Finding 583334 (2022-001)

Significant Deficiency
Requirement
M
Questioned Costs
-
Year
2022
Accepted
2023-12-29
Audit: 8866
Organization: Lakeshore Regional Entity (MI)

AI Summary

  • Core Issue: There is a significant deficiency in internal controls regarding communications with subrecipients.
  • Impacted Requirements: Contracts did not include necessary disclosures as mandated by 2 CFR 200.332.
  • Recommended Follow-Up: Update all subrecipient contracts to ensure compliance with required language.

Finding Text

2022-001 – Communications with Subrecipients Finding Type: Significant Deficiency in internal control over compliance Program: ALN 93.959 – SAPT COVID Supplement ALN 93.959 – Prevention, Women’s Specialty Services, Administration ALN 93.959 – Treatment/AMS Criteria: As required by 2 CFR 200.332, the pass-through entity must communicate specific information to subrecipients, as applicable. Condition: Contracts with subrecipients did not include portions of required disclosures. Cause/Effect: Inadequate internal controls over compliance. Select contracts were not in compliance with 2 CFR 200.332. Questioned Cost: None. Recommendation: We recommend that the Entity update all contracts with subrecipients to include required language. View of Responsible Official: Management is in agreement with this recommendation.

Categories

Subrecipient Monitoring Internal Control / Segregation of Duties Significant Deficiency

Other Findings in this Audit

  • 6889 2022-001
    Significant Deficiency
  • 6890 2022-001
    Significant Deficiency
  • 6891 2022-002
    Significant Deficiency
  • 6892 2022-001
    Significant Deficiency
  • 583331 2022-001
    Significant Deficiency
  • 583332 2022-001
    Significant Deficiency
  • 583333 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.959 Block Grants for Prevention and Treatment of Substance Abuse $2.66M
93.788 Opioid Str $1.49M
93.958 Block Grants for Community Mental Health Services $315,000
93.276 Drug-Free Communities Support Program Grants $153,580