Finding Text
Finding: 2024-008. Untimely Reimbursement Requests. Federal Programs - (1) Block Grants for Community Mental Health Services (2) Continuum of Care. Federal Financial Assistance Listings - (1) 93.958, (2) 14.267. Federal Award Numbers - (1) 4529066471 and 4529064876, (2) OK0024L6I021111, OK0024L6I022113, OK0024L6I022212, OK0024L6I022213, OK0024L6I022214, OK0024L6I022215, OK0024L6I022316. Federal Agencies - (1) Department of Health and Human Services, (2) Department of Housing and Urban Development. Pass-through Entity - (1) The ODMHSAS, (2) The City of Oklahoma City and the City of Norman. Special Tests - Timely Submission of Drawdowns. Significant deficiency in Internal Control over Compliance. Criteria: Performance requirements under the agreements with the ODMHSAS requires recipients and subrecipients to submit reimbursement requests within 60 days from the last day services were last rendered during the invoice month. Condition: The entity submitted reimbursement requests after the timeframe required by the grant agreement (60 days). The reimbursement was honored by the pass-through agency, resulting in no questioned costs, however, written approval or a waiver from the pass-through entity was not obtained for submitting reimbursement requests outside the required timeframe. As a result, costs included in the late reimbursement requests were not submitted in accordance with the terms and conditions of the subaward. Cause: The untimely submission of reimbursement requests were the result of changes in invoicing requirements and communication with pass-through agency. However, Hope did not obtain written approval or a formal waiver from the pass-through entity authorizing reimbursement requests to be submitted outside the timeframe required by the subaward agreement and corroborate approval of untimely submissions. Effect or Potential Effect: As a result of this condition, the entity did not comply with the terms and conditions of the subaward. Costs submitted outside the required timeframe may be ineligible for reimbursement. Questioned Costs: None. Context: A nonstatistical sample of 18 out of 134 drawdowns was selected for testing. Of the 18 transactions tested, seven were submitted outside of the 60-day requirement, with submission delays ranging from seven to 83 days. Repeat Finding from Prior Year: No. Recommendation: Management should implement procedures to ensure reimbursement requests are submitted within the timeframe required by the subaward agreement. In circumstances where this cannot be completed or will be delayed, a waiver and documentation of contact with the agency should be maintained. Views of Responsible Officials: Management's response is included in the corrective action plan.