SUMM - SINGLE AUDIT -2000

Administrator

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S TATE OF R HODE I SLAND- G ENERAL A SSEMBLY OFFICE of the AUDITOR GENERAL AUDIT SUMMARY ERNEST A. ALMONTE, CPA, CFE AUDITOR GENERAL INTEGRITY ¤ RELIABILITY ¤ INDEPENDENCE ¤ ACCOUNTABILITY [e-mail] APRIL 2001 Federal Awards SINGLE AUDIT REPORT The State expended federal FISCAL Y EAR ENDED JUNE 30, 2000 assistance totaling over $1.75 billion in the fiscal year ended June 30, 2000. We found certain deficiencies in the This federal assistance is provided to We completed our Single Audit of the State’s accounting and control procedures. the State for approximately 375 State for the fiscal year ended June 30, The State needs to accumulate and record programs each with specific objectives 2000. This audit is required by both State the information required to report its and requirements. Federal assistance and Federal law. The Single Audit Report investment in general fixed assets in the is mostly in the form of cash awards includes the State’s general-purpose financial statements and improve its that are used to fully or partially fund financial statements, a schedule of federal accounting systems to record all its long- federal programs. For example, the program expenditures, and findings and term obligations. Controls over access to federal government funds recommendations pertaining to the several of its key computer systems need to approximately 54% of Medical financial ...

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• Publié par: Ardoo
• Nombre de lectures: 19
• Langue: English

Extrait

S  FT A T E O R H O D E I S L A N D - G  S E M B L Y SE N E R A L     O F F I C E o f t h e    E N E R A LA U D I T O R G E RNEST LMONTE , CPA, CFE Y A UDITOR G ENERAL      EALMONTE @ OAG . STATE . RI . US       I N T E G R I T Y ¨ R E L I A B I L I T Y ¨ I N D E P E N D E N C E ¨ A C C O U N T A B I L I T Y            SINGLE AUDIT REPORT Federal Awards    F I S C A L Y E A R E N D E D J U N E  0 0 03 0 , 2  The State expended federal   assistance totaling over $1.75 billion the fiscal year ended June 30, 2000.    We foerdt acin deficiencies in the This federal assistance is provided to We completed our Single Audit    o S   f t       a t t h e e ’   s ac u c n ounting and controlprocetdhuer eSst.ate for approximately 375  State for the fiscal year ended June 30,   2000.  This audit is required by bot T h  h S e t   a S t t e a   te needs to accumulate and rpercoecbjvetis  oicifecsph it whcae ds margr and Federal law.S iTnhglee Audit R epor t t he information required to report itsand requirements. Federal assistanc includes the State’s -gpeurnpeorsale  i fi n n v a e n s c t i m al e  s n t t a  i t n e  g m e e n n e t r s  a a l  n fi d x   e i d m   p a r s o s v e e t   s i   t i s n   i  t ts h  h a me t     o a s r t e l   y  u i s n e  t d h  t e o  f  f o u r ll m y     o o f r     c p a a s r h ti   a a ll w y a  f r u d n s financial statements, ual es ocfh feedderal  program expenditures, and findings a   c a c n o d  unting systemsr tdo  arlle ictos l-ongfederal programs.  For example, the recommendations pertaining to the t   erm obligations.  Controls over accefses dteor al government funds  financial statements and federal pr s b o e e g   v r i a e m r m a p l s r   . o o    f v   e it d s .     k  A e   y f   o c r o m m a p l  u d t i e s r a   s s t y e s r t   e re m c s o   v na Ae ep sr e s p yi dr s   o t tx a oi n  m ce a   t p e r ly o   g 5 r 4 a % m     o c f o   s M ts e   d w i i c t a h l     the  It also includes a corrective action plan prepared by the State’s manageme o p n l p t a   e t n r o   a   m ti u o s n t s     b p e e   r d f e or ve m lo e p d  e a d t     f t o h r e     a S ll t   a c t o e m  D p a uS Tt t cihw ,maf syap hcadiMee grro pid  ghsnini   h ra.eing fund a  remathe er ate  address each finding and provide a  Center.medical care for needy individuals, i timeta bfloer implement ation.        thesingle largest federal program      ThSei ngle Audit R eisp oprrt   dluo    h   s  W   ivo ot ded   wes stcom raogpr   latoT  .etatS  thed bytereinisamd yf neit yditaleccurto aved mproi eb  slor h n t t n c a o   g    in e n r t m o   u r c o c     e aels afoo d unatth federal funding agencies as a condit a i n o d n     r o e f cord federal revenues and othe $ r  1.1 billion for fiscal 200 0 with the  continued federal ass istance. matching project reithin the f   edreal government’s share totaling  venues w   Intermodal Surface Transportation Ef $ fi 6 i 1 e 0 n  mill ion. Financial Statements  The ISTEA FundAct (ISTEA) Fund.  c cy   te highway p   r   o   j    escotfs .r e fedar/ltsccantou    We concluded that the State’s financial  a statements present fairly the State’s  financ iaplosition at June 30, 2000     results of its operations for the fi then ended except that the Stat UDIT IGH LIGH TS reported its investment in gener   assets as required by generally  §a q ssdepxereWe  oni edfiliuaofinancial egenar-lupprso e s’etatS eht nnpi accounting principles.  statements because the State has not reported its investment in ge         Within the Stante geral fund,’ s   dexif .stessa revenues and other financing so§awards were $1.75 billion in fiscal 200Total expenditures of federal were $4.8 million more than exp §nuvered un falerepxe dedeecxe se$4.8 by uresndit .ilnom liGne and other financing uses. The p fund balance of the general fund §The State generally complied, in all material respects, with requirem for appropriation was $92 millio  applicable to federal programs; however, we did report instances of 30, 2000.  noncompliance and other findings where controls can be improved enhance compliance.   § mi nvorptatSac ee Th serudecodetaler trol cond prs an sca etiitgnocnu fixed assets an-dt leornmg obligations.  Additionally, controls over access  several key computer systems can   be improved.

