Finding 477999 (2023-002)

-
Requirement
M
Questioned Costs
$1
Year
2023
Accepted
2024-07-09

AI Summary

  • Core Issue: The Organization lacked adequate monitoring processes for subrecipients, leading to potential compliance issues with TANF grant requirements.
  • Impacted Requirements: Failure to meet federal compliance for subrecipient monitoring as outlined in 2 CFR sections 200.332(d) through (f).
  • Recommended Follow-Up: Enhance policies and procedures for subrecipient monitoring to effectively identify and prevent erroneous costs.

Finding Text

FINDING 2023-002 Program Information: Temporary Assistance for Needy Families (ALN #93.558) Criteria or Specific Requirement (Including Statutory, Regulatory or Other Citation): Federal Compliance Requirement: M. Subrecipient Monitoring – The pass-through entity must monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, complies with the terms and conditions of the subaward, and achieves performance goals (2 CFR sections 200.332(d) through (f). Condition: The Organization did not have sufficient monitoring processes in place to detect erroneous costs charged to the TANF grant. Cause: Lack of administrative oversight with respect to subrecipient monitoring requirements. Effect or Potential Effect: The Organization was not in compliance with subrecipient monitoring requirements. Questioned Costs: Amount below reportable threshold. Context: For 1 of 22 invoices the Organization did not perform sufficient subrecipient monitoring procedures to detect erroneous costs charged by the subrecipient. Identification as a Repeat Finding: No similar findings noted in the prior year. Recommendation: We recommend that the Organization enhance its policies and procedures over subrecipient monitoring to properly detect and prevent erroneous calculations. Views of Responsible Officials and Planned Corrective Actions: The Organization will properly monitor the subaward disbursed to provide reasonable assurance the subrecipient used the subaward for authorized purposes.

Corrective Action Plan

FINDING 2023-002 Individuals Responsible for Corrective Action Plan: Romero Brown/Alliance staff Corrective Action: The Organization will properly monitor the subaward disbursed to provide reasonable assurance the subrecipient used the subaward for authorized purposes. Anticipated Completion Date: December 31, 2024

Categories

Questioned Costs Subrecipient Monitoring

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
93.558 Temporary Assistance for Needy Families $2.49M