Finding Text
U.S. Department of Health and Human Services
Federal Financial Assistance Listing 93.423
1332 State Innovation Waivers
Reporting
Significant Deficiency in Internal Control in Federal Compliance
Criteria: Recipients of federal funds must submit financial reports as required by the Federal
award. Reports submitted annually by the recipient must be due no later than 90 calendar days
after the reporting period. Reports submitted quarterly or semiannually must be due no later
than 30 calendar days after the reporting period, in accordance with CFR § 200.328(c).
Condition: The Association’s existing controls over their reporting processes, to ensure reports
were submitted timely, were not functioning in such a way that ensured reports were submitted
on time.
Cause: The Association didn’t set a reminder or have a pre-arranged schedule that notified
management a report was due.
Effect: 1 quarterly report was submitted 3 days late. 1 quarterly report was submitted 2 days
late.
Questioned Costs: None reported
Context/Sampling: Sampling was not used. 100% of the reports submitted during the year were
tested.
Repeat Finding from Prior Year(s): No
Recommendation: Management should have a control in place to ensure they are notified that a
report is coming due so they are able to compile and submit it on time. If information required
to be included in the report is not available at the time the report is due, management should
have a control in place to request an extension for the delayed submission of the report.
Views of Responsible Officials: Management of the Association agrees with the finding.