Audit 405811

Program Information: U.S. Department of the Interior Single Agreement – Assistance Listing #15.036 Award Number: A18AV00341 Award Period: 10/01/2024 – 9/30/2025 Criteria: Reporting requirements are contained in the following: Monitoring and reporting program performance, 2 CFR Section 200.329. • Per the award documents, the grantee shall prepare and provide an Annual Narrative Report. Per 2 CFR § 200.303, recipients must establish and maintain effective internal controls over federal awards to ensure compliance with applicable regulations. Condition/Context: NWIFC did not complete and obtain management approval of the FY25 Annual Narrative Report prior to the required submission date. As a result, the FY24 Annual Narrative Report was submitted to the funding agency in its place. [ X ] Compliance Finding [ X ] Significant Deficiency [ ] Material Weakness Cause: Internal controls were not sufficient to ensure the FY25 Annual Narrative Report was completed, reviewed, approved, and submitted in accordance with award requirements. Effect: Failure to comply with required reporting requirements may result in increased scrutiny by the funding agency and could adversely affect future funding decisions. Questioned Costs: N/A. This finding relates to reporting requirements and does not affect the allowability, support, or eligibility of program expenditures. Therefore, no questioned costs were identified. Repeat Finding: No. Recommendation: We recommend that NWIFC ensure required annual narrative reports are completed, reviewed, approved, and submitted timely, and that evidence of review and approval is maintained. Views of Responsible Officials and Planned Corrective Action: Management agrees with the finding and has prepared corrective action as detailed in its Corrective Action Plan.