Finding Text
Finding Number 2021-007 Internal Controls over Allowable Costs/Cost Principles Activities, U.S. Department of Housing and Urban Development, Passed Through Arizona Department of Economic Security, Aging Cluster, ALN 93.044/93.045/93.053, July 1, 2020 through June 30, 2021 (Significant Deficiency). Statement of Condition: Forty reimbursement requests of forty tested did not show indication of review before submission to Arizona Department of Economic Security Questioned Costs: None Criteria: The Organization must comply with allowable costs/cost principle compliance standards as set by the U.S. Department of Health and Human Services. Controls over reimbursement request submissions were not followed adequately to ensure accurate and complete cost reimbursement requests. Cause: The Organization’s controls over reimbursement request submissions were not followed. Effect: Expenses charged to the Aging Cluster programs may not be accurate. Recommendation: We recommend that the Organization more closely follow its controls over reimbursement requests.