Finding Text
Program: 10.561 – United States Department of Agriculture: Passed-through Texas Health and Human Services Commission: SNAP Cluster: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program. Criteria: Healthier Texas’ Federal program expenditures must meet the requirements of the Uniform Guidance and be adequately documented. In addition, Healthier Texas’ Federal program expenditures must meet any requirements from passed through state agencies. The Texas Comptroller Travel Site states under the Prohibited Reimbursements, Gratuities section that tips or gratuities paid in conjunction with meal expenses are generally not reimbursable. Condition: Based upon inspection of Healthier Texas’ paid invoices there were costs that were determined to be unallowable. Cause: There is a significant deficiency in internal controls over the compliance for the allowable costs/cost principles type of compliance. Healthier Texas has not properly considered, designed, implemented, maintained and monitored a system of internal controls that reasonably assures the program is in compliance with the allowable costs/cost principles requirements. Effect or Potential Effect: Healthier Texas is not in compliance with the allowable costs/cost principles requirements. Questioned Costs: Amount is below the threshold of $25,000. Context: The following costs were determined to be unallowable or not reasonable or necessary in the proper and efficient performance of the Federal program: Gratuity charges Overpayment of one invoice Recommendation: We recommend Healthier Texas design and implement internal control procedures that will ensure compliance with the Uniform Guidance and the compliance supplement. Repeat Finding: No Views of Responsible Officials: Management agrees with the audit finding and a response is included in the corrective action plan