Finding Text
2022-003 Department of Health and Human Services Federal Assistance Listing #93.498 COVID-19 Provider Relief Fund and American Rescue Plan Applicable Federal Award Number and Year ? Period 2 TIN #420953968 Preparation of Consolidated Schedule of Expenditures of Federal Awards Material Weakness in Internal Control Over Compliance ? Other Criteria ? Proper controls over financial reporting include the ability to prepare the Consolidated Schedule of Expenditures of Federal Awards (Schedule) and accompanying notes to the Schedule. Condition ? The Organization does not have an internal control system designed to provide for the preparation of the Schedule. As auditors, we were requested to assist with the preparation of the Schedule. Cause ? Auditor assistance with preparation of the Schedule is not unusual as the Schedule has unique and specialized requirements and preparation is only required when the Organization meets a specified threshold of federal expenditures. Effect ? There is a reasonable possibility that the Organization would not be able to draft the Schedule that is correct without the assistance of the auditors. Questioned Costs ? None reported. Context ? Sampling was not used. Repeat Finding from Prior Years ? No Recommendation ? While we recognize that this condition is not unusual for an organization with limited staffing, we recommend management be aware of the financial reporting requirements relating to the Organization?s Schedule of Expenditures of Federal Awards and the internal controls that impact financial reporting. Views of Responsible Officials ? Management agrees with the finding.