Finding Text
FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARD PROGRAMS AUDIT
2022-003 Significant Deficiency in Internal Controls over Compliance – Reporting
Agency: U.S. Department of Health and Human Services Program(s) and
Federal Award Identification
Number(s): Special Programs for The Aging – Title III, Part B—Grants For Supportive Services And Senior Centers, Cares Act For Supportive Services Under Title III-B Of The Older Americans Act, And American Rescue Plan For Supportive Services Under Title III-B Of The Older Americans Act
AL 93.044
Nutrition Services for Nutrition Services Under Title III-C Of The Older Americans Act, Cares Act For Nutrition Services Under Title III-C Of The Older Americans Act, And American Rescue Plan For Nutrition Services Under Title III-C Of The Older Americans Act AL 93.045
Nutrition Services Incentive Program AL 93.053
Special Programs for the Aging, Title VI, Part A, Grants to Indian Tribes AL 93.047
Children’s Advocacy Centers
AL 93.558
New or Repeat: Repeat
Criteria: Per 2 CFR 200.303, the non-Federal entity is responsible for maintaining effective internal controls over submissions of financial reports to comply with terms and conditions of Federal Awards. In addition, the grant awards require timely submission of reports. Additionally, per 2 CFR 200.334 “financial records, supporting documents … and all other non-Federal entity records pertinent to the Federal award must be retained for a period of three years from the date of submission of the final expenditure report.”
Condition: Internal controls were not sufficiently designed and implemented to ensure that quarterly and annual financial reports were accurate, submitted in a timely manner, and supported by expenditures. We noted certain annual reports were not submitted in a timely manner. Additionally, CCS was unable to provide some of the submitted reports that were selected for testing.
Cause: Vacancies in key financial positions and lack of adequate resources in the finance department led to a breakdown of established controls and inadequate monitoring of reporting requirements.
Effective: CCS was not in compliance with its grant reporting requirements because the reports were submitted late or unable to be provided.
Questioned costs: None.
Perspective: For AL 93.047, four of twenty-three reports tested were submitted after the required due date. CCS was not able to provide seven of twenty-three reports selected for testing. Regarding the Aging Cluster, CCS was not able to provide three of seven reports selected for testing. For AL 93.558 two of five reports tested were submitted after the required due date.
View of responsible
officials: Management concurs with this finding. See corrective action plan.