Finding 625392 (2022-001)

Material Weakness
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-06-19

AI Summary

  • Core Issue: There are significant discrepancies between timesheets and payroll records for both federal and state grants, indicating a material weakness in internal controls over compliance.
  • Impacted Requirements: Internal control procedures require that all timesheets match the payroll register and grant allocations, which was not met in 24 out of 75 tested timesheets.
  • Recommended Follow-Up: Management should ensure that all timesheets are accurately completed and verified against the payroll register before processing payroll and submitting reimbursement requests.

Finding Text

Finding 2022-001: Allowable costs ? material weakness in internal controls over compliance and compliance finding. The Aging Cluster ALN 93.044/93.045 Community Services Block Grant ALN 93.569 The Aging Cluster ? State General Revenue Medical Assistance Program ? State General Revenue Criteria: The Council?s internal control procedures over compliance specify that all employees maintain timesheets and hours and rates per timesheet agree to the payroll register and amount allocated to grant activities. Condition: During allowable costs testing for federal grants, 17 out of 50 timesheets tested did not agree to the number of hours worked on the payroll register and subsequently charged to the grant. During allowable costs testing for state grants, 7 out of 25 timesheets tested did not agree to the number of hours worked on the payroll register and subsequently charged to the grant. Cause: Prior to May 2023, percentage labor distributions were based on grant budgeted allocations in our payroll system for those employees working out of multiple service categories. Additionally, service category descriptions in the payroll system did not match 100% with the GL service category descriptions. Effect: The Council?s reporting of grant time and effort was not fully documented, in accordance with internal control over compliance procedures. Questioned Costs: None Recommendation: Management should ensure all timesheets are completed and agree to the payroll register before payroll is processed and reimbursement requests for the period are initiated. Management?s Response: See corrective action plan

Categories

Allowable Costs / Cost Principles Cash Management Material Weakness Reporting

Other Findings in this Audit

  • 48950 2022-001
    Material Weakness
  • 48951 2022-001
    Material Weakness
  • 48952 2022-001
    Material Weakness
  • 48953 2022-001
    Material Weakness
  • 48954 2022-001
    Material Weakness
  • 625393 2022-001
    Material Weakness
  • 625394 2022-001
    Material Weakness
  • 625395 2022-001
    Material Weakness
  • 625396 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $4.64M
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $2.91M
93.052 National Family Caregiver Support, Title Iii, Part E $1.10M
93.569 Community Services Block Grant $969,914
93.778 Medical Assistance Program $341,398
93.332 Cooperative Agreement to Support Navigators in Federally-Facilitated and State Partnership Marketplaces $331,354
93.042 Special Programs for the Aging_title Vii, Chapter 2_long Term Care Ombudsman Services for Older Individuals $320,128
93.734 Empowering Older Adults and Adults with Disabilities Through Chronic Disease Self-Management Education Programs ? Financed by Prevention and Public Health Funds (pphf) $273,604
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $265,550
21.023 Emergency Rental Assistance Program $211,663
93.368 21st Century Cures Act - Precision Medicine Initiative $209,334
20.513 Enhanced Mobility of Seniors and Individuals with Disabilities $160,714
93.788 Opioid Str $117,705
93.324 State Health Insurance Assistance Program $106,423
93.043 Special Programs for the Aging_title Iii, Part D_disease Prevention and Health Promotion Services $82,920
93.071 Medicare Enrollment Assistance Program $41,351
97.024 Emergency Food and Shelter National Board Program $38,111
93.767 Children's Health Insurance Program $30,488
93.053 Nutrition Services Incentive Program $30,166
93.558 Temporary Assistance for Needy Families $5,389