Finding Text
Federal Agency: U.S. Department of Health and Human Services
Federal Program Name: Provider Relief Fund (PRF)
Assistance Listing Number: 93.498
Federal Award
Identification Number: n/a
Award Periods: PRF period 4
Criteria:
§200.303(a) indicates non-federal entities must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).
Condition:
The Organization did not maintain sufficient documentation to demonstrate effective internal controls over selected transactions.
Questioned Costs:
$3,554.
Context:
Of the sixty transactions selected for testing, the Organization was unable to provide sufficient documentation for thirteen transactions.
Cause:
Turnover within the accounts payable department and transition to new accounting software.
Effect:
Potential for unallowable costs could be charged to the grant.
Repeat Finding:
No.
Recommendation:
We recommend the Organization maintain supporting documentation for all expenses (i.e. invoices, etc.) and use electronic means, such as accounts payable spend management software, when possible.
Views of Responsible Officials:
There is no disagreement with the audit finding.