Finding Text
Context: During our testing, we found 4 of the 16 CFR Participant files tested were not reviewed and approved by the Program Director. Criteria: Management is responsible for the development of a system of internal controls for compliance with program requirements. Controls should be in place to ensure the eligibility participant files are reviewed and approved. Condition: As a result of our audit procedures, we found four LIHEAP Contingency Revolving Fund (CFR) participant files did not have documentation to support that the files were reviewed and approved by the Program Director. Cause: Ineffective controls over program monitoring. Effect: Ineffective controls could result in noncompliance with program requirements and a potential loss of funding. Recommendation: We recommend Action Inc. strengthen its internal controls with Program Management to ensure proper review and approval are taking place. Management Response: Action Inc. implemented the step of having the Weatherization Program Manager review and initial each LIHEAP Form DPHHS-EAP-250 form before any work is performed. This was put in place after the State of Montana’s annual monitoring review in April 2025.