FAC Explorer

Audit 408485

FY End
2025-06-30
Total Expended
$816,063
Findings
1
Programs
3
Organization: INTERCAMBIOS PUERTO RICO, INC (PR)
Year: 2025 Accepted: 2026-08-04
Auditor: GALINDEZ LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1225603 2025-001 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
93.243 SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES PROJECTS OF REGIONAL AND NATIONAL SIGNIFICANCE $605,708 Yes 1
93.788 OPIOID STR $198,518 Yes 0
93.940 HIV PREVENTION AND SURVEILLANCE ACTIVITIES-HEALTH DEPARTMENT BASED $11,837 Yes 0

Contacts

Name Title Type
LWEWY73J7VM7 Rafael Torruella Auditee
7876789008 Hector Vazquez Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Intercambios Puerto Rico, Inc., under programs of the federal government for the year ended June 30, 2025. The information in this Schedule is presented in accordance with the requirements of U.S. Office of Management and Budget and by Title 2 U.S. Code of Federal Regulations 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 operation of the Organization, it is not intended to and does not present the statement of cash receipts and disbursements of the Organization.
The Schedule is prepared from the Organization accounting records and is not intended to present its financial position or the results of its operations. The Schedule is presented in accordance with the accrual basis of accounting. Generally, the Schedule includes a portion of costs associated with general activities which is allocated to federal assistance programs under negotiated formulas commonly referred to as indirect cost rates and federally approved cost allocation plans. The Organization has elected to use the minimis indirect cost rate of 10% of modified total direct costs as allowed under the Uniform Guidance. Expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
The Assistance Listing Numbers (ALN) included in this Schedule are determined based on the program name, review of grant contract information and public descriptions of federal listings published by the U.S. Government on sam.gov. Assistance listing numbers are presented for those programs for which such numbers were available.
The major federal program is identified in the Summary of Auditors’ Results Section in the Schedule of Findings and Questioned Costs and is also presented by the federal agency.

Finding Details

Finding 2025-001
Finding No. 2025-001 – Late filing of data collection form and reporting package Federal Programs ALN 93.243, Substance Abuse and Mental Health Services Projects of Regional and National Significance Name of Federal Agency U.S. Department of Health and Human Resources Category Internal Control over Compliance; Noncompliance; Significant Deficiency Compliance Requirement Reporting Criteria 2 CFR 200.512 (a) (1) establishes that the audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditors' report(s), or nine months after the end of the audit period. Condition The Organization did not submit the required data collection form and reporting package within the required period by March 31, 2026 (9 months after the end of fiscal year). Cause The Organization did not comply with this requirement since the audit of its financial statements, and accordingly its reporting package and procedures, were not ready to be released by the due date. Such delay was mainly attributed to the Organization having difficulties with its timely monthly closings due to its limited personnel in the area of Accounting and Organizational Funds. Effect Federal grantors were prevented from being informed on a timely basis of the current audits findings, recommendations and corrective action being taken by the Organization. Also there has been a late disclosure about the Organization’s operating results. Consequently, any action, further requirements or request of support from the federal grantor could not be executed on a timely basis or not executed at all. Context The fiscal year 2025 reporting package and Data Collection Form has not been submitted at the required filing deadline. The Single Audit covered $816,063 of Federal expenditure. Identification of repeat finding This is not a repeat finding from previous audits. Questioned Costs None. Recommendation We recommend that management develop and implement a corrective action plan to ensure compliance with federal reporting requirements. Such plan should include: (1) the establishment of formal month-end and year-end closing schedules; (2) assignment of accountability for completion of key financial reporting tasks; (3) periodic monitoring of progress toward audit and reporting deadlines; and (4) an assessment of staffing and training needs within the Accounting and Organizational Funds area to ensure adequate resources are available to support timely financial reporting and Single Audit compliance. Views of responsible officials and planned corrective actions We agreed with the auditors’ finding and recommendation. See further details regarding this matter within the Corrective Action Plan provided on page 27.