Finding 485412 (2023-002)

Significant Deficiency

Requirement

Questioned Costs

Year

2023

Accepted

2024-08-29

Audit: 318155

Organization: Montrose County, Colorado (CO)

Auditor: Cliftonlarsonallen LLP

AI Summary

Core Issue: The County failed to remove 2 out of 6 terminated employees from the County Benefits Management System (CBMS) in a timely manner, violating 2 CFR 200.303.
Impacted Requirements: Lack of internal controls to ensure compliance with federal regulations regarding employee offboarding from CBMS.
Recommended Follow-Up: Implement a control process to ensure timely removal of State accounts for employees who separate or change departments.

Finding Text

Criteria or specific requirement: 2 CFR 200.303 requires that non-federal entities receiving federal awards establish and maintain internal control designed to reasonably ensure compliance with federal statutes, regulations, and the terms and conditions of the federal award. Effective internal controls should include procedures in place to ensure terminated employees are removed from the State system within a reasonable timeframe. Condition: During our testing, we noted 2 employees out of 6 tested, who were not removed from the County Benefits Management System (CBMS) within a reasonable timeframe after employment change at the County. Questioned costs: No known questioned costs. Context: During our testing over terminated users within CBMS, we noted the County did not have a compensating control in place to ensure that employees were removed from CBMS after the change in employment occurred. One employee was separated from the County in 2022, requested by the County to the State to be removed from CBMS in 2022, but was not removed from CBMS until 2023. The County did not check the employee was properly removed from the system until 2023. The second employee was terminated from the County in 2023 and was not requested by the County to the State to be removed from CBMS until 2024. Cause: The County did not have a compensating control to ensure that State accounts are offboarded when employees separate from the County or change departments that do not require them to keep their CBMS access. Effect: Employees who are terminated or no longer require access to the system, who continue to have access after termination could make changes within CBMS that impact the County’s financials and spending. Repeat Finding: This is not a repeat finding. Recommendation: We recommend the County implement a control to ensure the State accounts are offboarded when employees separate employment or move departments that do not require them to keep CBMS access. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Temporary Assistance for Needy Families, Foster Care Title IV-E, Low Income Home Energy Assistance - Assistance Listing No. 93.558, 93.658, 93.568 Condition: During our testing, we noted 2 employees who were not removed from the County Benefits Management System (CBMS) within a reasonable timeframe after employment change at the county. Recommendation: We recommend the county implement a control to ensure the state accounts are offboarded when employees separate employment or move departments that do not require them to keep CBMS access. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The county has added a compensating control to ensure that State accounts are offboarded when employees separate from the County or change departments that do not require them to keep their CBMS access. Name(s) of the contact person(s) responsible for corrective action: Jen Sherwood, Director of Human Services Planned completion date for corrective action plan: June 30, 2024

Other Findings in this Audit

485413 2023-002

Significant Deficiency
485414 2023-002

Significant Deficiency
1061854 2023-002

Significant Deficiency
1061855 2023-002

Significant Deficiency
1061856 2023-002

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
21.032	Local Assistance and Tribal Consistency Fund	$4.70M
15.226	Payments in Lieu of Taxes	$3.02M
20.106	Mtj Terminal Expansion	$1.72M
93.558	Temporary Assistance for Needy Families	$1.10M
93.658	Foster Care - Title IV -E	$1.08M
93.568	Low-Income Home Energy Assistance	$997,457
93.563	Child Care Development Funds - Discretionary Funds	$558,109
93.563	Child Support Enforcement	$556,101
10.561	State Admin Matching Grants for Supplemental Nutrition Program	$505,097
93.778	Medical Assistance Program	$481,152
20.205	Blossom Road Bridge	$422,095
93.778	Medical Assistance Program - Single Entry Point	$365,330
93.659	Adoption Assistance	$309,148
10.557	Women, Infants, and Children Program	$299,669
14.228	Housing Emergency Recovery Act - Community Development Block Grant	$290,000
10.665	Title I - Secure Rural School Funding	$265,790
93.596	Child Care Development Funds	$152,813
20.106	Airport Rescue Program	$134,950
93.667	Social Services Block Grant	$93,300
93.645	Child Welfare Services	$64,315
97.042	Covid-19 - Emergency Management Performance Grant	$61,205
93.994	Maternal & Child Health Services Block Grants to States - Kid's Thrive	$44,719
15.437	Minerals Leasing Act	$40,909
93.090	Guardianship Assistance	$37,170
97.090	Law Enforcement Officer Reimbursement Agreement Program	$36,148
93.069	Public Health Emergency Preparedness	$33,838
16.575	Victims of Crime Act	$29,762
21.027	Covid-19 - Coronavirus State and Local Fiscal Recovery Funds	$27,499
93.967	Cdc's Collaboration with Academia to Strengthen Public Health	$20,081
93.268	Immunization Cooperative Agreements	$17,869
21.027	Cma Retention and Start Up Grants	$9,910
93.674	Chafee Foster Care Independence (iv-E)	$9,608
93.747	Elder Abuse Prevention Interventions	$9,588
90.404	Hava Election Security Grant	$9,043
93.556	Promoting Safe and Stable Families Program	$4,266
10.551	Federal Incentives for Food Stamp Program	$3,945
93.977	Std Prevention and Control Grants	$2,000
93.323	Epidemiology & Laboratory Capacity for Infectious Diseases (elc)	$1,254