Finding Text
Finding No. 2024-002: Eligibility – Significant deficiency in internal control over compliance.
Criteria: The terms of the grant agreement require that a unit inspection is documented when a client moves in and subsequent annual inspections.
Condition: During eligibility testing for federal grants, for 2 out of 11 participants tested were not able to provide unit inspection documentation.
Cause: The Organization was relying on other entities to complete the move in and annual inspections. They did not implement internal controls procedures to ensure these third party inspections were taking place.
Effect: All units were not inspected in accordance with grant requirements.
Recommendation: Management should implement internal control procedures to ensure annual inspections are completed in accordance with the grant requirements.
Management’s Response: See corrective action plan.