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

10.1. How do you ensure good fiscal accounting and tracking of funds? The Contractor must adhere to all applicable state and federal guidelines, laws, regulations, Office of Management and Budget (OMB) 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. CAAs will be monitored by state personnel on a regular basis to ensure regulation compliance. On-site visits and/or remote reviews of selected CAAs and their outreach offices will be conducted throughout the program year. Monthly reporting requirements will help provide information necessary to determine whether or not CAAs are in compliance with program and fiscal regulations. The state will prepare/obtain financial and compliance audits of the Energy Assistance Program annually pursuant to the Single Audit Act of 1984. The audits will be conducted in accordance with the Comptroller General’s standards for audit of governmental organizations and programs, by an organization or person independent of agencies administering LIHEAP activities. The audits will be made public on a timely basis. The Auditor of State will submit the audits to the legislature and Department of Health and Human Services within 30 days after completion. 10.1a Provide your definitions of the following: Obligation The State of Iowa does not have a uniform definition for the term “obligation”. However, the State is bound by the definition of obligation, as per OMB Circular No. A-11(2018) Section 20 – Terms and Concepts, which states, “Obligation means a binding agreement that will result in outlays, immediately or in the future. Budgetary resources must be available before obligations can be incurred legally. Expenditures Expenditures are considered actual cash payments made to fulfill the outlays resulting from Obligations Expenditure timeframe Expenditure timeframe defines the actual period of time in which cash payments, or expenditures, can be made to fulfill outlays resulting from Obligations Administrative costs Administrative costs are the actual allowable costs Obligated and Expended in the course of administering the LIHEAP program at both the state and local level 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. As a state agency, the Iowa Department of Health and Human Services is audited by the Iowa State Auditor’s office. There is no other option or selection process. 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. Every community action agency is monitored annually for programmatic and/or fiscal compliance. On-site evaluation visits and/or desk reviews will specifically monitor: * Outreach efforts, including hours available for clients to apply and protection of client confidentiality * Coordination with other human service agencies * The opportunity for a client to complete an application within ten (10) days of initial contact * Time elapsed between application date and payment made to vendor on behalf of client * Verification dates entered into LEWIS for all application materials and supporting documentation * Determination of eligibility at time application is processed with client letter and appeal and hearing provided * Correct and timely payments of assistance for households as provided in the State Plan * Signed vendor agreements with all vendors receiving LIHEAP funds * Appeal and hearing procedures * Administrative and associated program budget and costs * Accounting systems regarding collection of financial information reported to the Grantee and documentation of monthly financial reports and funding requests * Other provisions covered in the Contract as deemed necessary and appropriate by Grantee 10.7. Describe how you select local agencies for monitoring reviews. Attach a risk assessment if subrecipients are utilized. Site Visits: Six of the 16 Community Action Agencies will receive on-site monitoring each year, while the other ten will receive desk reviews. This schedule will rotate each year so that every two years all agencies will have received both an on-site monitoring and a desk review. Desk Reviews: Ten of the 16 Community Action Agencies will receive on-site monitoring each year, while the other six will receive desk reviews. This schedule will rotate each year so that every two years all agencies will have received both an on-site monitoring and a desk review. 10.8. How often is each local agency monitored? Please attach a monitoring schedule if one has been developed. Annually 10.9. How many local agencies are currently on corrective action plans? 0 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.