Finding 948428 (2022-004)

Material Weakness
Requirement
B
Questioned Costs
$1
Year
2022
Accepted
2024-03-03

AI Summary

  • Core Issue: The Organization lacks an effective internal control system for managing federal awards, violating OMB Uniform Guidance.
  • Impacted Requirements: Failure to comply with federal statutes and regulations increases the risk of unallowable costs being charged to grants.
  • Recommended Follow-Up: Staff should receive training on OMB guidelines and develop a robust internal control system for compliance.

Finding Text

ALN 93.958 Block Grants for Community Mental Health Services Pass-through Entity Identification Number GRK 213195 U.S. Department of Health and Human Services Minnesota Department of Human Services Finding 2022-004 Allowable Costs/Costs Principles Material Weakness Criteria: OMB’s Uniform Guidance requires nonfederal entities to establish and maintain effective internal control over federal awards that provides reasonable assurance that the awards are being managed in compliance with federal statutes, regulations, and the terms and conditions of the federal award, and permit the preparation of reliable financial statements and Federal Reports. Condition: The Organization did not design, document, and implement a system of internal control over compliance that meets the requirements of OMB Uniform Guidance. Cause: Organization’s staff did not receive training on OMB Uniform Guidance guidelines specific to internal control over compliance. Effect or Potential Effect: There is no system in place that would prevent an unallowable cost from being charged to a federal grant. Questioned Costs: Unknown Repeat Finding: N/A Recommendation: The Organization’s staff should obtain additional training on Uniform Guidance and federal grant management and create a system of internal control over compliance. Views of Responsible Officials: African American Child Wellness Institute, Inc. is in agreement with the audit finding.

Categories

Questioned Costs Allowable Costs / Cost Principles Subrecipient Monitoring

Other Findings in this Audit

  • 371972 2022-001
    Material Weakness
  • 371973 2022-001
    Material Weakness
  • 371974 2022-001
    Material Weakness
  • 371975 2022-001
    Material Weakness
  • 371976 2022-002
    Material Weakness
  • 371977 2022-002
    Material Weakness
  • 371978 2022-002
    Material Weakness
  • 371979 2022-002
    Material Weakness
  • 371980 2022-003
    Material Weakness
  • 371981 2022-003
    Material Weakness
  • 371982 2022-003
    Material Weakness
  • 371983 2022-003
    Material Weakness
  • 371984 2022-004
    Material Weakness
  • 371985 2022-004
    Material Weakness
  • 371986 2022-004
    Material Weakness
  • 371987 2022-004
    Material Weakness
  • 948414 2022-001
    Material Weakness
  • 948415 2022-001
    Material Weakness
  • 948416 2022-001
    Material Weakness
  • 948417 2022-001
    Material Weakness
  • 948418 2022-002
    Material Weakness
  • 948419 2022-002
    Material Weakness
  • 948420 2022-002
    Material Weakness
  • 948421 2022-002
    Material Weakness
  • 948422 2022-003
    Material Weakness
  • 948423 2022-003
    Material Weakness
  • 948424 2022-003
    Material Weakness
  • 948425 2022-003
    Material Weakness
  • 948426 2022-004
    Material Weakness
  • 948427 2022-004
    Material Weakness
  • 948429 2022-004
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.958 Block Grants for Community Mental Health Services $196,813
93.959 Block Grants for Prevention and Treatment of Substance Abuse $180,674