Finding #2022-01 - The Organization requested three drawdowns during the fiscal year for $1,500,000. The expenditure reports provided only indicates $1,381,913.63 as spent. Excess drawdowns in the amount of $118,086.37 were reported as deferred revenue on the financial statements. Recommendation - The Organization develops policies, procedures and controls to ensure compliance with SAMHSA financial management requirements referenced in Title 45 in the Electronic Code of Federal Regulations (E-CFR), Part 74.21 and Part 92.20. Method of Implementation - Once developed and approved, policies related to compliance with SAMHSA Grantee Financial Management requirements will be distributed to staff. A supervisory meeting will be held with NECHN Financial departmental staff to review the policies and ensure understanding. Person Responsible for - Finance Director Michael Cortese and CFO Betty Hogan. Completion Date - April 25, 2023.