Finding 41512 (2022-001)

Finding 2022-001: Timely Processing of Participant Applications: Department of Health and Human Services - AL #93.568 Low Income Home Energy Assistance Program Indiana Housing and 10/01/22-09/30/23 #LI-023-024 Community Development Authority Low Income Home Energy Assistance Program Indiana Housing and 10/01/21-09/30/22 #LI-022-024 Community Development Authority Questioned Costs: None Condition: During our audit, Wipfli tested 38 participant files and their associated disbursements related to these grant awards. Of the 38 disbursements, nine of the applications were not processed within 55 days of the date of crisis or application date for program year 21-22 or 75 days of the date of crisis or application date for program year 22-23. All transactions tested were for services provided that are allowable to be charged to the grant award. This is a repeat of finding 2021-001. Criteria: A requirement of the LIHEAP manual from the State of Indiana the Indiana Housing and Community Development Authority indicates that the maximum period to process mail-in applications to determine and notify the applicant of eligibility must be no later than 55 or 75 calendar days after the application is complete with all required documentation. Cause: WICAA lacked adequate oversight to ensure all participant applications were processed consistently within 55 or 75 days. Effect: As a result of the internal control and compliance matter identified, a material weakness and an instance of non-compliance exists in WICAA?s compliance of the major program. Recommendation: We recommend that WICAA review their procedures for monitoring the process of participant applications so that participant applications can be processed timely within 55 or 75 days of the application date when all required documentation is obtained. View of responsible officials: Management agrees with the assessment and has committed to a corrective action plan.