Finding 1241597 (2026-001)

FINDING No. 2026-001: Section 202 Supportive Housing for the Elderly, ALN 14.157 Finding Resolution Status: Resolved. Information on Universe Population Size: All disbursements for the year ended March 31, 2026. Sample Size Information: Twenty-five disbursements. Identification of Repeat Finding and Finding Reference Number: No. Criteria: All disbursements must be approved by personnel with the appropriate authorization level in accordance with the Project's approval policy prior to payment. Statement of Condition: Three disbursements totaling $28,662 were approved by a member of management whose approval authority was limited to transactions up to $1,000. Two disbursements exceeding $10,000 and one disbursement over $1,000. Cause: The accounting system allowed for the approval of invoices outside of established approval limits due to a system glitch. Effect or Potential Effect: Potential unauthorized use of Project funds. Auditor Non-Compliance Code: S – Internal control deficiencies. Reporting Views of Responsible Officials: The Project agrees with the finding and the auditor’s recommendation has been adopted. Recommendation: Management should ensure adherence to and the monitoring of established controls over cash disbursements. Response Indicator: Agree. Completion Date: 6/23/2025 Response: Staff training has been provided to ensure proper procedures are followed.