Finding Text
Finding 2024-5 Internal Controls over Compliance and Compliance with Reporting Requirement (Significant Deficiency)
Identification of the federal program(s):
Assistance Listings program titles and numbers:
21.027 Coronavirus State and Local Fiscal Recovery Funds
93.558 Temporary Assistance for Needy Families (TANF)
Federal award identification number:
21.027: City of Columbus (award number not provided), Future Ready Five (award number not provided), Franklin County Department of Job and Family Services Award Number 25-22-3647
93.558: Ohio Department of Job and Family Services Award Numbers G-2425-17-0058; Franklin County Department of Job and Family Services Award Numbers 25-23-3662, 25-23-5698, 25-24-5859
Name of the federal agencies:
21.027 Department of the Treasury
93.558 Department of Health and Human Services
Name of the applicable pass-through entities:
21.027: City of Columbus, Future Ready Five, Franklin County Department of Job and Family Services
93.558: Ohio Department of Job and Family Services and Franklin County Department of Job and Family Services
Criteria or specific requirement (including statutory, regulatory, or other citation): The 2 CFR section 200.303 of the Uniform Guidance requires that non-federal entities receiving federal awards establish and maintain internal control over the federal awards that provides reasonable assurance that the non-federal entity is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards.
Condition: During the audit, it was noted that AFC submitted required reports past their due date according to the grant agreements. During the audit, it was noted that AFC does not have a practice of internally reviewing the required reports before submitting them to grantors.
Cause: The delays were attributed to the change in accounting system and change in personnel administering the reports. The absence of an internal review process is due to inadequate internal controls and oversight within the organization. There is no established procedure for verifying the accuracy and completeness of required reports before submission.
Effect or potential effect: Without adequate internal controls in place to ensure that reports are submitted timely and are adequately reviewed, AFC could be noncompliant with the reporting requirement.
Questioned costs: None
Context: Reports were not submitted on time.
Identification as a repeat finding, if applicable: Not applicable
Recommendation: We recommend that AFC implement a procedure to track reporting due dates and to a procedure for verifying the accuracy and completeness of required reports before submission.
Views of responsible officials: Management agrees with the finding and recommendation.