Finding Text
Finding Reference 2024-006
Federal Agency: U.S. Department of Health and Human Services
Pass-Through Agency: P.R. Department of Family
Federal Program: Child Care and Development Block Grant (ALN 93.575)
Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition: During our audit procedures, we observed that the Program submitted the partial closing report and final closure report (CC-006) after the date established as agreed in the contract with the agency.
Criteria: The contract agreement states in Clause thirteen (13) that the Municipality is responsible for the presentation of the trial balance and annual partial closing report fifteen (15) calendar days after the end of the contract. Ninety (90) days after, the Municipality should liquidate all obligations and present to the pass-through entity the final annual closing report (CC-006).
Cause of Condition: The Program does not have effective internal controls to ensure that the required reports and supporting documentation are submitted to the pass-through agency in the requested time frame.
Effect of Condition: The Program is not in compliance with the Reporting Requirements.
Recommendation: We recommend that the Municipality maintain constant monitoring and updating to achieve better control of the program. The reports must be presented as established in the agreement. This will ensure compliance with reporting requirements under the Child Care and Development Block Grant agreement.
Questioned Cost: None.
Prior Year Finding: No.
Views of Responsible
Officials and Planned
Corrective Action: We concur with the audit finding. Instructions were given to the Program staff to strengthen existing internal controls and procedures to ensure the submission of financial information according to applicable requirements.
Implementation Date: March 31, 2025
Responsible Person: Mr. Hector R. Sanjurjo Rodríguez
Federal Programs Director