Finding Text
Assistance Listing, Federal Agency, and Program Name - 93.224, Department of Health and Human Services, Health Center Program Cluster; 93.527, Department of Health and Human Services, Health Center Program Cluster; 93.243, Department of Health and Human Services, Substance Abuse and Mental Health Services Projects of Regional and National Significance Program; 93.696, Department of Health and Human Services, Certified Community Behavioral Health Clinics
Federal Award Identification Number and Year - H8030717, H8G48653, H79SP083277, H79TI085241, H79SM086769; 2023 - 2024
Pass-through Entity - N/A
Finding Type - Material weakness
Repeat Finding - No
Criteria - The Organization shall have internal controls in place to ensure reports and cash management drawdowns are prepared accurately and submitted timely as outlined in the Compliance Supplement or grant agreement
Condition - During the year, the Organization did not have appropriate review procedures and controls in place related to cash management and reporting over federal programs
Questioned Costs - None
If questioned costs are not determinable, description of why known questioned costs were undetermined or otherwise could not be reported - The finding is related to a lack of controls. There were no instances of noncompliance identified in testing, and thus no questioned costs identified.
Identification of How Questioned Costs Were Computed - N/A
Context - The Organization was not performing or documenting reviews over the cash management, financial, and performance reporting for the programs.
Cause and Effect - The Organization has experienced turnover in the business office and at the program level, thus historical procedures and controls were not followed. The Organization does not have policies in place related to grant reporting, therefore financial and performance reports did not have retained documentation of reviews being performed prior to report submission.
Recommendation - The Organization should implement procedures and controls to have a review performed and documented over all cash management, financial, and performance reports prior to the report submission
Views of Responsible Officials and Planned Corrective Actions - Finance has recent changes in leadership roles and with the change in leadership, has put into place improvements in oversight of cash management and reporting. LSS has a philosophy of continuous improvement and with the current management LSS will ensure that all guidelines and requirements for cash management and reporting for federal programs are met.