Finding Text
2022-007: Emergency Solutions Grant Program – AL #14.231, Controls over reimbursements and
program monitoring (Material Weakness)
Condition:
The Community Based Services Supervisor is the only person involved with submitting
reimbursement requests and monitoring the budget and expenditures for the program. A separate
review of reimbursement requests is not performed. The accounting department is not involved
with managing the program budgets.
Criteria:
More than one staff person should be involved for accountability and monitoring of the program.
Expenditures used to recognize revenue in accounting should correspond to expenses reimbursed
or identified for federal and state award programs.
Cause:
With turnover in accounting staff during the year, items were not reviewed or monitored for the
program.
Effect:
Errors in reporting or misuse of funding could potentially go undetected due to lack of separation
of functions and proper oversight.
Recommendation:
We recommend implementing internal controls over the reimbursement requests and budget
monitoring process by involving another person prior to submitting the request. Additionally,
spreadsheets used to track grant awards and program expenditures should be reviewed by someone
with an understanding of the program such as the Behavioral Health Director or Assistant Director
or accounting.
Views of Responsible Officials and Planned Corrective Action:
Effective February 2022, all requests for reimbursement under this program are submitted by the
fund manager to the program’s Assistant Director prior to submission to Accounting.
Reimbursement filings are provided to Accounting in a timely manner and a fund reconciliation
spreadsheet will be created to share with the fund manager and Assistant Director on a monthly
basis. Additionally, Accounting receives a copy of the submitted reimbursement requires and will
be including a review of expenses, requests for reimbursement, and reimbursements received as
part of the monthly reconciliation.