FAC Explorer

Finding 398223 (2022-003)

Material Weakness
Requirement
M
Questioned Costs
-
Year
2022
Accepted
2024-05-22
Audit: 306900
Organization: East Alabama Regional Planning and Development Commission (FL)
Auditor: Warren Averett

AI Summary

  • Core Issue: The Commission failed to adequately monitor two subrecipients and did not obtain required single audit reports for any tested subrecipients.
  • Impacted Requirements: Noncompliance with 2 CFR 200.332, which mandates monitoring and verification of subrecipients' use of funds and audit requirements.
  • Recommended Follow-up: Strengthen policies and procedures for subrecipient monitoring to ensure compliance and avoid potential disallowed costs.

Finding Text

Finding 2022-003 – Subrecipient Monitoring– Material Weakness and Noncompliance Federal Program: Formula Grants for Rural Areas and Tribal Transit Programs, Aging Cluster Federal Agency: U.S. Department of Transportation, U.S. Department of Health and Human Services ALN Number: 20.509 and 93.044, 93.045, 93.053 (Aging Cluster) Federal Award Number: 2201ALSTPH-00/2101ALOASS,2101ALALVAC/2101ALSSC6, 2101ALOACM/2201ALOAHD Compliance Requirement: Subrecipient Monitoring Criteria: 2 CFR 200.332 provides various requirements for subrecipient monitoring including the following: • 2 CFR 200.332(d) requires pass-through entities to “monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, in compliance with Federal statutes, regulations, and the terms and conditions of the subaward; and that subaward performance goals are achieved. • 2 CFR 200.332(f) requires pass-through entities to “verify that every subrecipient is audited as required by Subpart F of this part when it is expected that the subrecipient’s Federal awards expended during the respective fiscal year equaled or exceeded the threshold set forth in § 200.501.” Condition: Warren Averett tested 8 subrecipients in the Aging Cluster and noted that two were not monitored adequately during the award period and the Commission did not obtain single audit reports for any of the subrecipients tested. Warren Averett tested 3 subrecipients in ALN#20.509 and noted that the Commission did not obtain the single audit reports for any of these subrecipients. Cause: Although the Commission performed certain procedures required by 2 CFR 200.332, the policies and procedures do not contain adequate guidance to fully address the requirements. Effect: The lack of adequate policies and procedures can lead to noncompliance with federal statutes regulations and the provisions of grant agreements which could ultimately lead to disallowed costs for the major federal program. Repeat Finding: This is not a repeat finding. Recommendation: Warren Averett recommends that the Commission strengthen its documented policies and procedures regarding subrecipient monitoring. View of Responsible Officials: See Corrective Action Plan at the end of the report.

