Finding 959041 (2023-002)

Significant Deficiency Repeat Finding
Requirement
CL
Questioned Costs
-
Year
2023
Accepted
2024-03-20
Audit: 296160
Organization: Catholic Charities, Inc. (DE)

AI Summary

  • Core Issue: The heating funds reconciliation report for 2023 was not submitted on time, leading to noncompliance.
  • Impacted Requirements: Compliance with reporting and cash management requirements was not met, affecting the return of unused funds.
  • Recommended Follow-Up: Charities should establish clear procedures to ensure timely completion of reconciliation reports and refunds to the State.

Finding Text

Major Program: 93.568 - Low Income Home Energy Assistance (Grantor - Department of Health and Social Services) Type of Finding: Noncompliance and Significant Deficiency in Internal Control over Compliance Compliance Requirements: Reporting and Cash Management Condition: The 2023 program year heating funds reconciliation report was not completed and submitted to the State of Delaware in a timely manner. Criteria: Charities receives advanced funding from the State of Delaware to make payments to energy vendors on behalf of eligible program participants. In some instances, a participant’s approved benefit amount may exceed the amount of funds actually utilized by the energy vendor. At the end of each heating season, Charities must perform a reconciliation of unused heating benefits, request the return of unutilized benefits from the energy vendors, and refund the State of Delaware by June 15th. Cause: Turnover in program staff and lack of established procedures to reconcile DEAP payment vouchers with the corresponding funding invoices. Effect: Unused heating benefits were not refunded to the State of Delaware by June 15, 2023. Recommendation: We suggest that Charities implement procedures to ensure the final heating funds reconciliation report is completed accurately and any related refund is remitted to the State of Delaware in accordance with the established timeline.

Categories

Cash Management Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 382598 2023-001
    Significant Deficiency Repeat
  • 382599 2023-002
    Significant Deficiency Repeat
  • 959040 2023-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
93.568 Low-Income Home Energy Assistance $23.76M
10.558 Child and Adult Care Food Program $2.56M
14.231 Emergency Solutions Grant Program $295,873
93.550 Transitional Living for Homeless Youth $250,000
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $202,814
93.676 Unaccompanied Alien Children Program $83,755
93.788 Opioid Str $45,000
14.218 Community Development Block Grants/entitlement Grants $41,989
97.024 Emergency Food and Shelter National Board Program $17,165
14.241 Housing Opportunities for Persons with Aids $15,998
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $3,106