Finding 1159749 (2024-002)

Material Weakness Repeat Finding
Requirement
B
Questioned Costs
-
Year
2024
Accepted
2025-10-02

AI Summary

  • Core Issue: There was a significant deficiency in internal controls over payroll, leading to a miscalculation of retroactive wages for one employee.
  • Impacted Requirements: The payroll system did not operate effectively according to the Organization’s policies, resulting in overpayment.
  • Recommended Follow-Up: Establish proper review control procedures to prevent future payroll errors; management agrees with this recommendation.

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

Corrective Action Plan

Management will review retroactive calculations to ensure decimal point variances are identified prior to disbursement as in this case $35.104 vs $35.14

Categories

Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1159739 2024-002
    Material Weakness Repeat
  • 1159740 2024-002
    Material Weakness Repeat
  • 1159741 2024-002
    Material Weakness Repeat
  • 1159742 2024-002
    Material Weakness Repeat
  • 1159743 2024-002
    Material Weakness Repeat
  • 1159744 2024-002
    Material Weakness Repeat
  • 1159745 2024-002
    Material Weakness Repeat
  • 1159746 2024-002
    Material Weakness Repeat
  • 1159747 2024-002
    Material Weakness Repeat
  • 1159748 2024-002
    Material Weakness Repeat
  • 1159750 2024-001
    Material Weakness Repeat
  • 1159751 2024-001
    Material Weakness Repeat
  • 1159752 2024-001
    Material Weakness Repeat
  • 1159753 2024-001
    Material Weakness Repeat
  • 1159754 2024-001
    Material Weakness Repeat
  • 1159755 2024-001
    Material Weakness Repeat
  • 1159756 2024-001
    Material Weakness Repeat
  • 1159757 2024-001
    Material Weakness Repeat
  • 1159758 2024-001
    Material Weakness Repeat
  • 1159759 2024-001
    Material Weakness Repeat
  • 1159760 2024-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.136 Injury Prevention and Control Research and State and Community Based Programs $153,232
93.958 Block Grants for Community Mental Health Services $118,408
93.488 National Harm Reduction Technical Assistance and Syringe Services Program (ssp) Monitoring and Evaluation Funding Opportunity $88,665
93.421 Strengthening Public Health Systems and Services Through National Partnerships to Improve and Protect the Nation’s Health $84,962
21.027 Coronavirus State and Local Fiscal Recovery Funds $67,000
14.231 Emergency Solutions Grant Program $58,315
93.279 Drug Use and Addiction Research Programs $47,366
93.959 Block Grants for Prevention and Treatment of Substance Abuse $25,995
93.788 Opioid Str $24,529
93.138 Protection and Advocacy for Individuals with Mental Illness $1,814