Finding 1229177 (2025-001)

Material Weakness Repeat Finding
Requirement
C
Questioned Costs
-
Year
2025
Accepted
2026-09-09

AI Summary

  • Core Issue: Lack of documented review for WIG vouchers, leading to potential unauthorized payments.
  • Impacted Requirements: Nonfederal entities must comply with cash management controls as per 2 CFR and other regulations.
  • Recommended Follow-Up: Establish a policy for reviewing and documenting WIG voucher approvals to enhance internal controls.

Finding Text

Section Ill - Federal Awards Findings and Questioned Costs Finding 2025-001 - Cash Management - U.S. Department of Agriculture (Assistance Listing Number 10.557, WIG Special Supplemental Nutrition Program for Women, Infants, and Children) Passed Through New York State Department of Health, Contract Number C38291GG - (Significant Deficiency) Criteria: Nonfederal entities other than states are required to have internal controls in place to ensure compliance with the requirements of cash management that are contained in 2 CFR sections 200.302(b)(6) and 200,305, 31 CFR Part 205, 48 CFR sections 52.216-?(b) and 52.232-12. Statement of Condition: During our audit, we noted that there is no evidence of review of WIG vouchers submitted for payments. Cause: The Center does not have a policy in place requiring the review of WIG vouchers to be documented. Effect: Failure to document review of WIG Vouchers may result in unauthorized or incorrect payments from the WIG grant. Questioned Costs: None Context: Although there is no evidence of review and approval of the WIG Vouchers, the amounts of all four sample vouchers tested agreed to the underlying records and supporting documents. Identification as a Repeat Finding: This is not a repeat finding. Recommendation: We recommend that the Center implement a policy that requires all WIG voucher and supporting records to be reviewed and that such review be documented. Management Response: Management agrees with the finding and will implement these steps to ensure compliance with the federal cost principles, strengthen internal controls, and reduce the risk of questioned costs.

Corrective Action Plan

The findings from the December 31, 2025, schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the number assigned in the schedule. FINDINGS - FEDERAL AWARD FINDINGS AND QUESTIONED COSTS Finding 2025-001 - Cash Management - U.S. Department of Agriculture ({Assistance Listing Number 10.557, WIC Special Supplemental Nutrition Program for Women, Infants, and Children} Passed Through New York State Department of Health, Contract Number C38291GG - (Significant Deficiency) SJGNFICANT DEFICIENCY During our audit, we noted that there is no evidence of review of WIC vouchers submitted for payments. Recommendation We recommend that the Center implement a policy that requires all WIC voucher and supporting records to be reviewed and that such review be documented. Action Taken WIC vouchers and supporting documentation were reviewed and approved in accordance with BSFHC's established policy. However, the reviews were not documented, resulting in insufficient evidence to demonstrate that the required review had been performed. Going forward, Management will ensure that all WIC vouchers and supporting documentation are reviewed and that the review is documented through the reviewer's signature or initials. Management will monitor compliance with this requirement to ensure that documentation ofthe review is consistently maintained.

Categories

Allowable Costs / Cost Principles Cash Management Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Programs in Audit

ALN Program Name Expenditures
10.557 WIC SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, AND CHILDREN $4.79M
93.224 HEALTH CENTER PROGRAM $4.13M
93.242 MENTAL HEALTH RESEARCH GRANTS $23,500
93.527 GRANTS FOR NEW AND EXPANDED SERVICES UNDER THE HEALTH CENTER PROGRAM $16,402
93.361 NURSING RESEARCH $15,000
93.516 PUBLIC HEALTH TRAINING CENTERS PROGRAM $12,000
93.307 MINORITY HEALTH AND HEALTH DISPARITIES RESEARCH $2,500
93.397 CANCER CENTERS SUPPORT GRANTS $2,250
93.866 AGING RESEARCH $1,000