FAC Explorer

Audit 404355

FY End
2024-12-31
Total Expended
$1.68M
Findings
5
Programs
4
Organization: Taller Educativo De Caguas, Inc. (PR)
Year: 2024 Accepted: 2026-06-22
Auditor: DIAZ & CANDELARIA CPA PSC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1218161 2024-002 Material Weakness Yes L
1218162 2024-002 Material Weakness Yes L
1218163 2024-002 Material Weakness Yes L
1218164 2024-002 Material Weakness Yes L
1218165 2024-002 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
93.600 HEAD START $1.03M Yes 1
10.558 CHILD AND ADULT CARE FOOD PROGRAM $89,036 Yes 1
93.356 HEAD START DISASTER ASSISTANCE $59,100 Yes 1
93.356 HEAD START DISASTER RECOVERY $2,185 Yes 1

Contacts

Name Title Type
QAABYA8LV6Q3 Alexis A Paris Paris Auditee
7876539074 Cristino Ariel Diaz Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) presents the activity of all federal award programs of Taller Educativo de Caguas, Inc. (TEC). All federal awards received directly from federal agencies, as well as federal awards passed through other governmental agencies to the Organization, are included in the accompanying Schedule.
The accompanying Schedule includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this Schedule is presented in accordance with the audit requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of TEC, it is not intended to and does not present the financial position, results of operations, or cash flows of TEC.
Amounts reported in the accompanying Schedule agree with the amounts reported in the related federal financial reports. However, certain federal financial reports are filed based on cash expenditures. As such, certain timing differences may exist in the recognition of revenues and expenditures between the Schedule and the federal financial reports.
The Assistance Listing Number (ALN), formerly known as the Catalog of Federal Domestic Assistance (CFDA) number, is a program identification number. The first two digits identify the federal department or agency that administers the program, and the last three digits are assigned in numerical sequence according to the program name within the corresponding agency. The ALNs included in this report were determined based on the program names, review of grant contract information, and the federal assistance listings published at SAM.gov.
State or local governments and private entities include within their federal proposal awards the related amount of federal awards granted to the Organization, also known as “pass-through awards.” The Organization considers these federal funds as though they were received directly from the federal government. The Uniform Guidance requires that the Schedule include the name and the identifying number assigned for federal awards received as a subrecipient. Numbers identified as N/A are not applicable or not available.
TEC has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The following is a reconciliation of total expenses, as reported in the accompanying Statement of Revenues and Expenses and Changes in Retained Earnings, to total expenditures of federal awards, as reported in the accompanying Schedule, for the year ended December 31, 2024: Total Expenses per the Statement of Revenues and Expenses and Changes in Retained Earnings $ 1,702,856 Less: Depreciation expense, which is not a federal award expenditure (57,082) Less: Operating lease cost in excess of lease payments (GAAP timing difference, not a federal expenditure) (1,600) Add: Acquisitions of property and equipment charged to federal awards 38,352 Total Expenditures per the Schedule of Expenditures of Federal Awards $ 1,682,526

Finding Details

Finding 2024-002
Finding No. 2024-002 - Late Filing of Single Audit Reporting Package Criteria Uniform Guidance, Section 200.512(a), establishes that the audit must be completed, and the data collection form and reporting package must be submitted, within the earlier of 30 days after receipt of the auditors' reports or nine months after the end of the audit period, unless a longer period is agreed to in advance by the cognizant or oversight agency for audit, or unless restricted by law or regulation. Condition The Organization did not submit the Single Audit reporting package for the year ended December 31, 2024 within the required nine-month deadline. The reporting package was submitted after the regulatory due date. Cause The Organization had been carrying accumulated delays in the issuance of its audited financial statements and Single Audit reporting packages from prior years. During the current period, these pre-existing delays were compounded by health-related circumstances affecting the Executive Director and by a concurrent federal monitoring review of the program. As a small entity with limited administrative and financial personnel, the Organization had constrained capacity to dedicate the time necessary to attend to, prioritize, and complete the audit, which contributed to the late submission of the reporting package. Effect The accumulated backlog from prior years, together with the Executive Director's health situation and the demands of the concurrent federal monitoring, further delayed the preparation and issuance of the financial statements and the Single Audit reporting package. As a result, the Organization was unable to meet the Uniform Guidance deadline, resulting in a noncompliance finding. While no questioned costs were identified, the late filing exposes the Organization to additional oversight from federal agencies and increases the risk of reputational impact. This deficiency in internal control over compliance is considered a significant deficiency. Repeat Finding This condition was also identified in the prior year audit as Finding No. 2023-001 and remains uncorrected. Recommendation The data collection form and Single Audit reporting package should be submitted within the required due dates. Views of Responsible Officials (Management Response) Management acknowledges the late submission of the data collection form and Single Audit reporting package. The delay resulted from a backlog in the issuance of the audited financial statements carried over from prior years, which during the year was further aggravated by health issues affecting the Executive Director and by a concurrent federal monitoring of the program. As a small organization with limited staff, these circumstances reduced the time available to attend to and prioritize the completion of the audit. Management is committed to allocating the necessary resources and establishing a timeline to ensure that the audit is completed and the reporting package is submitted within the required due dates in future periods.