one of one subaward made the Organization did not report the subaward made greater than $30,000 in FSRS.
Cause
The Organization did not have internal controls in place to ensure that all subawards made greater than $30,000 were included in FSRS.
Effect
First tier subawards of greater than $30,000 were not reported in FSRS.
Questioned Costs
Not applicable
Repeat Finding
Not a repeat finding.
Recommendation
We recommend the Organization implement policies and procedures for procuring goods and services under federal awards that meet the requirements of the Uniform Guidance.
Views of Responsible Individual and Corrective Action Plan
Management agrees with the finding and has provided the accompanying corrective action plan.