Finding 2021-001 Significant Deficiency over Internal Control over Compliance, Noncompliance – Timely Submission to Federal Audit Clearinghouse Criteria In accordance with 2 CFR section 200.512(a)(1), the audit, the data collection form, and the reporting package must be submitted to the Federal Audit Clearinghouse 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 The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of September 30, 2022. Cause There were various accounting issues which caused delays in the completion of the 2021 annual audit. Effect The audit required by 2 CFR 200.512 was not completed timely. Recommendation It is recommended that California Labor Federation, AFL-CIO establish a process for evaluating Federal grant audit requirements to ensure compliance, including timely completion and submission to the FAC for any future Federal grant awards. Question Costs Not applicable.
Finding 2021-001 Significant Deficiency over Internal Control over Compliance, Noncompliance – Timely Submission to Federal Audit Clearinghouse Criteria In accordance with 2 CFR section 200.512(a)(1), the audit, the data collection form, and the reporting package must be submitted to the Federal Audit Clearinghouse 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 The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of September 30, 2022. Cause There were various accounting issues which caused delays in the completion of the 2021 annual audit. Effect The audit required by 2 CFR 200.512 was not completed timely. Recommendation It is recommended that California Labor Federation, AFL-CIO establish a process for evaluating Federal grant audit requirements to ensure compliance, including timely completion and submission to the FAC for any future Federal grant awards. Question Costs Not applicable.
Finding 2021-001 Significant Deficiency over Internal Control over Compliance, Noncompliance – Timely Submission to Federal Audit Clearinghouse Criteria In accordance with 2 CFR section 200.512(a)(1), the audit, the data collection form, and the reporting package must be submitted to the Federal Audit Clearinghouse 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 The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of September 30, 2022. Cause There were various accounting issues which caused delays in the completion of the 2021 annual audit. Effect The audit required by 2 CFR 200.512 was not completed timely. Recommendation It is recommended that California Labor Federation, AFL-CIO establish a process for evaluating Federal grant audit requirements to ensure compliance, including timely completion and submission to the FAC for any future Federal grant awards. Question Costs Not applicable.
Finding 2021-001 Significant Deficiency over Internal Control over Compliance, Noncompliance – Timely Submission to Federal Audit Clearinghouse Criteria In accordance with 2 CFR section 200.512(a)(1), the audit, the data collection form, and the reporting package must be submitted to the Federal Audit Clearinghouse 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 The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of September 30, 2022. Cause There were various accounting issues which caused delays in the completion of the 2021 annual audit. Effect The audit required by 2 CFR 200.512 was not completed timely. Recommendation It is recommended that California Labor Federation, AFL-CIO establish a process for evaluating Federal grant audit requirements to ensure compliance, including timely completion and submission to the FAC for any future Federal grant awards. Question Costs Not applicable.
Timely Filing of Single Audit Report Type of Finding Other Matter Criteria or Specific Requirement According to 2 CFR 200.512(a) of the Uniform Guidance, auditees are required to submit the audit report and Data Collection Form (DCF) to the Federal Audit Clearinghouse (FAC) within the earlier of 30 calendar days after the reports are received from the auditor or nine months after the end of the audit period. Condition and Context The DCF has not been submitted by its due date of September 30, 2022. Cause Delays in the federal single audit process led to the delay in the federal single audit being completed. Effect or Potential Effect Delays in the single audit resulted in the FAC deadline being missed. Failure to submit the single audit report timely constitutes noncompliance with federal audit requirements. No questioned costs are reported as this requirement is administrative in nature. Recommendation The County should implement formal internal control policies and procedures to rectify the conditions noted above. Views of Responsible Official Management’s corrective action plan is included at the end of this report after the Schedule of Prior Year Findings.
I noted that the Native Village of Paimiut did not submit their audit within the required 9 month timeframe of year end. Per 2 CFR, Section 200.512, the Native Village of Paimiut must submit their audit within 9 months of their fiscal year end. Due to the covid pandemic, this was extended for six months. The Native Village was still addressing covid related delays. Management is aware of the requirement and has started to prepare for the 2022, 2023 and 2024 audits. Audit was late. Due to the nature of this finding, there is no suggestion or recommendation considered necessary. Management has already started work on their 2022, 2023 and 2024 audit preparation and expects to be current on audits as of the 2024 audit. This was reported in the prior year as Finding 2020-002
2021-002 – AUDIT TIMELINESS Federal Program Information: Federal Agency Federal Program Name Assistance Listing Number Grant Award(s) Unique Identifier(s) Department of Defense Basic Scientific Research 12.431 W15QKN-14-1-0001 W15QKN-20-1-1000 Criteria: 2 CFR 200.512 states 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 auditor’s report(s), or nine months after the end of the audit period. If the due date falls on a Saturday, Sunday, or Federal holiday, the reporting package is due the next business day. This would be a September 30, 2022 deadline for the fiscal year ended December 31, 2021. Condition: The financial and single audits were originally issued on September 30, 2022. However, certain conditions required a reissuance of the financial and single audits to be completed after federal guidelines. Questioned Costs: Not applicable. Context: Total federal expenditures listed on the Schedule of Federal Awards was $6,267,848, of which $6,267,848 was related to the major program. Cause: There was a subsequent discovery of facts that became known after the original report release date that required a revision of the original financial and single audit reports and related information. Effect: The audit was reissued and resubmitted to the federal clearinghouse after the due date per federal guidelines. Recommendation: Audits should be scheduled and conducted in a manner which facilitates the timely issuance of the single audit. Views of Responsible Officials: Management does not concur with the audit recommendation.
