Finding Text
Finding 2024-002 Inadequate Documentation to Support Federal Drawdowns
Federal Agency: Department of Health and Human Services; Health Resources and Services
Administration.
Federal Program: Maternal and Child Health Federal Consolidated Programs.
Assistance Listing Number: ALN 93.110.
Pass-through Entity: Not applicable.
Award Identification Number and Year: UJ6MC45789-02-02 and 2024.
Criteria or Specific Requirement (Including Statutory, Regulatory, or Other Citation): 22 CFR
226 Subpart C Section 21 "Standards for Financial Management Systems" requires recipients of
Federal funds to establish financial management systems that will ensure effective control over and
accountability for all funds, property and other assets.
Condition: During our audit, we noted instances whereby the basis for the funds drawndown from
the PMS system were unsupported.
Cause: Internal controls were not in place to ensure an accurate basis for drawdowns.
Effect or Potential Effect: The failure to maintain supporting documentation for draw requests could
result in drawing funds in excess of actual expenses incurred.
Questioned Costs: Questioned costs were not identified.
Context: Out of the two drawdowns for the major program during 2024, we noted that the amount for
one of the draws was not supported with a P&L to substantiate the costs were expended against the
program.
Identification as a Repeat Finding, if Applicable: N/A.
Recommendation: We recommend AcademyHealth enhance its internal controls on cash
management and that drawdowns are based on actual expenditures incurred that can be supported
with a P&L for the Federal program.