Finding 522363 (2024-001)

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Requirement
L
Questioned Costs
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Year
2024
Accepted
2025-02-07

AI Summary

  • Core Issue: The Organization failed to submit the closeout report for the Next Step Program on time.
  • Impacted Requirements: Monthly invoices must be submitted by the 10th of the month following service, as outlined in the contract.
  • Recommended Follow-Up: Provide training on reporting, strengthen internal controls, and implement a tracking system to ensure timely submissions.

Finding Text

Temporary Assistance for Needy Families (TANF), U.S. Department of Health and Human Services Federal Assistance Listing #93.558, Contract No. 31027 and 30733. Condition: The Organization did not timely submit its closeout report for the Next Step Program. Criteria: Per the Next Steps Statement of Work "monthly invoices shall be submitted by the 10th of the month following the month of service. Cause: The error stems from a lack of training at the program level as well as a lack of a proper tracking mechanism to ensure reporting requirements are met timely. Effect: Failure to timely report financial and performance information may result in a reduction or loss of future funding. Recommendation: Management should provide additional training related to reporting. Additionally, management should review and strengthen their current controls related to internal review over the program to verify that the policies and procedures are adhered to. Lastly, the Organization should develop and train staff on a tracking mechanism to ensure reports are timely submitted as required by the respective funding agencies and grant agreements.

Corrective Action Plan

Management's Response/Planned Corrective Action: Management acknowledges the finding and accepts the recommendation. Management further recognizes the importance of timely reporting of financial information to reduce the Organization's risk of a reduction or loss of future funding. On September 10, 2024, Alexander de Markoff, the Organization's Division Director of Finance, implemented a revised invoicing process with automated reminders and provided training to staff on timely invoice submission. On November 27, 2024, the Division Director of Finance provided additional training to staff on invoice submissions, adjusted internal deadlines and, again, emphasized the importance of this process. The Division Director of Finance will also immediately implement a requirement that staff request written approvals or waivers from grantors for potential late submissions of invoices. The Division Director and Assistant Director of Finance, Hasley Saucedo, will closely monitor compliance with the established procedures and Corrective Action Plan.

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.248 Community Development Block Grants Section 108 Loan Guarantees $2.29M
93.041 Special Programs for the Aging, Title Vii, Chapter 3, Programs for Prevention of Elder Abuse, Neglect, and Exploitation $1.11M
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.00M
17.258 Wioa Adult Program $860,872
93.569 Community Services Block Grant $463,512
93.568 Low-Income Home Energy Assistance $416,016
17.278 Wioa Dislocated Worker Formula Grants $228,995
93.499 Low Income Household Water Assistance Program $197,167
93.558 Temporary Assistance for Needy Families $179,353
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $165,670
17.259 Wioa Youth Activities $159,070
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $130,000
17.502 Occupational Safety and Health Susan Harwood Training Grants $128,528
17.235 Senior Community Service Employment Program $104,276
93.472 Title IV-E Prevention Program $98,326
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $89,375
93.959 Block Grants for Prevention and Treatment of Substance Abuse $78,141
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $41,472
14.267 Continuum of Care Program $35,616
93.658 Foster Care Title IV-E $25,225
17.277 Wioa National Dislocated Worker Grants / Wia National Emergency Grants $20,591
93.556 Marylee Allen Promoting Safe and Stable Families Program $16,135
81.042 Weatherization Assistance for Low-Income Persons $15,027
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $14,173
97.024 Emergency Food and Shelter National Board Program $9,636
14.218 Community Development Block Grants/entitlement Grants $5,793