Finding Text
Finding 2023–002
Assistance Listing Number(s): 93.959
Name of Federal Program or Cluster: Block Grants for Prevention and Treatment of Substance Abuse
Name of Federal Agency: Department of Health and Human Services
Name of Pass-Through Entities: Wisconsin Department of Health Services and Dane County Department
of Human Services
Criteria or Specific Requirement: Review and approval of all costs by a person with appropriate knowledge and authority is a requirement for ensuring costs are allowable.
Condition and Context: Review and approval was not routinely documented in the fiscal year ending June
30, 2023. 8 of the 60 disbursements selected for testing were missing documentation of review and
approval. 6 of the 8 were before January 1, 2023, when improvements were noted to be implemented.
Cause: Routines and habits lapsed during the changes in operations, staffing and management.
Effect or Potential Effect: Undocumented control procedures cannot be confirmed to have been performed.
Repeat Finding: Yes
Recommendation: ARC should implement procedures for documenting review and approval for all time
sheets for all employees. Due to the late timing of the 6/30/22 and 6/30/23 audits, we noted evidence of
Management’s implementation of the correction in the year ending June 30, 2023.
Views of Responsible Officials: We concur with the recommendation, and a formalized process was
implemented effective January 1, 2023. ARC implemented an electronic time record system that will
require, track, and document performance of review and approval of employee's time and is monitored
independently by the CFO.