Finding 1207138 (2025-002)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-04-17

AI Summary

  • Core Issue: The Center is using outdated forms for documenting program eligibility, which may lead to improper client assessments.
  • Impacted Requirements: Compliance with the Michigan Department of Health and Human Services' requirement to use the latest version of the "Declaration of Residency/No Income or Support/Insurance Eligibility" form.
  • Recommended Follow-Up: Program Director should regularly check the MDHHS website for form updates and ensure all staff are using the correct versions.

Finding Text

Condition: It was noted during the audit the Center was using outdated forms provided by the pass through agency to document program eligibility related to income and insurance documentation. Criteria: The pass-through agency, Michigan Department of Health and Human Services, provides a form for subrecipients to use for "Declaration of Residency/No Income or Support/Insurance Eligibility" (Form MDHHS-5422). When updated, previous versions are obsolete per MDHHS. Cause: The Center does not have a process in place to check for form updates published on the MDHHS website and relies upon emails or other notifications. Effect: Client eligibility could be improperly assessed in accordance with pass-through entity's requirements and state-wide plan. Perspective: This is a systemic finding. Repeat Finding: This is not a repeat finding. Recommendation: Encourage Program Director to periodically check for updates to forms and schedules being utilized for updates and ensure all staff are utilizing the correct versions.

Corrective Action Plan

Although the updated MDHHS form 5522 has the same information as the outdated form, MDHHS was contacted to ensure Sacred Heart is on the state listserv to receive all MDHHS email updates and the program leader will contact the Contract Monitor prior to the start of the new contract year and search the website periodically to ensure there are no updates to forms. All updated forms will be distributed to case managers.

Categories

Subrecipient Monitoring Eligibility

Other Findings in this Audit

  • 1207139 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.241 HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS $433,323
93.917 HIV CARE FORMULA GRANTS $381,177
93.788 OPIOID STR $49,791
93.959 BLOCK GRANTS FOR PREVENTION AND TREATMENT OF SUBSTANCE ABUSE $15,485