Finding 51260 (2022-001)

Significant Deficiency
Requirement
M
Questioned Costs
-
Year
2022
Accepted
2023-03-29
Audit: 42830
Organization: Edadvance (CT)

AI Summary

  • Core Issue: Lack of documentation verifying that subrecipients were not suspended or debarred before transactions.
  • Impacted Requirements: Compliance with 2 CFR section 180.995 and 180.300 regarding verification of eligibility for covered transactions.
  • Recommended Follow-Up: Implement stronger monitoring controls and documentation policies to ensure verification is properly recorded before engaging with subrecipients.

Finding Text

2022 ? 001 Federal Agency: Department of Health and Human Services Federal Program Name: Maternal, Infant, and Early Childhood Home Visiting Grant Program Listing Number: 93.870 Federal Award Identification Number and Year: EVVMPGHM8QB3 Pass-Through Agency: Connecticut Office of Early Childhood Pass-Through Number: 12060-OEC64860-22683 Award Period: 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: When a nonfederal entity enters into a covered transaction with an entity at a lower tier, the nonfederal entity must verify that the entity, as defined in 2 CFR section 180.995 and agency adopting regulations, is not suspended or debarred or otherwise excluded from participating in the transaction. This verification may be accomplished by (1) checking the System for Award Management (SAM) Exclusions maintained by the General Services Administration (GSA) and available at SAM.gov Home, (2) collecting a certification from the entity, or (3) adding a clause or condition to the covered transaction with that entity (2 CFR section 180.300). Condition: There was no documentation maintained to show that verification was performed before EdAdvance entered into a transaction with subrecipients. Questioned costs: None Context: We reviewed 2 out of the 4 subrecipients of the grant. Per discussion with management, they verbally confirmed with subrecipients that they are not suspended or debarred and subsequently confirmed that they are not listed under the Excluded Parties List System. However, there was no documentation showing that the verification was performed before EdAdvance entered into a transaction with subrecipients. Cause: Improper monitoring controls of review procedures and documentation policies Effect: There is no evidence that the verification was performed before entering into a transaction with subrecipients. Repeat Finding: No

Corrective Action Plan

To Whom it May Concern: EdAdvance respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit period: July 1, 2021 ? June 30, 2022 The findings from the schedule of findings and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS?FEDERAL AWARD PROGRAMS AUDITS Department of Health and Human Services 2022-001 Maternal, Infant, and Early Childhood Home Visiting Grant Program ? 93.870 Recommendation: We recommend that management retain documentation of verification of suspension or debarment review performed over subrecipients. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The Director of Finance in conjunction with Director of Grants & Special Programs will draft a certification that will act as a verification tool to rule out that potential subrecipients have not been suspended or debarred from doing business with the federal government prior to engaging in any legal contract. The document will be presented to Board of Directors for approval, then it will be shared with all EdAdvance Program Directors to make them aware of this requirement when working with subrecipients. Name(s) of the contact person(s) responsible for corrective action: Mia Toimil, Director of Finance Abby Peklo, Director of Grants & Special Programs Planned completion date for corrective action plan: Expected completed date 06/30/2023.

Categories

Procurement, Suspension & Debarment Subrecipient Monitoring Significant Deficiency

Other Findings in this Audit

  • 51261 2022-002
    Significant Deficiency
  • 627702 2022-001
    Significant Deficiency
  • 627703 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $2.75M
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $2.14M
47.076 Education and Human Resources $881,540
10.555 National School Lunch Program $843,696
10.553 School Breakfast Program $130,707
21.019 Coronavirus Relief Fund $113,184
84.048 Career and Technical Education -- Basic Grants to States $103,517
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $86,875
11.469 Congressionally Identified Awards and Projects $86,335
84.002 Adult Education - Basic Grants to States $79,382
93.498 Provider Relief Fund $44,390
84.287 Twenty-First Century Community Learning Centers $38,228
84.365 English Language Acquisition State Grants $38,112
10.560 State Administrative Expenses for Child Nutrition $37,548
10.558 Child and Adult Care Food Program $26,901
10.559 Summer Food Service Program for Children $25,327
84.196 Education for Homeless Children and Youth $22,654
16.726 Juvenile Mentoring Program $20,385
84.425 Education Stabilization Fund $19,500
84.358 Rural Education $17,710
93.575 Child Care and Development Block Grant $15,659
84.325 Special Education - Personnel Development to Improve Services and Results for Children with Disabilities $13,900
84.181 Special Education-Grants for Infants and Families $8,408
10.649 Pandemic Ebt Administrative Costs $3,684
21.027 Coronavirus State and Local Fiscal Recovery Funds $3,010
84.367 Improving Teacher Quality State Grants $1,846
96.001 Social Security_disability Insurance $240