Finding 1137888 (2024-002)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-05-23

AI Summary

  • Core Issue: The required completion report for the Preschool Development Grant was submitted 5 days late, indicating a failure in internal controls.
  • Impacted Requirements: Timely reporting as mandated by the grant manual from the U.S. Department of Health and Human Services.
  • Recommended Follow-Up: Improve processes to ensure all reports are submitted on time to avoid future compliance issues.

Finding Text

Item: 2024-002 Assistance Listing Number: 93.434 Program: Every Student Succeeds Act/Preschool Development Grants Federal Agency: U.S. Department of Health and Human Services Pass-Through Agencies: State of Arizona Contract Number: 90TP0087-01-00 Award Year: January 1, 2024 – September 30, 2024 Compliance Requirement: Reporting Criteria: Per the Preschool Development grant (“PDG”) manual provided by the grantor, a completion report is required to be submitted at the end of each grant award period. Condition: Required report was not submitted to the granting agency timely. Questioned Costs: Unknown Context: In our testing of the Cohort-1 grant awarded under PDG, we tested the one completion report due within 3 months of the period end, which was September 30, 2024. The submission was submitted 5 days after the required due date. This is deemed to be a material weakness in internal control over compliance. Effect: The system of internal controls was not properly implemented to ensure timely report submission. Cause: The Association did not have a process to confirm/verify the due date for this report. Upon notification from the granting agency, the Association submitted the required report. Identification as a Repeat Finding: Not a repeat finding. Recommendation: The Association should enhance its processes and controls to ensure that required reports are submitted to granting agencies by the required due dates. Views of Responsible Officials: Management of the Association concurs with the finding. See Corrective Action Plan.

Categories

Reporting Material Weakness

Other Findings in this Audit

  • 561445 2024-001
    Significant Deficiency
  • 561446 2024-002
    Material Weakness
  • 1137887 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $1.67M
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.26M
93.434 Every Student Succeeds Act/preschool Development Grants $951,632
17.259 Wioa Youth Activities $916,930
17.289 Community Project Funding/congressionally Directed Spending $190,687
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $119,833
20.513 Enhanced Mobility of Seniors and Individuals with Disabilities $112,737
14.218 Community Development Block Grants/entitlement Grants $93,268
17.280 Wioa Dislocated Worker National Reserve Demonstration Grants $33,416