Finding Text
Finding Type: Noncompliance with Major Program Requirements Title and ALN of Federal Program: 93.558 – Temporary Assistance for Needy Families Criteria or Specific Requirement: E. Eligibility - 2 CFR section 200.303 of the Uniform Guidance requires that non-federal entities receiving federal awards establish and maintain internal control over the federal awards that provides reasonable assurance that the non-federal entity is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. In accordance with the Temporary Assistance for Needy Families subaward agreement, only individuals who meet the applicable eligibility criteria may receive services, benefits, or other assistance funded by the Federal award. The Association is required to maintain documentation of eligibility for program participants receiving assistance. Condition: For one of twenty-five participants selected for testing, the Association did not provide formal documentation demonstrating the participant’s eligibility for the program was determined in accordance with applicable program requirements. Cause: The Association did not have consistently established procedures to ensure that formal evidence supporting participant eligibility determinations was obtained, retained, and available for review. Effect or Potential Effect: The absence of adequate eligibility documentation increases the risk that services, benefits, or other assistance funded by the subaward could be provided to individuals who do not meet applicable eligibility requirements. Questioned Costs: None. Identification as a Repeat Finding: N/A — this was not reported as a finding in the prior year audit report. Context: Twenty-five participants were selected for testing of eligibility. For one participant, the Association did not maintain documentation supporting the participant’s eligibility determination. Recommendation: We recommend that the Association obtain, retain, and maintain documentation supporting the eligibility determination for all program participants receiving federally funded services, benefits, or other assistance. If eligibility documentation is provided or maintained through subrecipient monitoring procedures, the Association should enhance its monitoring procedures to ensure the subrecipient maintains complete enrollment forms and eligibility support for all individuals included in participant listings or reported to the pass-through entity. The Association should also perform periodic reconciliations of participant listings and Program Outcome Reports to underlying enrollment and eligibility documentation and investigate or remove from reported participant listings individuals who did not ultimately participate in the program. Views of Responsible Officials: Management agrees with the finding and recommendation.