Core Issue: There is a significant deficiency in developing and following financial and personnel policies.
Impacted Requirements: Non-compliance with MDOL and WIOA can lead to funding delays and inaccurate financial reporting.
Recommended Follow-Up: Management should create a financial and personnel policy handbook, including job descriptions and a training program for staff and board members.
Finding Text
2022-001 Significant deficiency ? Other compliance requirements Condition: Failure to develop and adhere to financial and personnel policies Criteria and effect: Failure to follow MDOL policy and WIOA requirements can result delays in funding, incorrect financial reporting and lack of competitive reporting. Cause: Issue was caused by high staff turnover, misunderstanding of program compliance requirements and lack of management oversight. Recommendation: We recommended that management develop a financial policy handbook and personnel policy handbook with complete job descriptions and a training program to properly train and oversee staff and board members to and to follow compliance with program policies and procedures. Management response and corrective action plan: Management agrees and will implement the corrective action plan found on page 20 of this report. Repeat of prior finding ? reported as 2021-004 in prior audit.
Corrective Action Plan
2022-001 Significant Deficiency Name of contact person: Erin Benson, Executive Director Corrective Action: The Organization has been placed on high-risk status by Maine DOL and is working with Maine DOL to develop a financial policy handbook and personnel policy handbook with complete job descriptions and a training program to properly train and oversee staff and board members to and to follow compliance with program policies and procedures. Proposed implementation date: The corrective action plan has been implemented and is being followed at this time.
Categories
Procurement, Suspension & DebarmentReportingSignificant DeficiencyInternal Control / Segregation of Duties