Audit 358751

Finding 2024-001: Federal Financial Reporting - Significant Deficiency Information on the Federal Programs: Assistance Listing #93.652 Adoption Opportunities: Administration for Children and Families Criteria or Specific Requirement: §200.328 Financial reporting (c) states that “The recipient or subrecipient must submit financial reports as required by the Federal award. Reports submitted annually by the recipient or subrecipient must be due no later than 90 calendar days after the reporting period. Reports submitted quarterly or semiannually must be due no later than 30 calendar days after the reporting period.” Condition: As part of our compliance audit over APHSA’s financial reporting requirements under the major program, we noted two instances in which a financial report was not submitted to the Federal agency by the 30 calendar day deadline. Cause: There was turnover in staffing at APHSA that impacted timely reporting. Effect or Potential Effect: Late financial report submissions could result in payment withholding, negative impact related to future funding, increased scrutiny by the federal agency, or ultimately award termination. Questioned Costs: None Context: The population of quarterly reports for the major program was four. Late reporting was noted for two of the four reports tested. The control deficiency is considered systemic in nature. Identification as a Repeat Finding, If Applicable: Not applicable Recommendation: We recommend that APHSA review its policies and procedures and strengthen internal controls to ensure that all financial reports are submitted to the grantor by the deadlines stipulated in the terms of the agreement.

Finding 2024-001: Federal Financial Reporting - Significant Deficiency Information on the Federal Programs: Assistance Listing #93.652 Adoption Opportunities: Administration for Children and Families Criteria or Specific Requirement: §200.328 Financial reporting (c) states that “The recipient or subrecipient must submit financial reports as required by the Federal award. Reports submitted annually by the recipient or subrecipient must be due no later than 90 calendar days after the reporting period. Reports submitted quarterly or semiannually must be due no later than 30 calendar days after the reporting period.” Condition: As part of our compliance audit over APHSA’s financial reporting requirements under the major program, we noted two instances in which a financial report was not submitted to the Federal agency by the 30 calendar day deadline. Cause: There was turnover in staffing at APHSA that impacted timely reporting. Effect or Potential Effect: Late financial report submissions could result in payment withholding, negative impact related to future funding, increased scrutiny by the federal agency, or ultimately award termination. Questioned Costs: None Context: The population of quarterly reports for the major program was four. Late reporting was noted for two of the four reports tested. The control deficiency is considered systemic in nature. Identification as a Repeat Finding, If Applicable: Not applicable Recommendation: We recommend that APHSA review its policies and procedures and strengthen internal controls to ensure that all financial reports are submitted to the grantor by the deadlines stipulated in the terms of the agreement.