Finding 34894 (2022-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-10-30

AI Summary

  • Core Issue: Lack of a documented review process for monthly and quarterly reports submitted to the Department of Treasury for the COVID-19 Emergency Rental Assistance Program.
  • Impacted Requirements: Reports may contain inaccurate information or miss required data, violating reporting criteria set by the Department of Treasury.
  • Recommended Follow-Up: Implement a formal review process before report submission to ensure accuracy and compliance with reporting requirements.

Finding Text

2022-001 U.S. Department of Treasury CFDA # 21.023, 2021 Award Year, Award Number: Not Provided COVID-19 Emergency Rental Assistance Program (ERA) Reporting Significant Deficiency in Internal Controls Criteria: Monthly and quarterly reports are required by Department of Treasury for ERA. Condition: There was no documented control in place for review of reports prior to submission. Cause: Information for reports was provided by a different person who does not complete the submission, so a review process was not implemented over reporting. Effect: Inaccurate information could have been reported or lines with required information could have been missed. Questioned Costs: None. Context/Sampling: For ERA1, we tested 2 of the 4 quarterly reports and 3 of the 12 monthly reports required for fiscal year 2022. For ERA2, we tested 2 of the 4 quarterly reports and 3 of the 12 monthly reports required for fiscal year 2022. Repeat Finding from Prior Year(s): No Recommendation: We recommend a documented review process be implemented prior to report submission to ensure all lines are properly entered and agree to the applicable backup. Views of Responsible Officials: Management agrees with the finding.

Corrective Action Plan

Finding 2022-001 Federal Agency Name: U.S. Department of Treasury Program Name and CFDA #: CFDA #21.023 COVID-19 Emergency Rental Assistance Program (ERA) Finding Summary: For the quarterly and annual reports required by Department of Treasury for the ERA Program, there was no documented control in place for review of reports prior to submission. Responsible Individuals: Bridgette Loesch, SD Cares Housing Assistance Program Manager and Lorraine Polak, Executive Director Corrective Action Plan: The Emergency Rental Assistance Procedural Manual will be updated to include the two step process for reviewing quarterly and annual reports prior to submission. The SD Cares Housing Assistance Program Manager will gather the information to complete the reports. The Executive Director will review the draft reports and then submit the reports once they have been verified. Anticipated Completion Date: October 31, 2022

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 611336 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.182 Section 8 New Construction and Substantial Rehabilitation $28.12M
21.023 Emergency Rental Assistance Program $27.90M
14.239 Home Investment Partnerships Program $4.24M
21.019 Coronavirus Relief Fund $3.45M
14.231 Emergency Solutions Grant Program $2.74M
14.275 Housing Trust Fund $2.15M
21.026 Homeowner Assistance Fund $510,941
14.267 Continuum of Care Program $306,036
14.326 Project Rental Assistance Demonstration (pra Demo) Program of Section 811 Supportive Housing for Persons with Disabilities $117,653
14.169 Housing Counseling Assistance Program $60,501
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $5,519