Finding Text
2025-002 U.S. Department of Health and Human Services, AL No 93.323 Reporting MATERIAL WEAKNESS & NONCOMPLIANCE Condition: Controls in place did not ensure quarterly reports were submitted timely. During our testing, three of the three quarterly reports, over the nine month reporting period were not submitted by the 15th of the required reporting month. Reports were submitted between three and sixty-three days after the deadline. Criteria: Grant specifications require quarterly reporting due January 15th, April 15th, July 15th, and October 15th for the previous 3-month reporting period. Cause: LCHD lacked adequate procedures over the timely reporting of program related expenses, to ensure reports are prepared and submitted by the required reporting deadlines. Effect: Failure to file timely reports is a breach of the award terms and conditions. It prevents the federal awarding agency from performing effective oversight and could result in the suspension of future funding or a high-risk designation. Recommendation: Management should continue to evaluate procedures for capturing, and reporting of their various federal award programs. Procedures should include a secondary reviewer to verify the accuracy and timeliness of all submissions. Management should consider implementing a formalized grant reporting calendar that includes automated alerts for upcoming deadlines. Grantee’s Response: Management concurs and will continue to evaluate procedures for capturing and reporting grant activity, including implementing additional oversight and monitoring.