Finding Text
Federal Agency: U.S. Department of Health and Human Services
Federal Program Name: Substance Abuse Prevention and Treatment Block Grant (SABG)
Assistance Listing Number: 93.959
Federal Award Identification Number and Year: K6103.01 – 2023
Pass-Through Agency: Washington State Health Care Authority
Pass-Through Number(s): K6103.01
Award Period: July 1, 2022 – June 30, 2023
Type of Finding: Significant Deficiency in Internal Control over Compliance – Allowable Costs and Activities; Other Matters
Criteria or specific requirement: Under §200.403, costs must meet specific criteria to be allowable under Federal awards and be adequately documented.
Condition: For one transaction selected for testing, support for the disbursement included a vendor invoice for $252.25, however, the amount paid to the vendor on behalf of the client was $302.25 and there was no support for the $50 additional. The grant is a reimbursement-based grant. As such, there was insufficient support for $50 of federal expenditures.
Questioned costs: None.
Context: Of the nine general disbursements tested for period of performance, one was noted in which the total amount expended was $302.25, however, the supporting invoice was for $252.25, resulting in $50 that was unsupported.
Cause: After paying the supported invoice, the client would have had $50 left of eligible grant funds after the bill payment. Program management added the remaining $50 to the expenditure amount to be put towards the client's future power bill.
Effect: Support was not available for $50 of program expenditures charged to the grant.
Repeat finding: Not a repeat finding.
Recommendation: CLA recommends that all expenditures charged to the grant have been incurred and are supported by invoice or other documentation and retained by OBHC.
Views of responsible officials: There is no disagreement with the audit finding.