Finding Text
U.S. Department of Health and Human Services Federal Financial Assistance Listing/CFDA Number 93.829 Section 223 Demonstration Programs to Improve Community Mental Health Services - 6H79SM083306-01M002 Cash Management Significant Deficiency in Internal Control over Compliance Criteria The OMB Compliance Supplement requires that non-federal entities receiving federal awards establish and maintain internal controls designed to reasonably ensure compliance with federal laws, regulations, and program compliance requirements. Condition During our testing of reimbursement requests, there was no documentation available for the review and approval procedures performed. Cause The Organization did not have an adequate internal control policy to require the documentation of the reimbursement requests? review and approval. Effect Inaccurate reimbursement requests may be prepared, which could lead to amounts received in error. Questioned Costs None. Context/Sampling There was a total of seven reimbursement requests prepared for the year ended June 30, 2022. Of these, three were selected for testing. Two of the three did not contain documentation of the request being reviewed or approved. Repeat Finding from Yes. Prior Year(s) Recommendation We recommend the Organization enhance internal control policies to require documentation of the review and approval procedures performed in the preparation and review of reimbursement requests. Views of Responsible Management agrees with the finding. Individuals