Subsection 148-1-V-B - AUDITS1. PURPOSE: The purpose of an audit is to verify the accuracy and consider the appropriateness of costs claimed and services rendered for the audited period. In considering the appropriateness of costs claimed, a review of their allowability, allocability and reasonableness will be made based on the terms/conditions of the Child and Adult Care Food Program agreement and regulations in force during the period being reviewed.
2. STANDARDS OF CONDUCT: 1. Auditors shall notify the organization to be audited prior to the start of the audit.2. Auditors shall perform an audit of terminated C.A.C.F.P. agreements within 2 years of termination based on the requirement of the Maine Uniform Accounting and Auditing Practices for Community Agencies.3. Auditors shall complete C.A.C.F.P. Agreement audits using the following rules, regulations and policies applicable to the type of organization being audited: a. All Organizations 17 CFR Part 226, Child and Adult Care Food Program.2 Bureau of Child and Family Services, Child and Adult Care Food Program Policy Manual.3 Department of Human Services exceptions to Office of Management Budget (OMB) circulars.4 Department of Human Services signed contracts and related documents.b. Public entity 1. OMB Circular A-87, Cost Principles for States and Local Governments.2. OMB Circular A-102, Uniform Administrative Requirements for Assistance to State and Local Governments.3. Common Rule ( 7 CFR Part 3015, Uniform Administrative Requirements for Assistance Grants and Cooperative Agreements to State and Local Governments.)4. OMB Circular A-128, Audit Requirements for State and Local Governments.c. Non-profit entity 1. OMB Circular A-110, Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Education, Hospitals and Other Non-profit Organizations.2. OMB Circular A-122, Cost Principles for Non-profit Organizations.3. OMB Circular A-133, Audits of Institutions of Higher Education Hospitals and Other Non-profit Organizations.d. Educational entity 1. OMB Circular A-21, Cost Principles for Educational Institutions.2. OMB Circular A-88, Indirect Cost Rates, Audit and Audit Follow-up at Educational Institutions.3. OMB Circular A-110, Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Education, Hospitals and Other Non-profit Organizations.e. For Profit entity 1. OMB Circular A-87, Cost Principles for States and Local Governments.2. OMB Circular A-102, Uniform Administrative Requirements for Assistance to State and Local Governments.4. Auditors shall audit C.A.C.F.P. agreements to the compliance requirements found in C.F.D.A. 10.558.5. Organizations shall comply with the requirements of Maine Uniform Accounting and Auditing practices for Community Agencies (MAAP).6. Funds Due to the Organization: If an audit reveals additional funds are due an organization from the State Agency,. these funds may be held for up to 30 days by the Bureau pending notification of the organization's agreement or disagreement with the audit report.
a. If the organization concurs with the audit findings and accepts the amount due as correct, the organization shall indicate written agreement within 30 days of receipt of the notice to the Director, Bureau and request payment of the funds.b. If the Bureau concurs with the audit payment request notice of agreement will be forwarded to the Department's Division of Financial Services and a request made for immediate payment to the organization.c. Written concurrence by the organization will indicate satisfaction with the audit, forfeiture of any further right of appeals, and will cause the audit to be closed.7. Funds Due to the Department Any amount due the Department from an organization as a result of an audit, shall be paid in full by check made payable to the Treasurer.. State of Maine* or by a request for repayment schedule tendered within 30 days of receipt of the report of audit, unless contested and an appeal is registered.
a. Requests to repay the amount by monthly payments or monthly withholdings from current C.A.C.F.P. earnings shall be made.. in writing, to the Director, Bureau of Child and Family Services, State House.. Station 11, Augusta, Maine 04333.b. If an organization contests an audit report of an overpayment, the amount due to the Department which is the subject of the appeal, may be held by the organization pending the conclusion of an appeal. C.M.R. 10, 148, ch. 1, 148-1-V, subsec. 148-1-V-B