Finding 42274 (2022-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-12-04

AI Summary

  • Core Issue: The final Federal Financial Report for the Head Start grant was submitted late, violating reporting requirements.
  • Impacted Requirements: Compliance with Section 75.341 of 45 CFR Part 75 and Head Start Program Instruction ACF-PI-HS-04 regarding timely financial reporting.
  • Recommended Follow-Up: Implement additional controls and staff training on reporting deadlines to ensure future compliance.

Finding Text

Finding 2022-001: Reporting Department of Health and Human Services - AL #93.600 Grant Funding Source Grant Period Head Start #07CH011877-01 Department of Health and Human Services 12/01/2020 - 11/30/2021 Questioned costs: None How the questioned costs were computed: N/A Criteria: Section 75.341 Financial Reporting of 45 CFR Part 75 states that financial reports must be submitted with the frequency required by the terms and conditions of the Federal Award. Head Start Program Instruction ACF-PI-HS-04 indicates the due dates for each budget period and what is required to be included in Box 12 ? Remarks on the final Federal Financial Report. Condition: During the audit, Wipfli LLP observed that the final Federal Financial Report (SF-425) for the 07CH011877-01 grant was not filed on time. The final report was due on January 30, 2022 and was not filed until June 10, 2022. In addition, the related SF-429A was submitted on August 17, 2022, when it was due January 30, 2022.. Cause: Southern Iowa Economic Development Association dba Sieda Community Action did not file the required financial reports for the above grants in a timely manner in part due to transitions in the fiscal department. Effect: As a result of the matters noted above, Southern Iowa Economic Development Association dba Sieda Community Action was not in compliance with the reporting standard due to a significant deficiency in internal controls. Recommendation: We recommend Southern Iowa Economic Development Association dba Sieda Community Action implement additional controls over reporting including, but not limited to, training staff on the Head Start reporting deadlines, to be in compliance with reporting requirements and deadlines. View of responsible officials: Management agrees with the assessment and has committed to a corrective action plan.

Corrective Action Plan

Due to fiscal staff shortage, there was no one with access to the PMS system to file the necessary reports in a timely manner. The fiscal officer joined the agency at the beginning of June, received access to the system, and all fil ings were completed and brought current. Moving forward, there will be other fiscal staff trained to complete the reports in the absence of a fiscal officer.

Categories

Reporting

Other Findings in this Audit

  • 618716 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.568 Covid-19 Low-Income Home Energy Assistance $4.31M
93.600 Head Start $2.70M
93.568 Low-Income Home Energy Assistance $2.11M
10.558 Child and Adult Care Food Program $623,832
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $402,930
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $323,598
81.042 Weatherization Assistance for Low-Income Persons $266,992
93.569 Community Services Block Grant $266,402
93.136 Injury Prevention and Control Research and State and Community Based Programs $258,406
93.569 Covid-19 Community Services Block Grant $213,537
93.558 Temporary Assistance for Needy Families $212,382
93.959 Block Grants for Prevention and Treatment of Substance Abuse $182,833
93.600 Covid-19 Head Start $102,930
14.239 Home Investment Partnerships Program $22,349
93.870 Covid-19 Maternal, Infant and Early Childhood Home Visiting Grant $7,479