Finding 1156133 (2024-005)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-09-29

AI Summary

  • Core Issue: Two participants lacked documentation proving their immigration status, leading to potential ineligibility for services.
  • Impacted Requirements: Clients must have a valid immigration status for less than five years to qualify for assistance.
  • Recommended Follow-Up: Implement a thorough review process for all participant files before service provision to ensure compliance and retain documentation.

Finding Text

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Refugee and Entrant Assistance State/Replacement Designee Administered Programs Assistance Listing Number: 93.566 Federal Award Identification Number and Year: 2301MNRSS 2024 Pass-Through Agency: State of Minnesota, Lutheran Social Services, and YMCA of the North Pass-Through Numbers: GRK% 167302, D2LNFU9KSHC6, D2LNFU9KSHC6, 258246, 258633, 258276 Award Period: January 1, 2024 – December 31, 2024 Type of Finding:  Material Weakness in Internal Control over Compliance  Other Matters Criteria or Specific Requirement: Clients must have a specific immigration status or classification and have had that status for less than five years. Condition: We noted that for two of the participants that we tested, there was no documentation on file of their immigration status to ensure that the individual was eligible to receive services. Questioned Costs: None Context: Two out of sixty participants selected for testing of eligibility did not have proper documentation. Cause: Support was not retained in the participant's file at the time of enrollment. Effect: Providing services to participants who are not eligible. Repeat Finding: See prior year finding 2023-005. Recommendation: Auditor recommends that KOM review all participant files to ensure proper documentation is retained supporting eligibility of applicants. We noted that there is currently a process in place to perform an annual review of random files to ensure that only eligible participants are being served, but we recommend that a process is implemented to ensure that there is proper review and approval of all applicants prior to the individual receiving services and that this review is retained. Views of Responsible Officials: There is no disagreement with the finding. The Organization has implemented enhanced processes for regular client file checks to ensure all clients have adequate documentation.

Corrective Action Plan

Refugee and Entrant Assistance State/Replacement Designee Administered Programs Assistance Listing No. 93.566 Recommendation: Auditor recommends that KOM review all participant files to ensure proper documentation is retained supporting eligibility of applicants. We noted that there is currently a process in place to perform an annual review of random files to ensure that only eligible participants are being served, but we recommend that a process is implemented to ensure that there is proper review and approval of all applicants prior to the individual receiving services and that this review is retained. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Organization has implemented enhanced processes for regular client file checks to ensure all clients have adequate documentation. Name(s) of the contact person(s) responsible for corrective action Eh Tah Khu, Co- Executive Director Planned completion date for corrective action plan: August 2025

Categories

Eligibility Material Weakness Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1156127 2024-004
    Material Weakness Repeat
  • 1156128 2024-005
    Material Weakness Repeat
  • 1156129 2024-005
    Material Weakness Repeat
  • 1156130 2024-005
    Material Weakness Repeat
  • 1156131 2024-005
    Material Weakness Repeat
  • 1156132 2024-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.023 Emergency Rental Assistance Program $198,972
84.425 Education Stabilization Fund $78,070
93.052 National Family Caregiver Support, Title Iii, Part E $55,875
93.566 Refugee and Entrant Assistance State/replacement Designee Administered Programs $42,646
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $22,095
94.021 Americorps Volunteer Generation Fund 94.021 $9,925