A UDIT S Y MMARU – PAGE 2 S INGLE A UDIT R EPORT F ISCAL 2000        As part of our audit, we are reqiunirdeheOt r C po    fot ei suA e tidSn eelhtlegpndin they ofpSo.R e  MMI ot d assess compliance with requiremenintsd ependent accounting systems havcea not  obeaibt lailgn2 en dybc or 22-2435  applicable to f epdreorgarlams.  For been designed to contain all the contrboyl visiting our website at example, many programs have procedures of the MMIS. www.oag.state.ri.us. requirements detailing wheo f iosr  eligib l  benefits and most programs have s  p e  c iTfihci rd party liability coverage for Medicaid  limitations on the types of expenditruerceisp ients was not always identified timely.   that may be funded with federal doIlnl atrhs.e  se iannsctes, Medicaid may pay a  Additionally, the federal governmenctl ahiams  when others should have paid instead.   requirements regarding the timing Fouf rther, third party liabilities identified after  federal reimbursement, equipmentpayment were not pursued timely which purchased fweitdhe ral funds, federal resulted in lost reimburs ements.   reports, and monitoring federal funds passe-tdhrough to subreci pients. Child Support Enforcement needs to   enhance control pro cteod eunressure that        For most of the programs testedm, ethdiec al coverage information is obtained  State complied in all material respeacntds n  ocer itsthind wiordetsme rysupetwcit mho  applicable compliance requirementas .t i mWely basis when the Court has ordered did report instances whteartehe tdid  S an absent parent to provide medical support. not comply with requirements applicable to certain programs. The Department of Controls should be improved over the Education did not review the auditretsprtcioep  doof laredeof fion ibutistrdnd a of local school districts which receivceodm modities by ensuring that all required  federal funds passed through the Stfoatrem. s  are completed and recorded in the  Federal regulations require the revind,veeiec gf  o ooehwwneerr sda ory ventrds reco such reports as part of an overall shipped or damaged. monitoring process to ensure that program funds are used for their intend ed purpoPsreo.c edures should be strengthened   over vendor billings for homemaker services         We found that controls need to tbo ev erify fundiunrgc es,o authorization period  strengthened over access to the coamnpd uhteoru rs of service authorized.   systems which are used to authorizHe oamnde maker services are reimbursed  deliver beitnse tfhrough the electronic through Medicaid and the Social Services  benefit delivery system for Food StBalmocpk  Gran t.    and Temporary Assistance for Needy Families Programs. The State needs to implement  centralized monitoring controls to ensure it          Data used to determine eligibilditrya fwosr unds in ederal ff nemefo tmiersrub the Temporary Assistance For Needpyrogram costs at the appropriate time. In Families (TANF) program is matchesdo tmo e instances, funds are drawn too quickly  data containht e tiSetda eotp yacausing e  and statnetf eideasre rlt ott oheeh  tr computer systems. We found that federal government. In other instances, the discrepancies resulting from data mStatacthe edso es not draw cash quickly enough  were not always investigated or reswolhvicehd evda swonctpaselrsimy  hs itac promptly which weakens controls omvear ntahgee me nt.   determination of eligibility and benefit levels for the TANF program. We questioned certain costs reimbursed  under federal programs because they may        We also reported that controls boev eur nallowable under federal guidelines.   Medicaid expenditures could be impTrhoev feedd eral government will ultimately  by processing all expenditures throruegsho lve how much of these amounts, if any,  one syste– tmh e State’s Medicaid the State will thoa rvepay .  Manageme t Information System (MMIS). n pproximately $90 million of program A expenditures weres perdo ces