Finding Text
Award/Pass-Through Entity Identifying Numbers: HCS-21-37-2101-018(7), HCS-21-37-2103-018(7), HCS-21-17-2101-018(6), HCS-21-17-2104-018(4) 6, HCS-23-17-2301-018, and Network Agreement
Criteria: Recipients of federal awards must establish verifiable controls over reports that are prepared and submitted.
Condition: For all eight performance reports selected for testing in the Emergency Rental Assistance Program, appropriate documentation was not available to evidence review of the report prior to submission. For the one performance report tested in the Substance Abuse and Mental Health Services Projects of Regional and National Significance program, appropriate documentation was not available to evidence review of the report prior to submission.
Cause: While the Organization has a policy in place that requires the contract compliance manager or controller to review monthly performance reports, proper documentation to support the policy was not available.
Effect or Potential Effect: Reports could be submitted that are inaccurate or incomplete. The Organization does not have the documentation required regarding review/approval of the performance reports.
Questioned Costs: N/A
Context: There were 22 performance reports submitted for the Emergency Rental Assistance Program during the fiscal year; 8 performance reports were tested. There was one performance report submitted for the Substance Abuse and Mental Health Services Projects of Regional and National Significance program during the fiscal year. This is a condition identified per review of the Organization’s compliance with specified requirements not using a statistically valid sample.
Recommendation: We recommend that the Organization implement controls to ensure proper documentation of review and approval of performance reports.
Federal Agencies: Department of the Treasury and Department of Health and Human Services
Federal Assistance Listing Numbers: 21.023 and 93.243
Programs: COVID-19 Emergency Rental Assistance Program and Substance Abuse and Mental Health Services Projects of Regional and National Significance Views of Responsible Officials: Management agrees with the finding and recommendations set forth within and has developed a corrective action plan to address the instances of noncompliance identified and lapses in prescribed internal controls.