Follow-up on Audit of Department of Family and Support Services Grant Monitoring

Executive Summary

For the audit period of calendar year 2010, DFSS received approximately $468 million in grant funds. The purpose of the audit was to determine whether DFSS had effective grant monitoring policies and procedures and whether reimbursements to grantees were properly made and recorded.

Based upon the results of our audit, we determined that grant monitoring processes were generally effective. However, we found deficiencies arising from DFSS’s misunderstanding of segregation of duties and governmental auditing reporting standards, insufficient management oversight, and ineffective grant closeout procedures. At that time, DFSS responded with corrective actions it planned to take.

In March 2013, we inquired with DFSS regarding the current status of those corrective actions. DFSS responded on April 8, 2013.