Assistance Listing Number, Federal Agency, and Program Name: Across all major programs Federal Award Identification Number and Year: Across all major programs Pass-through Entity – Various Finding Type – Material weakness in internal control over compliance Repeat Finding – No Criteria – Per 2 CFR 200.512 (a) (1), the audit must be completed, and the data collection must be submitted within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Per 2 CFR 200.501 (b), a non-Federal entity that expends $750,000 or more during the non-Federal entity's fiscal year in Federal awards must have a single audit conducted in accordance with § 200.514. Condition – The data collection form was not submitted within the required time as required by 2 CFR 200.512 for the year ended December 31, 2021. Identification of How Questioned Costs Were Computed – N/A Questioned Costs – None Cause/Effect – The Organization’s books and records for the 2021 fiscal year were not reconciled or closed in a timely manner. Therefore the data collection form was not submitted within the required time. Recommendation – We recommend that the Organization maintain a system of policies, procedures, and controls to ensure that the financial records closed in a timely manner in order to facilitate the timely submission of the data collection form. View of Responsible Officials and Corrective Action Plan – The Organization agrees with this finding. The Chief Financial Officer in collaboration with the Finance Associate and the Financial Consultant will set a calendar at the end of the fiscal year to ensure timely closeout of the books that will allow ample time to engage and complete the audit prior to the deadline for the FAC filing.
Finding 2021-002: Late Submission of Single Audit Federal Agency:U.S. Department of Agriculture pass through CA Department of Education ALN Number: 10.558, 10.559 Federal Program: Child and Adult Care Food Program, Summer Food Service Program Requirement: Reporting-Single Audit Report Year:2021 Type of Finding: Material Noncompliance and Material Weakness Criteria: PART 200 - Uniform Administrative Requirements, Cost Principles, And Audit Requirements For Federal Awards Subpart F - Audit Requirements. (a) Audit required. A non-Federal entity that expends $750,000 or more during the non-Federal entity's fiscal year in Federal awards must have a single or program-specific audit conducted for that year in accordance with the provisions of this part. Part 200 - Uniform Administrative Requirements, Cost Principles, And Audit Requirements For Federal Awards. 2 CFR § 200.512 - Report submission, states in part: (a) General (1) 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 auditor's report(s), or nine months after the end of the audit period. If the due date falls on a Saturday, Sunday, or Federal holiday, the reporting package is due the next business day. The Organization received communication from the California Department of Education indicating that the organization had federal fund expenditures of $750,000 or more during Fiscal Years FY2021-22 and FY2022-23 and is required to complete and submit annual audits. If J-Tech Institute, Inc. does not submit their annual organization-wide contract audit report or program-specific audit reports for FY2021-22 and FY2022-23 to the CDE and the FAC by October 9, 2025, the CDE will determine that J-Tech Institute, Inc. is seriously deficient in their operation of the SFSP in accordance with 7 CFR, Section 225.11(c). An extension was granted through December 1, 2025, per the Organization’s request. Condition: As of the date of this report, the Organization is late with its submission of the single audit report. Cause: The Organization did not have an adequate internal control system and procedures in place to ensure timely completion and submission of required single audit. Effect: The Organization exposes itself to the risk of granting agencies withholding funding for not completing and submitting the required Single Audit Report in a timely manner. Recommendation: We request the Organization to introduce additional controls to ensure annual single audits are completed as required in a timely manner. We recommend program management be more diligent in following its procedures and internal controls related to contracts in order to ensure compliance with applicable Federal and State requirements. Views of Responsible Officials: The Organization concurs with the finding and has introduced additional procedures in place as outlined in the Corrective Action Plan to ensure compliance with the requirements.
Finding 2021-001 – Reporting (Significant Deficiency in Internal Control Over Compliance and Instance of Noncompliance) (See chart) Criteria – Per 2 CFR 200.512, the data collection form must be submitted within nine months after the end of the audit period. Additionally, the Medical Center is required to maintain a structure of internal controls to ensure compliance with applicable reporting requirements. Condition/Context – More time was needed to prepare for the single audit and ensure that the Schedule of Expenditures of Federal Awards (SEFA) was accurate and complete. Effect – The single audit was completed after the data collection form deadline. Cause – Factors contributing to the condition included the high volume of activity related to the new COVID-19 programs, the evolving guidance related to the programs, and the additional time needed to address compliance questions. Repeat Finding – This is not a repeat finding. Recommendation – We recommend the Medical Center develop and implement a review process throughout the year to ensure compliance with reporting requirements as outlined in Uniform Guidance, as applicable. Views of Responsible Officials – The responsible officials acknowledge the finding and concur with the recommendation. None to be reported.
