Finding 610169 (2022-002)

Material Weakness Repeat Finding
Requirement
M
Questioned Costs
-
Year
2022
Accepted
2023-10-01

AI Summary

  • Core Issue: The Organization failed to obtain and review necessary documentation for subrecipient invoices, violating monitoring requirements.
  • Impacted Requirements: Compliance with federal statutes and subaward terms regarding subrecipient monitoring is not being met.
  • Recommended Follow-Up: Improve internal controls and procedures to ensure all subrecipient invoices are thoroughly reviewed.

Finding Text

Criteria or Specific Requirement: M. Subrecipient Monitoring - The Subgrantee shall ensure its monitoring methods provide reasonable assurance that the subrecipient used the subaward for authorized purposes in compliance with federal statutes, regulations, and the terms and conditions of the subaward. Condition: Supporting documentation for certain subrecipient invoices was not obtained and reviewed by the Organization. Cause: Lack of internal control and administrative oversight. Effect or Potential Effect: The Organization was not in compliance with subrecipient monitoring requirements. Questioned Costs: None. Context: For 5 of 5 subrecipient invoices selected for testing, the Organization did not obtain or review all required source documentation from subaward recipients. Identification as a Repeat Finding: 2021-001 Recommendation: We recommend the Organization enhance its procedures and internal controls over subrecipient monitoring to ensure local club invoices are properly reviewed.

Categories

Subrecipient Monitoring Internal Control / Segregation of Duties

Other Findings in this Audit

  • 33726 2022-002
    Material Weakness Repeat
  • 33727 2022-002
    Material Weakness Repeat
  • 610168 2022-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.575 Child Care and Development Block Grant $1.33M