Finding 1230036 (2024-005)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2024
Accepted
2026-09-17

AI Summary

  • Core Issue: The organization failed to submit the single audit report, including the data collection form, within the required nine-month timeframe after the fiscal year-end.
  • Impacted Requirements: This noncompliance violates 2 CFR §200.512, which mandates timely submission of audit reports.
  • Recommended Follow-Up: Implement stronger policies and procedures to ensure timely completion and filing of audits, and ensure staff have the necessary skills and knowledge.

Finding Text

Finding Number: 2024-005 Material Weakness – Compliance and Internal Control over Compliance Finding over Data Collection Form Federal Award: No. 93.778 U.S. Department of Health and Human Services – Grants to States for Medicaid Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: County of Monterey, California Repeat Finding: No Criteria or Specific Requirement: Under 2 CFR §200.512, Report Submission, single audit submissions, including the data collection form, are required to be filed within nine months after fiscal year-end. Condition: The single audit submission was not completed and not filed within nine months of year-end. Cause: Factors beyond the control of current management, including poorly designed policies and procedures to ensure audit was completed timely, as key members of the accounting department left the Organization before appropriately transferring knowledge and records related to the Federal awards. Effect or Potential Effect: Noncompliance with Uniform Guidance. Questioned Costs: None Context: The Organization was not able to retain or replace personnel with the appropriate skills and knowledge to implement appropriate procedures and controls. Recommendation: Policies and procedures should be designed and implemented to ensure compliance with Uniform Guidance . View of Responsible Officials: Valley Health Associates management understands the severity of this finding and will work to correct as per the recommendation. Management will ensure the reporting is filed in a timely manner for FY year ended June 2025.

Corrective Action Plan

Planned Corrective Action: Valley Health Associates will ensure accounting methods are consistent and include proper documentation. And, immediately ensure reports are submitted in a timely manner for the Medi-caid program.

Categories

Subrecipient Monitoring Material Weakness Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1230034 2024-003
    Material Weakness Repeat
  • 1230035 2024-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.778 GRANTS TO STATES FOR MEDICAID $567,188
93.788 OPIOID STR $235,842
93.958 BLOCK GRANTS FOR COMMUNITY MENTAL HEALTH SERVICES $75,333
93.959 BLOCK GRANTS FOR PREVENTION AND TREATMENT OF SUBSTANCE ABUSE $56,749