Idaho Parents Unlimited Inc., a statewide nonprofit that serves families of children and youths with special needs, hasn't kept a financial management system that complies with federal regulations, according to a federal audit.

The U.S. Department of Health and Human Services Office of Inspector General said Monday that it couldn't determine whether the group properly spent about $185,000 it received from a grant.

"Consequently, we have set aside this amount for resolution" by the federal health agency that provided the grant starting in fiscal 2009.

Idaho Parents Unlimited didn't maintain written standards of conduct for employees handling grants and contracts, didn't have written procurement procedures, and didn't always submit financial reports meeting federal rules, the audit found.

The nonprofit agreed with the agency's recommendations to fix the problems, and said it has taken action to correct them.

Visit oig.hhs.gov to read the report.