FAC Explorer

Finding 1210713 (2025-002)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-04-28
Audit: 400007
Organization: Legal Aid Chicago (IL)
Auditor: CLIFTONLARSONALLEN LLP

AI Summary

  • Core Issue: Not all representation cases had a signed retainer agreement, leading to compliance risks.
  • Impacted Requirements: LSC mandates that all cases must have a complete retainer agreement to confirm eligibility.
  • Recommended Follow-Up: Management should establish controls to ensure all necessary documentation is consistently maintained.

Finding Text

Federal Agency: Legal Services Corporation (LSC) Federal Program: LSC Grants Assistance Listing Number: 09.514020 Federal Award Identification Number and Year: 09.514020 - 2025 Award Period: January 1, 2025 to December 31, 2025 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Cases involving representation are required to have a retainer agreement signed by the client and an authorized Legal Aid Chicago staff member. Condition: Not all cases involving representation had a complete signed retainer agreement. Questioned costs: None Context: Two out of the 60 cases selected for testing, did not have a retainer agreement in case file. Cause: Unknown. Effect: Cases for which a retainer agreement is not maintained results in noncompliance with LSC’s outlined requirements for determining case eligibility. Repeat finding: This finding is a repeat finding. Recommendation: We recommend that management implement a control to ensure complete documentation is maintained for all cases that require a retainer agreement. Views of Responsible Official: There is no disagreement with this finding.

Corrective Action Plan

Recommendation: We recommend that management implement a control to ensure complete documentation is maintained for all cases that require retainer agreement. Explanation of disagreement with audit finding: There is no disagreement with this finding. Action taken in response to finding: Legal Aid Chicago's Deputy Director/General Counsel has already contacted the employees who made the errors with respect to missing retainers and has included their supervisors in the communication to ensure compliance on a forward-looking basis. The Deputy Director/General Counsel will also hold a compliance training for staff covering LSC regulations by the end of Q3 2026. Name of the contact person responsible for corrective action: Teresa Sullivan, Deputy Director / General Counsel Planned completion date for corrective action plan: September 30, 2026

Categories

Eligibility Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1210702 2025-001
    Material Weakness Repeat
  • 1210703 2025-001
    Material Weakness Repeat
  • 1210704 2025-001
    Material Weakness Repeat
  • 1210705 2025-001
    Material Weakness Repeat
  • 1210706 2025-001
    Material Weakness Repeat
  • 1210707 2025-001
    Material Weakness Repeat
  • 1210708 2025-002
    Material Weakness Repeat
  • 1210709 2025-002
    Material Weakness Repeat
  • 1210710 2025-002
    Material Weakness Repeat
  • 1210711 2025-002
    Material Weakness Repeat
  • 1210712 2025-002
    Material Weakness Repeat
  • 1210714 2025-003
    Material Weakness Repeat
  • 1210715 2025-003
    Material Weakness Repeat
  • 1210716 2025-003
    Material Weakness Repeat
  • 1210717 2025-003
    Material Weakness Repeat
  • 1210718 2025-003
    Material Weakness Repeat
  • 1210719 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
09.U01 Basic Field Grant - Cook County $7.85M
21.023 EMERGENCY RENTAL ASSISTANCE PROGRAM $703,821
93.569 COMMUNITY SERVICES BLOCK GRANT $421,500
16.524 LEGAL ASSISTANCE FOR VICTIMS $286,291
14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $285,418
16.575 CRIME VICTIM ASSISTANCE $276,985
93.914 HIV EMERGENCY RELIEF PROJECT GRANTS $248,426
14.418 PRIVATE ENFORCEMENT INITIATIVES $190,453
09.U06 Pro Bono Innovation Fund - Neighborhood Advocacy Projec $188,354
16.320 Services for Victims of Human Trafficking / TSAP $182,325
09.U02 Migrant Farm Workers - State of Illinois $176,843
21.008 LOW INCOME TAXPAYER CLINICS $136,632
93.307 MINORITY HEALTH AND HEALTH DISPARITIES RESEARCH $104,141
09.U04 Technology Initiative Grant $100,078
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $97,024
93.044 SPECIAL PROGRAMS FOR THE AGING, TITLE III, PART B, GRANTS FOR SUPPORTIVE SERVICES AND SENIOR CENTERS $89,390
64.056 LEGAL SERVICES FOR HOMELESS VETERANS AND VETERANS AT-RISK FOR HOMELESSNESS GRANT PROGRAM $79,104
14.267 CONTINUUM OF CARE PROGRAM $73,664
09.U05 Technology Initiative Grant $63,709
09.U03 Technology Improvement Project $51,195
93.042 SPECIAL PROGRAMS FOR THE AGING, TITLE VII, CHAPTER 2, LONG TERM CARE OMBUDSMAN SERVICES FOR OLDER INDIVIDUALS $40,336
93.667 SOCIAL SERVICES BLOCK GRANT $21,230
14.241 HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS $18,967
93.052 NATIONAL FAMILY CAREGIVER SUPPORT, TITLE III, PART E $17,581
93.262 OCCUPATIONAL SAFETY AND HEALTH PROGRAM $10,783
93.671 FAMILY VIOLENCE PREVENTION AND SERVICES/DOMESTIC VIOLENCE SHELTER AND SUPPORTIVE SERVICES $7,500