Finding Text
Condition: An effective internal control system was not in place to ensure compliance with requirements related to the grant agreement and the Reporting compliance requirements. Grant awards with the Indiana Family and Social Services Administration outlines various reporting requirements. Criteria: 2 CFR section 200.303 states in part: "The Non-Federal entity must: • Establish and maintain effective internal control over Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in 'Standards for Internal Control in the Federal Government' issued by the Comptroller General of the United States or the 'Internal Control Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO)." Cause: CICOA fiscal management did not monitor the filing of the non-federal expenditures report required by the Indiana Family and Social Services Administration. Effect: The non-federal expenditures report is to be submitted within 15 days after the end of the quarter to the Indiana Family and Social Services Administration in accordance with its grant awards. None of the quarterly reports were filed until November 6, 2025. Recommendation: We recommend fiscal management establish a system to monitor all reporting requirements for grant awards, so the reports are prepared and submitted timely. Views of Responsible Officials and Planned Corrective Actions: Due to the oversight of the fractional CFO, other priorities had taken precedence over other financial matters. However, with the recent appointment of a full-time CFO specifically focused on CICOA's financial operations, we can now shift our attention back to these important reporting responsibilities. The full-time CFO will ensure that all financial reporting deadlines are respected and met in a timely manner, allowing for greater accuracy and accountability in our financial practices. This change will help us enhance our financial oversight and maintain the integrity of our reporting processes moving forward.