Mississippi Alliance of Boys & Girls Club, Inc.

FINDING 2024-001 (Noncompliance, Significant Deficiency) Program Information: ALN #93.558 Temporary Assistance for Needy Families (TANF) Criteria: L. Reporting - The non-Federal entity must submit financial reports at the interval required by the Federal awarding agency or pass-through entity to best inform improvements in program outcomes and productivity. The terms and conditions of the award agreement require monthly financial reports to be submitted ten (10) calendar days after the close of each month. Condition/Context: During our review, we tested three monthly reports and noted that three reports were not submitted by the required deadline. The Alliance was not in compliance with reporting requirements as specified in the MS Department of Human Services subgrant agreement. Cause: Administrative oversight with respect to reporting requirements. Effect or Potential Effect: The Alliance was not in compliance with the reporting requirements outlined in the MS Department of Human Services subgrant agreement. Identification as a Repeat Finding: There was a similar finding identified in the prior year. Recommendation: We recommend that the Alliance enhance its procedures and internal controls over reporting to meet required deadlines. Views of Responsible Officials: Management is in agreement with the finding and the auditors’ recommendation. See Corrective Action Plan at the end of the report.

FINDING 2024-001 Mississippi Individual Responsible for Corrective Action Plan: MS Alliance – LaKenya Evans, Dominique Dye, Duran Davis Corrective Action: Claims will be finalized and reviewed at least three business days before the deadline. If delays are unavoidable, staff will immediately notify MDHS to provide updates and request extensions. Claim submission timeliness will be reviewed monthly, and late submissions will be documented. Anticipated Completion Date: December 31, 2025

2023-001

Program Information: ALN #93.558 Temporary Assistance for Needy Families (TANF) Criteria: L. Reporting - The non-Federal entity must submit financial reports at the interval required by the Federal awarding agency or pass-through entity to best inform improvements in program outcomes and productivity. The terms and conditions of the award agreement required monthly financial reports to be submitted ten (10) calendar days after the close of each month. Condition/Context: During our review, we tested 3 monthly reports and noted that 2 reports were not submitted by the required deadline. The Alliance was not in compliance with reporting requirements as specified in the MS Department of Human Services subgrant agreement. Cause: Administrative oversight with respect to reporting requirements. Effect or Potential Effect: The Alliance was not in compliance with the reporting requirements outlined in the MS Department of Human Services subgrant agreement. Identification as a Repeat Finding: There was a similar finding identified in a prior year. Recommendation: We recommend that the Alliance enhance its procedures and internal controls over reporting to meet required deadlines. Views of Responsible Officials: The Alliance will implement more stringent internal controls and administrative oversight with respect to reporting requirements and deadlines to make sure ALL financial reports are submitted timely to the respective awarding agencies.

Management will review grant agreements for any conditions or barriers present to recognize revenue. For cost reimbursement grants, grant revenue is recognized upon date of invoice sent by the Alliance to the state requesting payment. The date of receipt will be reviewed to determine the appropriate fiscal year or advance payment classification, as applicable.

2022-002

Program Information: ALN #93.235 Title V State Sexual Risk Avoidance Education Program; ALN #93.558 Temporary Assistance for Needy Families (TANF) Criteria: Non-federal entities must follow the compliance audit standards set forth in 2 CFR 200.500 through 521, which states that any non-federal entity that expends $750,000 or more during the non-federal entity's fiscal year in federal awards must have a compliance audit conducted for that year. Per 2 CFR 200.512, the audit must be completed and the reporting package and data collection form must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after the receipt of the auditors' report, or nine months after the end of the audit period. Condition: The Alliance did not file its single audit report by the required deadline. Cause: Untimely completion of audit. Effect or Potential Effect: The Alliance was not in compliance with the reporting requirements outlined in the agreement and in 2 CFR 200.500 through 521. Recommendation: We recommend that the Alliance implement procedures to ensure timely completion and submission of future single audits. Views of Responsible Officials: The Alliance will implement more straight forward internal controls and administrative oversight with respect to reporting requirements and deadlines to make sure ALL financial reports are submitted timely to the respective awarding agencies.

The Alliance will implement more stringent internal controls and administrative oversight with respect to reporting requirements and deadlines to audit is timely completed.

