Finding 841602 (2022-001)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-03-30

AI Summary

  • Core Issue: Inadequate documentation for staff time charged to the Head Start grant led to material noncompliance.
  • Impacted Requirements: Program criteria require proper documentation for shared staff time, which was not consistently met.
  • Recommended Follow-Up: Implement an automated time tracking system to improve documentation and monitoring of staff allocations.

Finding Text

Finding 2022-001 Information on the Federal Program: Assistance Listing Number 93.600?Head Start Program, United States Department of Health and Human Services. Pass-Through Entity: the City and County of Denver and Mile High Early Learning. Award Number: MOEAI-202158316, MOEAI-202158627, 08HP000174-03. Compliance Requirements: Allowable Costs Type of Finding: Material Noncompliance and Significant Deficiency. Criteria: Program requirements state that adequate documentation regarding shared staff time should be maintained for all employees charged to a Head Start grant. Condition: For the year ended June 30, 2022, we reviewed a sample of employees charged to the Head Start grant. In multiple instances the support for the allocation of time charged to the grant was not adequately documented. Cause: The organization uses a manual allocation process for their time that is cumbersome for both the staff and the reviewing supervisor, as a result allocations weren?t consistently documented or reviewed. Effect or Potential Effect: The potential effect could be the misallocation of staff time between grants. Questioned Costs: None. Context: Of the 97 time sheets reviewed for testing, 24 did not have adequate support for the portion of their time charged to the grant. Recommendation: We would recommend the Organization pursue an improved time tracking system that both automates the payroll and time tracking process, and allows for better monitoring of employee review and approval of allocation support. Views of Responsible Official: Management of Sewall Child Development Center concurs with the audit finding. Sewall has been relying on a manual system of time tracking across our programs. Given the complexities of our various blended funding sources, we agree that we need an improved tracking system with better automation of payroll and the time tracking process. This is especially true with the demands on our staff with the coordination of multiple grants. The review of automated systems is in process.

Categories

Subrecipient Monitoring Allowable Costs / Cost Principles Significant Deficiency

Other Findings in this Audit

  • 265160 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $1.12M
10.558 Child and Adult Care Food Program $73,859
93.630 Developmental Disabilities Basic Support and Advocacy Grants $39,749
21.019 Coronavirus Relief Fund $4,490