Finding 498157 (2023-001)

Significant Deficiency

Requirement

Questioned Costs

Year

2023

Accepted

2024-09-25

Audit: 320888

Organization: Rock Valley Community Programs (WI)

Auditor: Wipfli LLP

AI Summary

Core Issue: There is a significant deficiency in internal controls over payroll reconciliations for the Veteran Affairs Homeless Providers Grant.
Impacted Requirements: Compliance with federal grant regulations is at risk, affecting multiple grant periods from the Department of Veteran Affairs.
Recommended Follow-Up: Implement stronger internal controls and conduct regular audits to ensure compliance with grant requirements.

Finding Text

Internal Controls Over Payroll Reconcilliations. Audit finding 2023-001 also represent a significant deficiency in internal control over compliance for Rock Valley Community Program, Inc.'s Veteran Affairs Homeless Providers Grant and per Diem Program. Federal Grantor/Pass-Through Grantor Grant Number Grant Period Department of Veteran Affairs RVCP843-2431-607-CG-22 10/01/2021 - 09/30/2024 Department of Veteran Affairs RVCP843-1430-607-PD-21 10/01/2022 - 09/30/2023 Department of Veteran Affairs RVCP843-4192-607-PD-24 10/01/2023 - 09/30/2024

Corrective Action Plan

Immediate- (Instantaneous) • The Human Resources Manager at RVCP completed a record review and file audit of all payroll functions twice within 30 days (before the signature date of this document), once by the HRM. • A check and balance with updated Policy and Procedure for onboarding was completed, socialized, and disseminated • The Executive Director must review a sampling of 4 employees at the end of every 2"' pay period cycle and test for accuracy. Short Term- (30 days or less) • The payroll servicer will be changed, and the new system will be identified in 30 days. long Term- (30 plus days) • Final HRIS replacement system contracted to replace • Roll out new HRIS system to include payroll and checklist software • Create and test controls to gauge the accuracy of policy and procedures and new HRIS

Other Findings in this Audit

1074599 2023-001

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
64.024	Va Homeless Providers Grant and Per Diem Program	$1.00M
93.243	Substance Abuse and Mental Health Services_projects of Regional and National Significance	$187,789