Finding Text
2023 – 003: Allowable Costs, Period of Performance, and Cash Management Federal Agency: U.S. Department of Health and Human Services Federal Program Title: State Opioid Response Discretionary Grant Assistance Listing Number: 93.788 Pass-Through Agency: Central Florida Cares Health System, Inc (CFCHS) and Orange County, Florida Pass-Through Number: RCC24 and Y24-2207 Award Periods: 7/1/2022 - 6/30/2023, 7/1/2023 - 6/30/24 and 3/1/2023 - 9/30/2023, 10/1/2023 - 9/30/24 Type of Finding: -Material Weakness in Internal Control over Compliance -Material Noncompliance (Modified Opinion) Criteria or specific requirement: Uniform Guidance and the agreement with CFCHS and Orange County includes certain requirements for allowable costs, period of performance, and cash management. Expenditures should be incurred within the grant period. Condition: Expenditures were recorded on a cash basis. Support for certain costs was not able to be provided. Documentation of disbursement approval was not maintained. Disallowed costs relating to donor or staff development were included within expenditures. Support for payment requests was not able to be provided. Documentation of request form approval was not maintained. Also, one of the Orange County contracts was not maintained. Questioned costs: $4,060 Context: Out of the sample of 30 general disbursements, 30 exceptions noted for lack of documentation of approval, 6 exceptions noted where no supporting documents maintained, and 6 exceptions where disallowed costs relating to donor or staff development were included within expenditures. Out of the sample of 42 payroll disbursements, 42 exceptions noted for lack of documentation of approval for pay period and pay rate, and 10 exceptions noted where no support for hours worked. Out of the sample of 15 expenditures recorded in the month the grant term ended, 15 exceptions noted for lack of documentation of approval and 1 exception noted where date of incurrence could not be supported. Out of the sample of 10 expenditures recorded in the month grant term began, 10 exceptions noted for lack of documentation of approval and 1 exceptions noted where expenditures incurred prior to start of period of performance. Out of the sample of 7 payment requests, 1 exception noted for lack of documentation of approval. Cause: Recovery Connections of Central Florida, Inc. was in the start-up stage and had a limited number of employees. Effect: Disallowed costs could be included within requests for payment. Information reported to the pass-through entity could be misstated. Repeat Finding: Yes Recommendation: We recommend Recovery Connections of Central Florida, Inc. maintain a copy of all contracts, documentation of disbursement approval and supporting documentation of costs included within requests for payment. Views of responsible officials: There is no disagreement with the audit finding.