Finding 1181990 (2021-008)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2021
Accepted
2026-03-23

AI Summary

  • Core Issue: The Organization failed to submit the required annual SF-425 report on time, missing the deadline by over three months.
  • Impacted Requirements: Compliance with 2 CFR section 200.303 and the grant agreement, which mandates timely submission of reports.
  • Recommended Follow-Up: Implement stronger internal controls to ensure timely and accurate submission of required reports.

Finding Text

Federal Agency: Department of Veterans AffairsFederal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: ODMH543-1095-659-CM-20 Pass-Through Agency: None Pass-Through Number(s): None Award Period: 10/1/2019 - 9/30/2021 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: In accordance with the Compliance Supplement, Part 6 - Internal Control, 2 CFR section 200.303 requires that non-Federal entities receiving federal awards establish and maintain internal control over the federal awards 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 awards. Under the grant agreement, an annual SF-425 was required to be filed within 30 days of calendar year end. Condition: During our testing, we noted the Organization did not submit an annual SF-425 within the required timeline. Questioned costs: None Context: During our testing, it was noted that the SF-425 was not submitted until 4/8/2021. Cause: The OrganizationÂ’s controls were not sufficient to ensure that the report was submitted within the required timeframe. Effect: The Organization was not in compliance with the grant agreement. Repeat Finding: No Recommendation: We recommend the Organization design controls to ensure an adequate review process is in place to ensure that required reports are accurate and submitted within the required timeframe. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Recommendation: We recommend the Organization design controls to ensure an adequate review process is in place to ensure that required reports are accurate and submitted within the required timeframe. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management has implemented formal reporting controls to ensure all required reports are prepared accurately, reviewed appropriately, and submitted within the required timelines. These controls include a structured reporting calendar with submission deadlines, assignment of responsibility for report preparation and review, and a standardized review and approval process prior to submission. The Organization has also developed documentation procedures to retain evidence of supervisory review, validation of key data points, and confirmation of timely submission. These enhancements are intended to reduce risk of late submissions and improve the accuracy and consistency of program reporting. Name(s) of the contact person(s) responsible for corrective action: Ryan Ross, Executive Director Planned completion date for corrective action plan: March 31, 2026

Categories

Reporting Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1181987 2021-006
    Material Weakness Repeat
  • 1181988 2021-006
    Material Weakness Repeat
  • 1181989 2021-007
    Material Weakness Repeat
  • 1181991 2021-009
    Material Weakness Repeat
  • 1181992 2021-009
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
64.024 VA HOMELESS PROVIDERS GRANT AND PER DIEM PROGRAM $339,550
14.231 EMERGENCY SOLUTIONS GRANT PROGRAM $334,029
14.267 CONTINUUM OF CARE PROGRAM $196,327