FAC Explorer

Finding 279107 (2022-002)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-06-28
Audit: 265967
Organization: Legal Aid Chicago (IL)
Auditor: Cliftonlarsonallen LLP

AI Summary

  • Core Issue: Employees are not providing written agreements to acknowledge the policy on case acceptance, leading to a significant deficiency in internal controls.
  • Impacted Requirements: Compliance with the LSC Compliance Supplement, specifically regarding case handling priorities as outlined in 45 CFR Section 1620.6.
  • Recommended Follow-Up: Management should establish a procedure to ensure documentation of employee acceptance of the policy is maintained.

Finding Text

2022-002: Special Tests and Provisions Federal Agency: Legal Services Corporation (LSC) Federal Program: LSC Grants Assistance Listing Number: 09.514020 Federal Award Identification Number and Year: 09.514020 - 2022 Award Period: January 1, 2022 to December 31, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: The LSC Compliance Supplement, Part 1620 - Priorities in Use of Resources, requires that all staff who handle cases or matters to make decisions about case acceptance sign written agreements not to undertake non-priority cases or matters, except for those that are emergencies, in accordance with 45 CFR Section 1620.6. Condition: Documentation is not maintained to support that employees accepted the policy. Questioned costs: None Context: Documentation is not maintained to support that employees accepted the policy. Cause: Unknown. Effect: The Organization is not able to support that employees acknowledged the applicable policies. Repeat finding: This finding is not a repeat finding. Recommendation: We recommend that management implement a procedure to maintain documentation of employees written acceptance of the policies. Views of Responsible Official: There is no disagreement with this finding.

Corrective Action Plan

2022-002: Special Tests and Provisions Recommendation: We recommend that management implement a procedure to maintain documentation of employees written acceptance of the policies. Explanation of disagreement with audit finding: There is no disagreement with this finding. Action taken in response to finding: The Organization will implement a process whereby new staff sign an acknowledgment that they have received and reviewed the Organization?s policies. This will happen during the HR onboarding process. For existing staff members, the Organization will separately secure written acknowledgement and retain in our organizational files. Name of the contact person responsible for corrective action: McKenzie Marks, Director of Human Resources Planned completion date for corrective action plan: September 30, 2023

Categories

Special Tests & Provisions Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 279106 2022-001
    Significant Deficiency
  • 855548 2022-001
    Significant Deficiency
  • 855549 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
09.U00 Legal Services Corporation $7.84M
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.09M
16.575 Crime Victim Assistance $973,183
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $826,040
93.569 Community Services Block Grant $421,497
14.418 Private Enforcement Initiatives $348,548
16.320 Services for Trafficking Victims $302,142
93.914 Hiv Emergency Relief Project Grants $301,165
21.023 Emergency Rental Assistance Program $294,643
93.042 Special Programs for the Aging_title Vii, Chapter 2_long Term Care Ombudsman Services for Older Individuals $182,057
16.524 Legal Assistance for Victims $178,394
21.008 Low Income Taxpayer Clinics $75,000
94.013 Volunteers in Service to America $44,362
93.052 National Family Caregiver Support, Title Iii, Part E $41,617
21.026 Homeowner Assistance Fund $41,246
14.241 Housing Opportunities for Persons with Aids $33,948
93.667 Social Services Block Grant $32,763
66.604 Environmental Justice Small Grant Program $13,843
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $12,843