Finding 547613 (2024-001)

Significant Deficiency

Requirement

Questioned Costs

Year

2024

Accepted

2025-03-31

Audit: 351782

Organization: Tasc of Northwest Ohio (OH)

Auditor: Cliftonlarsonallen LLP

AI Summary

Core Issue: There is a significant deficiency in internal controls regarding payroll costs charged to the grant.
Impacted Requirements: Compliance with Uniform Grant Guidance (2 CFR Part 200) for time/effort documentation is not being met.
Recommended Follow-Up: Establish a strategy to ensure proper time and effort documentation for payroll costs charged to grants.

Finding Text

Federal Agency: Department of Health and Human Services Federal Program Name: Block Grant for Prevention & Treatment of Substance Abuse Assistance Listing Number: 93.959 Federal Award Identification Number and Year: Pass-Through Agency: Lucas County Mental Health Department Pass-Through Number(s): 2400043 Award Period: July 1, 2023 to June 30, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Uniform Grant Guidance (2 CFR Part 200) requires that payroll costs charged to grants is based off of time/effort documented. Condition: The Organization did not perform and document backward-looking reconciliations of actual payroll costs charged for certain salaried employees. Context: Of the 16 payroll transactions tested, a total of 2 did not have controls in place over time and effort reporting. Cause: Primarily due to employee turnover. Effect: Time may be inappropriately charged to a grant or not recorded against a grant. Repeat Finding: No Recommendation: Implement strategy of using time and effort documentation in determining payroll costs charged to grants. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

Department of Health and Human Services TASC of Northwest Ohio respectfully submits the following corrective action plan for the year ended June 30, 2024. Audit period: July 1, 2023 to June 30, 2024 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—FINANCIAL STATEMENT AUDIT None FINDINGS—FEDERAL AWARD PROGRAMS AUDITS SIGNIFICANT DEFICIENCY 2024-001 Improper controls over allocation of salaried employees time and effort. Recommendation: Implement strategy of using time and effort documentation in determining payroll costs charged to grants Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: TASC of Northwest Ohio will implement a policy that includes a lookback and reconciliation to time and effort recorded by salaried employees to ensure that time is accurately charged to grants. Name(s) of the contact person(s) responsible for corrective action: Jason Pollick, Executive Director Planned completion date for corrective action plan: January 31, 2025 If the Department of Health and Human Services has questions regarding this plan, please call Sonya Sparks at 419-242-9955.

Other Findings in this Audit

1124055 2024-001

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
93.959	Block Grants for Prevention and Treatment of Substance Abuse	$559,044
16.812	Second Chance Act Reentry Initiative	$206,787
14.267	Continuum of Care Program	$100,304