Finding Text
Finding 2024-001
Department of Health and Human Services
2024-001 – The Organization should strengthen controls in payroll and other expenses
Noncompliance (Significant Deficiency)
Program: Assistance Listing 93.958 and 93.959 - Block Grant for Community Mental
Health and Prevention and Treatment of Substance Abuse
Conditions: Allegations of falsification of hours worked on a timecard resulting in overpayment
and unauthorized use of a company credit card.
Criteria: In accordance with the Uniform Guidance, allowable costs must be necessary and
reasonable for the performance of the federal award and be allocable thereto under the principles
in 2 CFR Part 200, Subpart E.
Cause: Due to an internal control weakness, the transactions were processed.
Recommendation: In order to prevent future occurrences of the noncompliance, policies should
be developed, and procedures implemented.
Responsible Officials: The acting Executive Director reported incident immediately and
enforced quality improvement program in order to ensure that fraud, waste, and abuse do not
occur.
Known Cost Per Grantor
$22,480