Finding 40069 (2022-005)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-04-27
Audit: 45011
Organization: Legal Services Alabama, INC (AL)

AI Summary

  • Core Issue: Lack of documentation showing that grant reports were reviewed and approved before submission, leading to a significant deficiency in internal controls.
  • Impacted Requirements: Non-compliance with 2 CFR 200.303, which mandates effective controls over federal award management and report approval.
  • Recommended Follow-Up: Strengthen policies and procedures for preparing and reviewing grant reports to ensure compliance with internal control requirements.

Finding Text

Finding 2022-005 ? Internal Control over Reporting (Significant Deficiency) Information on the Federal Program: US Department of Treasury Emergency Rental Assistance Program Assistance Listing No. 21.023 Criteria: 2 CFR 200.303 establishes controls required for non-federal entities over reporting. Non-federal entities are required to establish and maintain effective controls over federal award management in compliance with federal statutes, regulations, terms and conditions of the grant. This requirement includes reviewing and approving grant reports prior to submission. Condition/Context: During our testing, we selected four reports submitted during the year for various ERA programs. None of these reports had documentation they were reviewed and approved prior to being submitted. Cause: Reports were submitted by email to the awarding agency and the Controller was copied on the submission emails when submitted. However, no documentation was available that the Controller or other appropriate member of management reviewed and approved these reports. Effect: LSA is not in compliance with required controls over reporting. Questioned Costs: None reported Recommendation: We recommend LSA strengthen its policies and procedures surrounding the process of preparing and reviewing grant reports to ensure LSA is in compliance with all internal controls requirements. Views of Responsible Officials: See Management?s View and Corrective Action Plan included at the end of the report.

Categories

Reporting Significant Deficiency Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 40060 2022-002
    Significant Deficiency Repeat
  • 40061 2022-002
    Significant Deficiency Repeat
  • 40062 2022-002
    Significant Deficiency Repeat
  • 40063 2022-002
    Significant Deficiency Repeat
  • 40064 2022-003
    Significant Deficiency
  • 40065 2022-004
    Significant Deficiency
  • 40066 2022-005
    Significant Deficiency
  • 40067 2022-003
    Significant Deficiency
  • 40068 2022-004
    Significant Deficiency
  • 40070 2022-003
    Significant Deficiency
  • 40071 2022-004
    Significant Deficiency
  • 40072 2022-005
    Significant Deficiency
  • 40073 2022-003
    Significant Deficiency
  • 40074 2022-004
    Significant Deficiency
  • 40075 2022-005
    Significant Deficiency
  • 40076 2022-003
    Significant Deficiency
  • 40077 2022-003
    Significant Deficiency
  • 616502 2022-002
    Significant Deficiency Repeat
  • 616503 2022-002
    Significant Deficiency Repeat
  • 616504 2022-002
    Significant Deficiency Repeat
  • 616505 2022-002
    Significant Deficiency Repeat
  • 616506 2022-003
    Significant Deficiency
  • 616507 2022-004
    Significant Deficiency
  • 616508 2022-005
    Significant Deficiency
  • 616509 2022-003
    Significant Deficiency
  • 616510 2022-004
    Significant Deficiency
  • 616511 2022-005
    Significant Deficiency
  • 616512 2022-003
    Significant Deficiency
  • 616513 2022-004
    Significant Deficiency
  • 616514 2022-005
    Significant Deficiency
  • 616515 2022-003
    Significant Deficiency
  • 616516 2022-004
    Significant Deficiency
  • 616517 2022-005
    Significant Deficiency
  • 616518 2022-003
    Significant Deficiency
  • 616519 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
09.U01 Legal Services Corporation Basic Field Grant $7.38M
14.231 Emergency Solutions Grant Program $665,923
93.747 Elder Abuse Prevention Interventions Program $268,973
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $246,218
21.023 Emergency Rental Assistance Program $180,029
93.048 Special Programs for the Aging_title Iv_and Title Ii_discretionary Projects $126,244
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $125,053
21.008 Low Income Taxpayer Clinics $100,000
16.575 Crime Victim Assistance $88,844
09.U02 Lsc Disaster Project Grant $75,144
16.589 Rural Domestic Violence, Dating Violence, Sexual Assault, and Stalking Assistance Program $31,169
09.U03 Lsc Disaster Grant Incurred Cost $25,216
14.169 Housing Counseling Assistance Program $22,104
21.027 Coronavirus State and Local Fiscal Recovery Funds $7,478
21.026 Homeowner Assistance Fund $6,425
09.U04 Technology Innovation Grant $4,275
14.218 Community Development Block Grants/entitlement Grants $141
64.033 Va Supportive Services for Veteran Families Program $100