Finding 1141972 (2024-002)

Material Weakness Repeat Finding
Requirement
B
Questioned Costs
$1
Year
2024
Accepted
2025-06-20
Audit: 359326
Organization: It's Time Texas, Inc. (TX)

AI Summary

  • Core Issue: Healthier Texas failed to provide adequate time and effort documentation for employees funded by the Federal SNAP program.
  • Impacted Requirements: Compliance with Uniform Guidance for time reporting is necessary to support payroll expenditures charged to Federal awards.
  • Recommended Follow-Up: Implement a control process to ensure proper time and effort reporting for all employees charged to Federal awards.

Finding Text

Program: 10.561 – United States Department of Agriculture: Passed-through Texas Health and Human Services Commission: SNAP Cluster: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program. Criteria: The Uniform Guidance requires documentation of time and effort spent on the Federal program. Condition: Healthier Texas was unable to provide sufficient time and effort reporting for employees who were funded by the Federal program. Cause: Healthier Texas did not realize that all employees charged to the Federal award needed to have a time certification or personal activity report completed. Effect or Potential Effect: Healthier Texas’ payroll expenditures charged to the Federal award were not adequately supported by time reporting documentation. Questioned Costs: Based on selections tested, questioned costs totaled $20,848. However, this was the amount based on sample testing and the total annual amount would be over the $25,000 reporting threshold. Context: Employees were not tracking the actual hours worked on the Federal program or completing time and effort documentation. Recommendation: Healthier Texas should design and implement a control process to ensure they are in compliance with Federal award time and effort reporting requirements. Repeat Finding: Yes; see 2023-002 on summary schedule of prior year findings Views of Responsible Officials: Management agrees with the audit finding and a response is included in the corrective action plan

Categories

Questioned Costs Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 565530 2024-002
    Material Weakness Repeat
  • 565531 2024-003
    Significant Deficiency
  • 565532 2024-004
    Significant Deficiency
  • 1141973 2024-003
    Significant Deficiency
  • 1141974 2024-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $1.66M