Finding 670536 (2022-001)

Significant Deficiency
Requirement
AB
Questioned Costs
-
Year
2022
Accepted
2023-03-26

AI Summary

  • Core Issue: An expense of $423 incurred in July 2022 was incorrectly recorded as a June 2022 expense.
  • Impacted Requirements: Costs must be recorded in the correct reporting period to ensure compliance.
  • Recommended Follow-Up: Review and improve policies on cut-off procedures for recording disbursements.

Finding Text

2022-001: General Disbursements Federal Agency: Department of Health and Human Services Federal Program: Head Start Cluster Assistance Listing Number: 93.600 Federal Award Identification Numbers: 05CH100926, 05CH011547, 05CH011114, 05CH011731, 05CH000290 Award Period: Various terms beginning and ending between 6/1/20 and 5/31/23 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Costs are to be recorded into the correct reporting period. Condition: Through testing of allowable costs, determined that an expense for July 2022 was recorded in the general ledger as an expense for the fiscal year ended June 30, 2022. Questioned costs: None Context: For one of 14 disbursements selected for testing, the disbursement was incurred in July 2022; however, it was recorded as an expense of $423 in June 2022. Cause: Unknown Effect: General disbursements that are not monitored for cut-off around the end of a reporting period could result in the expense being recorded into the incorrect reporting period. Repeat finding: This finding is not a repeat finding. Recommendation: We recommend the Agency review its policies and procedures surrounding cut-off around the end of reporting periods to ensure disbursements are recorded in the correct reporting period. Views of Responsible Official: There is no disagreement with this finding.

Categories

Allowable Costs / Cost Principles Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 94094 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.596 Child Care Mandatory and Matching Funds of the Child Care and Development Fund $3.00M
93.667 Social Services Block Grant $1.56M
93.600 Head Start $1.09M
93.556 Promoting Safe and Stable Families $945,439
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $796,002
93.086 Healthy Marriage Promotion and Responsible Fatherhood Grants $596,784
10.558 Child and Adult Care Food Program $530,935
93.575 Child Care and Development Block Grant $431,477
93.623 Basic Center Grant $195,418
93.592 Family Violence Prevention and Services/discretionary $177,580
16.021 Justice Systems Response to Families $173,957
14.231 Emergency Solutions Grant Program $159,164
16.609 Project Safe Neighborhoods $135,859
21.027 Coronavirus State and Local Fiscal Recovery Funds $127,944
16.540 Juvenile Justice and Delinquency Prevention_allocation to States $106,965
93.590 Community-Based Child Abuse Prevention Grants $67,628
16.575 Crime Victim Assistance $47,092
16.590 Grants to Encourage Arrest Policies and Enforcement of Protection Orders Program $44,229
10.555 National School Lunch Program $32,365
10.553 School Breakfast Program $22,971
14.267 Continuum of Care Program $21,495
93.052 National Family Caregiver Support, Title Iii, Part E $19,282
84.425 Education Stabilization Fund $2,749