Finding Text
2025-001: VOCA Victim Assistance – Assistance Listing No. 16.575; Grant Period: Year Ended June 30, 2025; Pass-Through Entity Name: State of New Mexico Crime Victims Reparation Commission Material Weakness – Reporting on Grant Awards Criteria and Condition: In accordance with the contracted agreement, monthly invoice reports are required to be submitted monthly, no later than 10 days after the reporting period ends. Late or inaccurate documentation could result in a change of status to “high risk” or probationary status. Context: We selected three of twelve monthly invoice reports for testing. All three were submitted late ranging from three days to forty-seven days late. Cause and Effect: There were no controls ensuring monthly invoicing reports for grants were done in the allotted time resulting the reports to be filed late in multiple instances. Questioned Costs: This finding does not result in questioned costs. Recommendation: Controls should be designed such that all reports for all grants are complete, reviewed and filed within the terms of each agreement. Views of Responsible Officials and Planned Corrective Actions: There were staffing changes in the Finance department throughout the end of 2024 and early 2025 that led to incomplete training, errors made on invoicing submissions, and a clean-up of processes that largely fell on one employee of the department. This led to this employee being a single point of failure, all which resulted in late grant report submissions. SECTION III – FEDERAL AWARD FINDINGS AND QUESTIONED COSTS – CONTINUED U.S. Department of Justice 2025-001: VOCA Victim Assistance – Assistance Listing No. 16.575; Grant Period: Year Ended June 30, 2025; Pass-Through Entity Name: State of New Mexico Crime Victims Reparation Commission Material Weakness – Reporting on Grant Awards – Continued To prevent future issues with this, All Faiths is taking the following steps to be implemented by November 30, 2025: 1. Alignment of position responsibilities and cross-training within the Finance department – roles and updated job descriptions are being finalized to identify clear responsibilities with primary and backup employees responsible for these submissions, including always having three individuals in the department trained on the process. 2. Monitoring and review of grant submissions – we are now utilizing two monthly checklists, one for month-end processes and one for grant invoicing process, that are closely monitored by the CFO and the Accountant to ensure tasks are completed timely. Additionally, and prior to submitting, the grant invoice will be reviewed by an additional departmental staff, who is trained on the grant process. 3. Documentation – as part of the alignment of position responsibilities, the Finance department is working to fully update the standard operating procedure for the grant invoicing process to ensure accurate steps and instructions are available to support the user(s) completing the tasks.