Finding 559995 (2024-006)

Lack of Review and Approval for Monthly Reimbursement Requests Tennessee Department of Health Immunization Cooperative Agreements Assistance Listing No. – 93.268 Criteria: Per Uniform Guidance 2 CFR 200.3303, governments expending federal funds must establish internal controls that ensure accurate financial reporting and compliance with federal statues, regulations, and grant terms. Financial reports, including reimbursement requests, should be subject to review and approval to prevent errors and ensure accountability. Condition: Requests for reimbursements were prepared and submitted by a single program personnel and lacked a level of review and approval by other program personnel prior to submission. Cause: The County lacked established internal controls requiring an independent review and approval process for reimbursement requests before submission. This gap resulted from a reliance on a single individual to manage the reimbursement process without appropriate oversight. Effect: The absence of a formal review and approval process increases the risk of errors or inaccuracies in reimbursement requests. This deficiency could result in non-compliance with grant requirements, overstatement or understatement of reimbursable amounts, and potential loss of federal funds. Recommendation: Implement a formalized process requiring review and approval of all reimbursement requests prior to submission. This process should include clearly documented roles and responsibilities for preparers and approvers to strengthen internal controls and ensure compliance with federal program requirements. View of Responsible Officials: See management’s corrective action plan.