Finding 611011 (2022-001)

Significant Deficiency Repeat Finding
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-03-14
Audit: 32532
Organization: Catholic Charities, Inc. (DE)

AI Summary

  • Core Issue: Two billing errors were found in May 2022 claims due to incorrect meal counts submitted for reimbursement.
  • Impacted Requirements: Accurate meal counts are essential for determining cash reimbursement based on meal type and category.
  • Recommended Follow-Up: Charities should enhance controls and procedures to ensure accurate claims are submitted moving forward.

Finding Text

Condition: We tested 19 provider files and identified two billing errors within the May 2022 claim submissions. For each instance of error, the number of meals served was incorrectly determined and submitted for reimbursement. Criteria: Federal assistance to institutions takes the form of cash reimbursement for meals served. An institution's entitlement to cash reimbursement is computed by multiplying the number of meals served, by category and type, by prescribed per-unit payment rates called ?reimbursement rates.? ?Type? refers to the kind of meal service for which the institution seeks reimbursement (breakfast, lunch, snack, or supper). For meals served in centers, ?category? refers to the economic need of the child or adult to whom a meal is served; such meals are categorized as paid, reduced, or free. Meals served in day care homes are categorized by the tiering structure (Tier I or II). Under this formula, an institution's entitlement to funding is a function of the categories and types of services provided. An institution establishes its entitlement to reimbursement payments by submitting claims for reimbursement. Cause: Human error in summarizing the meals served by providers. Effect: The May 2022 claims contained immaterial billing errors. Recommendation: We suggest that Charities review its controls and implement procedures to ensure accurate claims are being submitted for reimbursement.

Categories

Cash Management

Other Findings in this Audit

  • 34569 2022-001
    Significant Deficiency Repeat
  • 34570 2022-002
    Significant Deficiency
  • 34571 2022-003
    Significant Deficiency
  • 611012 2022-002
    Significant Deficiency
  • 611013 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.568 Low-Income Home Energy Assistance Program $8.41M
10.558 Child and Adult Care Food Program $2.28M
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $340,021
93.550 Transitional Living for Homeless Youth $187,500
14.231 Emergency Solutions Grants Program $76,254
93.676 Unaccompanied Alien Children Program $72,546
93.665 Emergency Grants to Address Mental and Substance Use Disorders During Covid-19 $60,695
14.228 Community Development Block Grants/state's Program $60,557
93.788 Opiod Str $45,000
97.024 Emergency Food and Shelter National Board Program $33,350
14.218 Community Development Block Grants/entitlement Grants $32,009
21.023 Emergency Rental Assistance Program $18,000