Finding 1190762 (2024-002)

Material Weakness Repeat Finding

Requirement

Questioned Costs

Year

2024

Accepted

2026-03-27

Audit: 395043

Organization: Valle Del Sol, Inc. and Subsidiary (AZ)

Auditor: CLIFTONLARSONALLEN LLP (CLA)

AI Summary

Answer: Adjustments of $3,662,932 were needed to fix errors in the consolidated financial statements.
Trend: This adjustment reflects an increase in accrued liabilities, impacting net income.
List: Follow up on the reasons for the errors and ensure proper controls are in place to prevent future discrepancies.

Finding Text

Audit adjustments were necessary to correct errors in the current year consolidated financial statements totaling $3,662,932. The current period adjustments were related to an increase in accrued liabilities of approximately $3,662,932 resulting in a decrease in net income of $3,662,932.

Corrective Action Plan

Valle del Sol, Inc. has been working with Mercy Care and now have access to the payment portal to ensure that prior period adjustments will not happen in the future.

Other Findings in this Audit

1190763 2024-001

Material Weakness Repeat

Programs in Audit

ALN	Program Name	Expenditures
93.958	BLOCK GRANTS FOR COMMUNITY MENTAL HEALTH SERVICES	$815,498
21.027	CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS	$633,102
10.557	WIC SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, AND CHILDREN	$443,764
93.959	BLOCK GRANTS FOR PREVENTION AND TREATMENT OF SUBSTANCE ABUSE	$414,798
93.224	HEALTH CENTER PROGRAM (COMMUNITY HEALTH CENTERS, MIGRANT HEALTH CENTERS, HEALTH CARE FOR THE HOMELESS, AND PUBLIC HOUSING PRIMARY CARE)	$298,635
93.788	OPIOID STR	$248,354
93.527	GRANTS FOR NEW AND EXPANDED SERVICES UNDER THE HEALTH CENTER PROGRAM	$113,092
93.526	GRANTS FOR CAPITAL DEVELOPMENT IN HEALTH CENTERS	$65,615