Finding Text
Financial Reporting
Head Start ALN# 93.600
US Department of Health & Human Services
Federal Grant/Contract Number: 10CH011215-02; 10CH011215-03; 10HE000901-01
Grant period – 2021 & 2022
Criteria – 2 CFR section 200.303 requires that nonfederal entities receiving federal awards establish and maintain internal control over the federal awards that provides reasonable assurance that the nonfederal entity is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards.
2 CFR section 200.302(b))3) requires that nonfederal entities keep records that include info: pertaining to Federal awards, authorizations, financial obligations, unobligated balances, assets, expenditures, income and interest and be supported by source documentation
Condition – The Organization did not maintain proper documentation in support of financial reporting requirements.
Cause – Supporting records used to populate the required financial reporting were not retained by the Agency.
Effect – The agency could submit incorrect information.
Questioned Costs – Not applicable.
Recommendation – Documentation should be prepared, reviewed, and retained to support the required reporting. The documentation should clearly document who prepared the information, who reviewed the information, and that the reviewer considered whether the information was complete and accurate.
Management’s Response – Management has reviewed and accepted the finding. See “Corrective Action Plan”.