Finding Text
Finding No. 2022-005: Reporting ? Material Weakness in Internal Control Over Compliance and Compliance; U.S. Department of Health and Human Services, Rare Disorders: Research, Surveillance, Health Promotion, and Education; Assistance Listing Number 93.315 Condition The Association does not have controls in place to ensure that FFATA reporting requirements were met. As a result, the Association did not submit the required data on its first-tier sub- awards. Context We requested a sample of the FFATA reporting for the Association?s major program, but we were not provided with the reports as they had not been completed. There was only one sub- recipient. Our sample of the first-tier sub-award was not a statistically valid sample. Criteria Under 2 CFR Part 170, recipients of grants or cooperative agreements are required to report first-tier sub-awards of $30,000 or more to the Federal Funding Accountability and Transparency Act (FFATA) Sub-award Reporting System (FSRS). Through FSRS, the recipient is responsible for submitting key data elements including sub-awardee name, DUNS number, amount of sub-award, sub-award obligation/action date, date of report submission, sub-award number, project description, and names and compensation of highly compensated officers. Cause The Association?s management stated it was unaware of the FFATA reporting requirements within the FSRS system. Effect The Association was not in compliance with the FFATA reporting requirements. Repeat Finding No Questioned Costs None Recommendation We recommend that management review all active sub-awards for the year ended December 31, 2022, and submit the required data elements within the FSRS system. Furthermore, we recommend that the Association?s management design control procedures to ensure that all reporting requirements are identified and submitted in a timely fashion. Views of Responsible Officials and Planned Corrective Action See Corrective Action Plan.