Audit 414703

Finding Number: 2022-001 Agency: Department of Homeland Security/Department of Treasury Federal Program: Disaster Grants (Presidentially Declared Disasters)/ Coronavirus State and Local Recovery Funds Assistant listing numbers: 97.036 / 21.027 Compliance Requirement: Other Category: Significant Deficiency and noncompliance over federal program Criteria: OMB Uniform Guidance Part 200 subpart F 200.512(a)(1) establishes that Non-Federal entities that expend $750,000 or more in a year in Federal awards shall have a single or program-specific audit conducted for that year in accordance with the provisions of this part. The audit, the data collection form, and the reporting package must be submitted within 30 calendar days after the auditee receives the auditor's report(s) or nine months after the end of the audit period (whichever is earlier). Condition: During our audit of June 30, 2022, financial statements, we noted that single audit report for fiscal year 2021-2022 was not submitted by March 31, 2023. Cause: Missed of internal controls over financial reporting to produce financial statements on timely basis to comply with OMB reporting deadlines. Effect: Non-compliance with the above-mentioned requirement could lead to administrative actions by the grantor. It could also be interpreted as a failure to manage federal awards in compliance with laws, regulations, and provisions of contracts and grant agreements. Recommendation: To improve, execute and monitors accounting periods end closings as planned in order to get a financial statement on time to comply with required deadlines. Also, keep track and communication of federal programs compliances with regulatory parties and among Authority responsible departments involve and establish a program deadline calendar. Questioned Costs: NonePerspective of the information: Single audit report was issued after due date. The information was not drawn from a statistical sample. Prior Year Finding: Yes. Management response: Due to government closures that occurred during the pandemic it was impossible to obtain external and internal information to comply with established requirements. Responsable Officer: Mr. José R. González De la Vega Estimated Completion Date: To work it on or before June 30, 2026.