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Finding No. 2025-002 - Cash Management - Significant Deficiency Name of Federal Agency: U.S. Department of Health and Human Services Federal Program Name and Assistance Listing Number: Low-Income Home Energy Assistance 93.568 Federal Award Identification Number and Years: 23DSS4301EW 9/25 and 9/26 Name of Passthrough Entity: Connecticut Department of Social Services Criteria - In accordance with 2 CFR 200.305, payment methods must minimize the time elapsing between the transfer of funds from the Federal awarding agency or the pass-through entity and the disbursement of funds by the recipient . Additionally the grant agreement requires vendor invoices to be processed and paid within the specified timeframe established by the awarding agency. Condition - For the year ended December 31, 2025, 2 invoices were not paid within the required distribution requirements as defined by the grant agreement. In addition, supporting documentation for one invoice selected for testing could not be located. Cause - The Organization experiences a high volume of invoices requiring processing during the energy assistance season, which resulted in the delay of processing for the two invoices, in excess of the established 10-day payment standard from date of invoice. Additionally, documentation for one invoice could not be located due to a filing error. Effect or Potential Effect - Payments were not made within the required time as noted in the grant agreement. The inability to locate supporting documetation prevented verification that one payment was made in accordance with applicable program and grant requirements. Questioned Costs - None. Context - Of 40 disbursements selected for testing, two invoices were not paid within the required timeframe and supporting documentation for one invoice could not be located. Identification as a Repeat Finding - This is not a repeat finding. Recommendation - We recommend that management strengthen procedures over invoice processing and document retention to ensure vendor invoices are reviewed and paid within the timeframes required by the grant agreement; and supporting documentation is retained and remains accessible in accordance with record retention requirements, including during system conversions or transitions from legacy systems. Views of Responsible Officials - Management continues to identify opportunities to streamline invoice processing and maximize recruitment efforts to fill vacant staffing positions.