City of Chicago's Efforts to Account for and Monitor Sub-Recipients' Use of Public Health Preparedness and Response to Bioterrorism Program Funds - Department of Public Health

EXECUTIVE SUMMARY:

The objectives of this review were to determine whether the Chicago Department of Public Health (Department): (i) properly recorded, summarized and reported bioterrorism preparedness transactions by specific focus areas designated in the cooperative agreements and (ii) whether the Department had controls and procedures to monitor sub-recipient expenditures of Centers for Disease Control and Prevention (CDC) funds.  We found that the Department generally accounted for program funds in accordance with the terms and conditions of the cooperative agreement and applicable departmental regulations and guidelines, with two exceptions.  During Year 1 of the Program, the Department did not record, summarize and report transactions by specific focus area.  We verified that the Department took corrective action and segregated expenditures by focus area during the succeeding Program years.  In addition, Year 3 original and supplemental funds were not segregated in the accounting system.  Although the cooperative agreement does not require separate accounting for original and supplemental funds, separate reporting of the funds is required.  We recommended the Department implement procedures to record, summarize, and report expenditures for original and supplemental grant funds separately.  Department officials generally concurred with our findings and recommendation.