10 Program, Fiscal Monitoring, and Audit, 2605(b)(10) - Assurance 10

10.1. How do you ensure good fiscal accounting and tracking of funds? FloridaCommerce has implemented a new LIHEAP Case Management System with extensive tracking capabilities. This new system tracks all award payments submitted to utility providers, when payments are applied, and when a refund is issued upon closed utility accounts. In addition, FloridaCommerce subrecipients and third-party vendors submit weekly invoices. Invoices are reviewed to ensure correct accounting of incurred expenditures. Single audits are required to be submitted to FloridaCommerce by the LIHEAP subrecipients annually and must be reviewed each year for deficiencies or material weaknesses. On-site monitoring of administrative, fiscal, and program operations of each Subrecipient are conducted every two to three years. A sampling of fiscal operations, client files, and vendor payments are reviewed to ensure compliance with federal and state requirements of expenditures of funds. The monitoring tool used by FloridaCommerce is attached as reference to the grant application in the On-Line Data Collection System (OLDC). 10.1a Provide your definitions of the following: Obligation Agreements for goods and services, contracts and subawards made, and similar transactions during a given period that require payment by the non-Federal entity during the same or a future period. Expenditures The creation or incurring of legal obligation to disburse money. Expenditure timeframe All funds received and expended through state trust funds, including LIHEAP, are expended in accordance with the law or trust agreement under which they were received. Specifically, in the case of federal awards, Commerce follows the timeframes in the grant award. Administrative costs Includes costs for general administration and coordination of the LIHEAP program, including contract costs, indirect, and or overhead costs. Audit Process 10.2. Is your LIHEAP program audited annually under the Single Audit Act and OMB Circular A - 133? Yes No 10.2a - if yes, describe your auditor selection process. The Florida Auditor General is the independent auditor designated under Florida law to perform the State’s Single Audit. 10.3. Describe any audit findings of the grant recipient (i.e. State/Tribe/Territory) rising to the level of material weakness or reportable condition cited in the single audits, inspector general reviews, or other government agency reviews from the most recently audited fiscal year. No Findings Finding Type Brief Summary Resolved? Action Taken 1 10.4. Audits of Local Administering Agencies What types of annual audit requirements do you have in place for local administering agencies/district offices? Select all that apply. Local agencies/district offices are required to have an annual audit in compliance with Single Audit Act and OMB Circular A-133 Local agencies/district offices are required to have an annual audit (other than A-133) Local agencies/district offices' A-133 or other independent audits are reviewed by Grant recipient as part of compliance process. Grant recipient conducts fiscal and program monitoring of local agencies/district offices Local agencies and district offices are required to have an annual audit in compliance with Single Audit Act and OMB Circular A-133 Compliance Monitoring 10.5. Describe your monitoring process for compliance at each level below. Check all that apply. Grant recipients have a policy in place for appropriate separation of duties and internal controls. Internal program review Departmental oversight Secondary review of invoices and payments Other program review mechanisms are in place. Describe: Local Administering Agencies/District Offices: On - site evaluation Annual program review Monitoring through central database Desk reviews Client File Testing/Sampling Other program review mechanisms are in place. Describe: 10.6 Explain, or attach a copy of your local agency monitoring schedule and protocol. Current monitoring manual attached as a reference. 10.7. Describe how you select local agencies for monitoring reviews. Attach a risk assessment if subrecipients are utilized. Site Visits: On-site monitoring of all Subrecipients is conducted every two to three years. Priority in scheduling of monitoring visits is given based on the risk assessment conducted prior to issuing the grant. Priority is given if there is recent management or key program staff turnover, unresolved monitoring issues more than one year old, or identified audit findings or concerns that required a management letter. Desk Reviews: Desk reviews are conducted monthly. Financial reports are reviewed monthly for accurate expenditure of funds. Household data is reported and reviewed quarterly. The contract is reviewed annually for fiscal compliance at closeout and again during the negotiation process for program and financial compliance. 10.8. How often is each local agency monitored? Please attach a monitoring schedule if one has been developed. Other 10.9. How many local agencies are currently on corrective action plans? 1 If any of the above questions require further explanation or clarification that could not be made in the fields provided, attach a document with said explanation here.