Finding Text
U.S. Department of Health and Human Services
Passed through Iowa Department of Public Health
ALNs 93.994, 93.778, 93.575, 93.767 and 93.991
Finding: The Organization did not accurately report certain expenditures of federal awards under the
correct assistant listing numbers (ALNs), and did not have sufficient internal controls over financial
reporting to ensure the SEFA is properly presented.
Criteria: The Organization must prepare a SEFA for the period covered by the Organization’s financial
statements, which must include the total Federal awards expended in accordance with requirements
in the Uniform Guidance. This requires presentation of a schedule of federal expenditures of federal
awards, appropriately identifying required elements as defined in the Uniform Guidance. This includes
reporting the awards under the appropriate assistance listing number (ALN).
Condition and context: The accompanying schedule of expenditures of federal awards was restated
to correct the expenditures previously reported for ALNs 93.994, 93.778, 93.575, 93.767 and 93.991.
Effect: Improper reporting of federal expenditures could impact future funding from granting agencies.
Cause: Management’s preparation and review of the SEFA did not timely identify that a contract
addendum and related information from the pass-through entity was necessary to properly allocate
expenditures of federal awards under certain contracts with Iowa Department of Public Health (IDPH),
which has now been renamed the Department of Health and Human Services by passage of Senate
File 514 by the General Assembly of the State of Iowa, among various ALNs.
Questioned costs: None.
Recommendation: We recommend that the Chief Financial Officer and Finance and Accounting
Director perform a detailed review the SEFA, including a review of ALNs used and contract
addendums received from or posted by the pass-through agencies.