Categories

Subrecipient Monitoring

Other Findings in this Audit

  • 398193 2022-002
    Significant Deficiency Repeat
  • 398194 2022-002
    Significant Deficiency Repeat
  • 398195 2022-002
    Significant Deficiency Repeat
  • 398196 2022-002
    Significant Deficiency Repeat
  • 398197 2022-002
    Significant Deficiency Repeat
  • 398198 2022-002
    Significant Deficiency Repeat
  • 398199 2022-002
    Significant Deficiency Repeat
  • 398200 2022-002
    Significant Deficiency Repeat
  • 398201 2022-002
    Significant Deficiency Repeat
  • 398202 2022-002
    Significant Deficiency Repeat
  • 398203 2022-002
    Significant Deficiency Repeat
  • 398204 2022-002
    Significant Deficiency Repeat
  • 398205 2022-002
    Significant Deficiency Repeat
  • 398206 2022-002
    Significant Deficiency Repeat
  • 398207 2022-002
    Significant Deficiency Repeat
  • 398208 2022-002
    Significant Deficiency Repeat
  • 398209 2022-002
    Significant Deficiency Repeat
  • 398210 2022-002
    Significant Deficiency Repeat
  • 398211 2022-002
    Significant Deficiency Repeat
  • 398212 2022-002
    Significant Deficiency Repeat
  • 398213 2022-002
    Significant Deficiency Repeat
  • 398214 2022-002
    Significant Deficiency Repeat
  • 398215 2022-002
    Significant Deficiency Repeat
  • 398216 2022-002
    Significant Deficiency Repeat
  • 398217 2022-002
    Significant Deficiency Repeat
  • 398218 2022-002
    Significant Deficiency Repeat
  • 398219 2022-002
    Significant Deficiency Repeat
  • 398220 2022-002
    Significant Deficiency Repeat
  • 398221 2022-002
    Significant Deficiency Repeat
  • 398222 2022-003
    Material Weakness
  • 398224 2022-003
    Material Weakness
  • 398225 2022-003
    Material Weakness
  • 398226 2022-003
    Material Weakness
  • 398227 2022-003
    Material Weakness
  • 398228 2022-003
    Material Weakness
  • 974635 2022-002
    Significant Deficiency Repeat
  • 974636 2022-002
    Significant Deficiency Repeat
  • 974637 2022-002
    Significant Deficiency Repeat
  • 974638 2022-002
    Significant Deficiency Repeat
  • 974639 2022-002
    Significant Deficiency Repeat
  • 974640 2022-002
    Significant Deficiency Repeat
  • 974641 2022-002
    Significant Deficiency Repeat
  • 974642 2022-002
    Significant Deficiency Repeat
  • 974643 2022-002
    Significant Deficiency Repeat
  • 974644 2022-002
    Significant Deficiency Repeat
  • 974645 2022-002
    Significant Deficiency Repeat
  • 974646 2022-002
    Significant Deficiency Repeat
  • 974647 2022-002
    Significant Deficiency Repeat
  • 974648 2022-002
    Significant Deficiency Repeat
  • 974649 2022-002
    Significant Deficiency Repeat
  • 974650 2022-002
    Significant Deficiency Repeat
  • 974651 2022-002
    Significant Deficiency Repeat
  • 974652 2022-002
    Significant Deficiency Repeat
  • 974653 2022-002
    Significant Deficiency Repeat
  • 974654 2022-002
    Significant Deficiency Repeat
  • 974655 2022-002
    Significant Deficiency Repeat
  • 974656 2022-002
    Significant Deficiency Repeat
  • 974657 2022-002
    Significant Deficiency Repeat
  • 974658 2022-002
    Significant Deficiency Repeat
  • 974659 2022-002
    Significant Deficiency Repeat
  • 974660 2022-002
    Significant Deficiency Repeat
  • 974661 2022-002
    Significant Deficiency Repeat
  • 974662 2022-002
    Significant Deficiency Repeat
  • 974663 2022-002
    Significant Deficiency Repeat
  • 974664 2022-003
    Material Weakness
  • 974665 2022-003
    Material Weakness
  • 974666 2022-003
    Material Weakness
  • 974667 2022-003
    Material Weakness
  • 974668 2022-003
    Material Weakness
  • 974669 2022-003
    Material Weakness
  • 974670 2022-003
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
20.507 Federal Transit_formula Grants $1.09M
20.509 Formula Grants for Rural Areas and Tribal Transit Program $828,610
11.307 Economic Adjustment Assistance $823,479
93.053 Nutrition Services Incentive Program $344,258
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $264,359
66.818 Brownfields Assessment and Cleanup Cooperative Agreements $195,829
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $164,206
23.009 Appalachian Local Development District Assistance $136,521
20.505 Metropolitan Transportation Planning and State and Non-Metropolitan Planning and Research $126,222
11.302 Economic Development_support for Planning Organizations $119,379
17.235 Senior Community Service Employment Program $115,114
93.071 Medicare Enrollment Assistance Program $69,063
93.042 Special Programs for the Aging_title Vii, Chapter 2_long Term Care Ombudsman Services for Older Individuals $66,915
93.324 State Health Insurance Assistance Program $48,488
93.048 Special Programs for the Aging_title Iv_and Title Ii_discretionary Projects $37,354
93.791 Money Follows the Person Rebalancing Demonstration $27,835
97.047 Pre-Disaster Mitigation $25,058
93.043 Special Programs for the Aging_title Iii, Part D_disease Prevention and Health Promotion Services $16,453
23.001 Appalachian Regional Development (see Individual Appalachian Programs) $9,257
93.052 National Family Caregiver Support, Title Iii, Part E $4,651
93.747 Elder Abuse Prevention Interventions Program $3,291
93.041 Special Programs for the Aging_title Vii, Chapter 3_programs for Prevention of Elder Abuse, Neglect, and Exploitation $835