Finding 1130175 (2023-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2025-04-01

AI Summary

  • Core Issue: The Organization lacks adequate controls for accurate reporting, leading to potential misstatements in financial information submitted to the Federal Agency.
  • Impacted Requirements: Quarterly financial and semi-annual performance reports are not properly reviewed or supported, violating compliance standards.
  • Recommended Follow-Up: Implement a formal review process for report preparation and ensure retention of supporting documents to enhance compliance.

Finding Text

Federal Agency: Department of Justice Federal Program Name: Services for Victims of Human Trafficking Assistance Listing Number: 16.320 Federal Award Identification Number and Year: 2020-VT-BX-0080, 2020-VM-BX-0003, 15POVC-23-GG-04086-HT, 15POVC-23-GG-02751-MINO, 15POVC-22-GG-03897-HT, 15POVC-21-GG-03694-HT, and 2020-HT-OVC-614 Award Period: October 1, 2020 through September 30, 2026 Type of Finding: • Material Weakness in Internal Control over Compliance Criteria or specific requirement: The Organization is required to submit quarterly financial reports and semi-annual performance reports to the Federal Agency. Condition: The Organization did not have controls in place to prevent, detect, or correct errors in reporting. Questioned costs: None Context: During our testing, it was noted that there was no formal layer of review over the required reports prepared before it was submitted to the Federal Agency. The financial information submitted was not supported as records were not retained. Cause: The Organization was in its startup phases and was struggling to maintain current operations with limited staff. Effect or potential effect: The financial information reported to the Federal Agency could be materially misstated. Repeat Finding: The finding is a repeat of a finding in the immediately prior year. Prior year finding number was 2022-002. Recommendation: We recommend the Organization design controls to ensure reports are prepared and reviewed by separate individuals and that the information gathered to prepare the report is retained. Views of responsible officials: We agreed with the above comment. The Organization will put a formal layer of review after preparation of the report and before submission to the Federal Agency and will make sure support gathered is retained.

Categories

HUD Housing Programs Material Weakness Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 553727 2023-002
    Material Weakness Repeat
  • 553728 2023-002
    Material Weakness Repeat
  • 553729 2023-002
    Material Weakness Repeat
  • 553730 2023-002
    Material Weakness Repeat
  • 553731 2023-002
    Material Weakness Repeat
  • 553732 2023-002
    Material Weakness Repeat
  • 553733 2023-002
    Material Weakness Repeat
  • 553734 2023-003
    Material Weakness Repeat
  • 553735 2023-003
    Material Weakness Repeat
  • 553736 2023-003
    Material Weakness Repeat
  • 553737 2023-003
    Material Weakness Repeat
  • 553738 2023-003
    Material Weakness Repeat
  • 553739 2023-003
    Material Weakness Repeat
  • 553740 2023-003
    Material Weakness Repeat
  • 553741 2023-004
    Material Weakness Repeat
  • 553742 2023-004
    Material Weakness Repeat
  • 553743 2023-004
    Material Weakness Repeat
  • 553744 2023-004
    Material Weakness Repeat
  • 553745 2023-004
    Material Weakness Repeat
  • 553746 2023-004
    Material Weakness Repeat
  • 553747 2023-004
    Material Weakness Repeat
  • 553748 2023-005
    Significant Deficiency
  • 553749 2023-005
    Significant Deficiency
  • 553750 2023-005
    Significant Deficiency
  • 553751 2023-005
    Significant Deficiency
  • 553752 2023-005
    Significant Deficiency
  • 553753 2023-005
    Significant Deficiency
  • 553754 2023-005
    Significant Deficiency
  • 1130169 2023-002
    Material Weakness Repeat
  • 1130170 2023-002
    Material Weakness Repeat
  • 1130171 2023-002
    Material Weakness Repeat
  • 1130172 2023-002
    Material Weakness Repeat
  • 1130173 2023-002
    Material Weakness Repeat
  • 1130174 2023-002
    Material Weakness Repeat
  • 1130176 2023-003
    Material Weakness Repeat
  • 1130177 2023-003
    Material Weakness Repeat
  • 1130178 2023-003
    Material Weakness Repeat
  • 1130179 2023-003
    Material Weakness Repeat
  • 1130180 2023-003
    Material Weakness Repeat
  • 1130181 2023-003
    Material Weakness Repeat
  • 1130182 2023-003
    Material Weakness Repeat
  • 1130183 2023-004
    Material Weakness Repeat
  • 1130184 2023-004
    Material Weakness Repeat
  • 1130185 2023-004
    Material Weakness Repeat
  • 1130186 2023-004
    Material Weakness Repeat
  • 1130187 2023-004
    Material Weakness Repeat
  • 1130188 2023-004
    Material Weakness Repeat
  • 1130189 2023-004
    Material Weakness Repeat
  • 1130190 2023-005
    Significant Deficiency
  • 1130191 2023-005
    Significant Deficiency
  • 1130192 2023-005
    Significant Deficiency
  • 1130193 2023-005
    Significant Deficiency
  • 1130194 2023-005
    Significant Deficiency
  • 1130195 2023-005
    Significant Deficiency
  • 1130196 2023-005
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
16.575 Crime Victim Assistance $241,924
16.738 Edward Byrne Memorial Justice Assistance Grant Program $97,103
16.588 Violence Against Women Formula Grants $31,810
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $27,234
16.582 Crime Victim Assistance/discretionary Grants $20,408
16.320 Services for Trafficking Victims $9,403