Finding Text
2024 – 002 Federal Agency: U.S. Department of Health and Human Services State Passthrough Agency: Department of Mental Health and Addiction Services Federal Program Name: Opioid STR and How Can We Help 93.788 Block Grants for Prevention and Treatment of Substance Abuse 93.959 Type of Finding: • Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: CTHRA’s prescribed controls is to review payroll records and ensure the payroll system is operating effectively in accordance with the Organization’s policies and procedures as well as their prescribed rates. Condition: The Organization and payroll provider miscalculated retroactive wages. Questioned costs: Not material. Context: Of the five employees chosen for testing, one employee’s retroactive earnings were not properly calculated for a payroll period during the year, which resulted in the employee being overpaid by $27 during the current year. Effect: The effect is that expenses charged to the federal awards in excess of actual allocated expenses incurred. Cause: Manual error and insufficient review of payroll review controls. Repeat Finding: No Recommendation: We recommend proper review control procedures to be established by management. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan