Finding 958735 (2022-001)

Material Weakness
Requirement
E
Questioned Costs
$1
Year
2022
Accepted
2024-03-20
Audit: 296001
Organization: Employment Connection (MO)
Auditor: Uhy LLP

AI Summary

  • Core Issue: The Organization failed to evaluate client eligibility and maintain necessary documentation for utility assistance.
  • Impacted Requirements: Eligibility must be assessed by the Organization, and sufficient documentation must be kept, including service plans.
  • Recommended Follow-Up: The Organization should implement a process to assess eligibility before providing services and ensure proper documentation is maintained.

Finding Text

Criteria: Eligibility must be evaluated by the Organization. Documentation must be maintained by the Organization, including evidence of a service plan. Condition: Sixty client files were selected for test of eligibility. Eleven files were not reviewed as agency that referred the client ultimately denied the client’s application. Three files were not reviewed as referring agency had no record of the application. Of the forty-six files reviewed: Twenty-one did not have sufficient evidence that the client was eligible for services. Cause: The subrecipient relied upon a referring agency to determine eligibility for the program. The Organization provided utility assistance without reviewing or obtaining eligibility documentation. Effect: Utility assistance may have been provided to clients that are not eligible. Questioned Costs: Known questioned costs include all participant’s selected with insufficient or no supporting documentation of eligibility. The total amount of these errors is $13,566.46 of the $18,722.01 reviewed. Likely questioned costs are estimated based on known error rate applied to all participants referred to Employment Connection by another agency not subject to testing. The total likely questioned costs based on this analysis would be $138,805. Recommendation: The Organization should assess the eligibility of the applicant prior to providing services. Documentation to support this review should be maintained.

Categories

Questioned Costs Subrecipient Monitoring Eligibility

Other Findings in this Audit

  • 382293 2022-001
    Material Weakness
  • 382294 2022-002
    Significant Deficiency
  • 382295 2022-002
    Significant Deficiency
  • 958736 2022-002
    Significant Deficiency
  • 958737 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
17.259 Wia Youth Activities $239,125
14.267 Continuum of Care Program $199,357
14.231 Emergency Solutions Grant Program $192,288
93.558 Temporary Assistance for Needy Families $140,235
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $139,376
14.231 Homeless Prevention and Repid Re-Housing $41,249
14.889 Community Development Block Grants/entitlement Grants $31,185
14.218 Community Development Block Grants/entitlement Grants $28,544
21.027 Coronavirus State and Local Fiscal Recovery Funds $8,461