Finding 1205303 (2025-005)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-03-31
Audit: 396999
Organization: Intecare, INC (IN)

AI Summary

  • Core Issue: The organization lacks adequate internal controls for reviewing required SF-425 reports before submission.
  • Impacted Requirements: Compliance with quarterly, annual, and final reporting obligations to the Federal Agency.
  • Recommended Follow-up: Implement a process where reports are prepared and reviewed by different individuals, and maintain documentation of the approval process.

Finding Text

Federal Agency: U.S. Department of Veteran Affairs Federal Program Name: Supporting Services for Veteran Families Program Assistance Listing Number: 64.033 Federal Award Identification Number and Year: 14-IN-200, 14-IN-200-LT Award Period: October 1, 2022 – September 30, 2026 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matter Criteria or specific requirement: The Organization is required to submit quarterly, annual, and final SF-425 reports to the Federal Agency. Condition: The Organization did not have controls in place to prevent, detect, or correct errors in reporting. Questioned costs: None Context: During our testing, it was noted that there was no formal layer of review over the required reports prepared before it was submitted to the grantor. Cause: Internal controls were not in place to ensure reports are reviewed before submitted to the grantor. Effect: The auditor noted no instances of noncompliance with the provisions of reporting; however, the lack of internal controls over this compliance requirement provides an opportunity for noncompliance. Repeat Finding: No. Recommendation: We recommend that reports are prepared and reviewed by separate individuals and that the data gathered to prepare the report is saved with a final copy of it demonstrating the layers of approval in place. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Supporting Services for Veteran Families Program – Assistance Listing No. 64.033 Recommendation: We recommend that reports are prepared and reviewed by separate individuals and that the data gathered to prepare the report is saved with a final copy of it demonstrating the layers of approval in place. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The system used to document completion of processes will be updated to make it more clear who has completed reviews and when. Data for reports will be saved upon completion of reports so it can be referenced later. Reports such as SF-425’s will be signed to indicate they have been reviewed. Name(s) of the contact person(s) responsible for corrective action: Noah Masson Planned completion date for corrective action plan: 3/31/2026

Categories

Reporting Significant Deficiency

Other Findings in this Audit

  • 1205294 2025-001
    Material Weakness Repeat
  • 1205295 2025-001
    Material Weakness Repeat
  • 1205296 2025-002
    Material Weakness Repeat
  • 1205297 2025-002
    Material Weakness Repeat
  • 1205298 2025-003
    Material Weakness Repeat
  • 1205299 2025-003
    Material Weakness Repeat
  • 1205300 2025-004
    Material Weakness Repeat
  • 1205301 2025-004
    Material Weakness Repeat
  • 1205302 2025-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
64.033 VA SUPPORTIVE SERVICES FOR VETERAN FAMILIES PROGRAM $369,002