Finding 638264 (2022-001)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2022-12-18

AI Summary

  • Core Issue: The organization failed to submit required quarterly progress reports on time for the COVID-19 disaster grant.
  • Impacted Requirements: Timely submission of reports as per the grant agreement, which mandates reports within 15 days after each quarter.
  • Recommended Follow-Up: Implement additional review controls and use a Contract Database System for tracking compliance with grant agreements.

Finding Text

Assistance Listing Number, Federal Agency, and Program Name - 97.036, U.S. Department of Homeland Security, COVID-19: Disaster Grants - Public Assistance (Presidentially Declared Disasters) Federal Award Identification Number and Year - N/A, 2022 Pass through Entity - Michigan State Police Finding Type - Material weakness and material noncompliance with laws and regulations Repeat Finding - No Criteria - Per the grant agreement, quarterly progress reports are required to be submitted within 15 days after the end of each calendar quarter to the Michigan State Police. Condition - The quarterly progress reports required under the award were not submitted timely. Questioned Costs - None Identification of How Questioned Costs Were Computed - N/A - Refer to context below for additional information. Context - The Organization did not submit the quarterly progress reports during the period under audit in a timely manner. The first progress report, related to the quarter ended March 31, 2022, was due by April 15, 2022 but was not submitted until October 2022 when all late progress reports were submitted. Cause and Effect - Appropriate review of the grant agreements was not completed to ensure the Organization was in compliance with the reporting requirements. Recommendation - We recommend the Organization implement controls, including additional levels of review, to ensure the Organization remains in compliance with grant agreements. Views of Responsible Officials and Corrective Action Plan - The Organization agrees with this finding. The Organization will begin utilizing its Contract Database System to house all federal grant agreements. This will allow for compliance tracking, monitoring and sign-off documentation by appropriate personnel.

Categories

Subrecipient Monitoring Material Weakness Reporting

Other Findings in this Audit

  • 61822 2022-001
    Material Weakness
  • 61823 2022-001
    Material Weakness
  • 61824 2022-001
    Material Weakness
  • 638265 2022-001
    Material Weakness
  • 638266 2022-001
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.498 Covid-19: Provider Relief Fund $2.80M
97.036 Covid-19: Disaster Grants - Public Assistance (presidentially Declared Disasters) $30,417