FINDING 2022-002 Program Information: Title V State Sexual Risk Avoidance Education Program (ALN #93.235) Criteria or Specific Requirement (Including Statutory, Regulatory or Other Citation): L. Reporting - The non-Federal entity must submit performance reports at the interval required by the Federal awarding agency or pass-through entity to best inform improvements in program outcomes and productivity. The terms and conditions of the award agreement required monthly, quarterly, semi-annual, and annual reporting. Condition: The Alliance was not in compliance with quarterly performance reporting requirements as specified in the MS Department of Human Services subgrant agreement. Cause: Administrative oversight with respect to reporting requirements. Effect or Potential Effect: The Alliance was not in compliance with reporting requirements. Questioned Costs: None. Context: For 3 out of 4 quarterly reports selected for testing, the report was not submitted by the quarterly performance reporting deadline. Identification as a Repeat Finding: 2021-001 Recommendation: We recommend that the Alliance enhance its procedures and internal controls over reporting to meet required deadlines. Views of Responsible Officials and Planned Corrective Actions: The Alliance will implement more stringent internal controls and administrative oversight with respect to reporting requirements and deadlines to make sure ALL financial reports are submitted timely to the respective awarding agencies.

Individuals Responsible for Corrective Action Plan: Dominique Dye, Mississippi Alliance Grant Administration LaKenya Evans, Mississippi Alliance Grant Administration Corrective Action: The Alliance will implement more stringent internal controls and administrative oversight with respect to reporting requirements and deadlines to make sure ALL financial reports are submitted timely to the respective awarding agencies. Anticipated Completion Date: October 1, 2023

2021-001

FINDING 2021-001 Identification of the Federal Program: Temporary Assistance for Needy Families (Assistance Listing 93.558) Criteria or Specific Requirement (Including Statutory, Regulatory or Other Citation): Award recipient is to comply with grant specific reporting requirements based on the terms and conditions of the award agreement. Condition: The Alliance is not in compliance with financial reporting conditions as required. Certain monthly financial reports were not submitted in a timely manner. Cause: Insufficient internal controls and administrative oversight with respect to reporting requirements. Effect or Potential Effect: The Alliance was not in compliance with reporting requirements. Questioned Costs: None. Context: 2 of 2 monthly financial reports selected for testing were not submitted timely to the respective awarding agency. Identification as a Repeat Finding: No similar findings noted in the prior year. Recommendation: We recommend that the Alliance enhance its procedures and internal controls over program reporting requirements to ensure all reports are reviewed and submitted within the required timeframe. Views of Responsible Officials and Planned Corrective Actions: Our plan is as follows: ? By the 5th of each month all subgrantee Club organizations will be required to submit responsive attendance data for the preceding month to the MS Alliance. ? Alliance staff will collate all attendance data and submit timely documentation to MDHS in addition to the required programmatic, financial, and other reporting information. ? The MS Alliance has hired an additional staff member (LaKenya Evans) whose role as the MS Alliance?s Finance & Grants Compliance Coordinator, is to ensure adequate monitoring of policies and procedures and administrative oversight with respect to reporting requirements. All in accordance with both federal regulations as well as any grant agreements. ? Moving forward, reimbursement requests will be submitted in a timely manner.

Finding 2021-001 Mr. Tang: Please take this communication as the formal corrective action plan from the Mississippi Alliance of Boys & Girls Clubs to ensure contract compliance as we move forward. Our plan is as follows: - By the 5th of each month all subgrantee Club organizations will be required to submit responsive attendance data for the preceding month to the MS Alliance. - Alliance staff will collate all attendance data and submit timely documentation to MDHS in addition to the required programmatic, financial, and other reporting information. - The MS Alliance has hired an additional staff member (LaKenya Evans) who?s roll as the MS Alliance?s Finance & Grants Compliance Coordinator, is to ensure adequate monitoring of policies and procedures and administrative oversight with respect to reporting requirements. All in accordance with both federal regulations as well as any grant agreements. - Moving forward, reimbursement requests will be submitted in a timely manner. The anticipated completion date is January 1st, 2023. We thank you for the opportunity to submit this corrective action plan and are grateful to you and your staff for assisting our team as we work to complete all reporting in a timely manner. Regards, Duran Davis, Esq. Executive Director, MS Alliance of Boys & Girls Clubs