Finding Text
Finding 2022-002: U.S. Department of Health and Human Services Passed through Texas Health and Human Services Commission (HHSC) Medicaid Administrative Claiming (MAC) CFDA 93.778 Reporting Material Weakness in Internal Control Over Compliance and Material Noncompliance Grant Award Number: 529-11-0040-00034A Criteria: Grant agreement requires entities to file quarterly reports for the Medical Assistance Program. Condition: We noted that the Center filed the quarterly reports as required; however, upon reviewing the support for the expenditures for the second quarter, it was noted that reported numbers were inaccurate which resulted in incorrect reporting and the receipt of unearned grant funds. Cause: The Center did not have adequate internal controls to review the reports in detail. Effect: The Reporting requirement for the second quarter was incorrectly reported, and unearned grant funds were received. Questioned Costs: $63,416 Context/Sampling: Sample size was two of the four quarters. Repeat Finding from Prior Year(s): No Recommendation: While the Center has controls in place to review the reports prior to being filed, we recommend for the Center to implement a detail review by line item by someone independent from report preparation responsibilities. Views of Responsible Officials: Management agrees with the finding. Refer to Corrective Action Plan.