I NOTED THAT THE NVU DID NOT SUBMIT THEIR AUDIT WITHIN 9 MONTHS OF YEAR END. PER 2CFR SECTION 200.512, THE NVU MUST SUBMIT THEIR AUDIT TIMELY. FINAL ACCOUNTING ADJUSTMENTS WERE NOT MADE IN TIME TO COMPLETE THE AUDIT ON TIME. AUDIT WAS LATE. THIS WAS NOT A REPEAT FINDING.
I NOTED THAT THE NVU DID NOT SUBMIT THEIR AUDIT WITHIN 9 MONTHS OF YEAR END. PER 2CFR SECTION 200.512, THE NVU MUST SUBMIT THEIR AUDIT TIMELY. FINAL ACCOUNTING ADJUSTMENTS WERE NOT MADE IN TIME TO COMPLETE THE AUDIT ON TIME. AUDIT WAS LATE. THIS WAS NOT A REPEAT FINDING.
I NOTED THAT THE NVU DID NOT SUBMIT THEIR AUDIT WITHIN 9 MONTHS OF YEAR END. PER 2CFR SECTION 200.512, THE NVU MUST SUBMIT THEIR AUDIT TIMELY. FINAL ACCOUNTING ADJUSTMENTS WERE NOT MADE IN TIME TO COMPLETE THE AUDIT ON TIME. AUDIT WAS LATE. THIS WAS NOT A REPEAT FINDING.
I NOTED THAT THE NVU DID NOT SUBMIT THEIR AUDIT WITHIN 9 MONTHS OF YEAR END. PER 2CFR SECTION 200.512, THE NVU MUST SUBMIT THEIR AUDIT TIMELY. FINAL ACCOUNTING ADJUSTMENTS WERE NOT MADE IN TIME TO COMPLETE THE AUDIT ON TIME. AUDIT WAS LATE. THIS WAS NOT A REPEAT FINDING.
I NOTED THAT THE NVU DID NOT SUBMIT THEIR AUDIT WITHIN 9 MONTHS OF YEAR END. PER 2CFR SECTION 200.512, THE NVU MUST SUBMIT THEIR AUDIT TIMELY. FINAL ACCOUNTING ADJUSTMENTS WERE NOT MADE IN TIME TO COMPLETE THE AUDIT ON TIME. AUDIT WAS LATE. THIS WAS NOT A REPEAT FINDING.
Criteria: 2 CFR 200.512 requires that an entity’s single audit is to be submitted the earlier of thirty days after the receipt of the auditor’s report or nine months after the end of the audit period to the Federal Audit Clearinghouse (FAC). Condition: The Women’s Coalition of St. Croix’s audited financial statements for the September 30, 2021, year-end was not submitted to the Federal Audit Clearing House within the stipulated nine months after year-end. Questioned Costs: $0 Context: This is a condition identified based on review of Uniform Guidance requirements and the grant agreements. Effect: The project is not in compliance with reporting compliance of the Office of Management and Budget for non-profit, state and local government entities. Cause: There were transitions in financial personnel during and after year-end, which resulted in delays in the audit process. Recommendation: We recommend that the Women’s Coalition of St. Croix meets the reporting deadline by establishing an audit timeline to ensure that the reporting package is submitted to the FAC annually within the required timeframe. Views of Responsible Management Officials and Corrective Action Plan: Management concurs with finding. See Section IV- Current Year Corrective Action Plan.
Criteria: 2 CFR 200.512 requires that an entity’s single audit is to be submitted the earlier of thirty days after the receipt of the auditor’s report or nine months after the end of the audit period to the Federal Audit Clearinghouse (FAC). Condition: The Women’s Coalition of St. Croix’s audited financial statements for the September 30, 2021, year-end was not submitted to the Federal Audit Clearing House within the stipulated nine months after year-end. Questioned Costs: $0 Context: This is a condition identified based on review of Uniform Guidance requirements and the grant agreements. Effect: The project is not in compliance with reporting compliance of the Office of Management and Budget for non-profit, state and local government entities. Cause: There were transitions in financial personnel during and after year-end, which resulted in delays in the audit process. Recommendation: We recommend that the Women’s Coalition of St. Croix meets the reporting deadline by establishing an audit timeline to ensure that the reporting package is submitted to the FAC annually within the required timeframe. Views of Responsible Management Officials and Corrective Action Plan: Management concurs with finding. See Section IV- Current Year Corrective Action Plan.
Finding Number: 2021-006; Finding Type: Federal award finding; Federal Assistance Listing No.: 1) 16.556, 2) 93.665; Program Name: 1) State Domestic Violence and Sexual Assault Coalitions, 2) COVID-19 Emergency Grants to Address Mental and Substance Use Disorders During COVID-19; Federal Agency: 1) U.S. Depart-ment of Justice, 2) U.S. Department of Health and Human Services; Pass-Through Entity: 1) ALN 16.556: n/a., 2) ALN 93.665: Oregon Health Authority; Grant Number: 1) 2019-MU-AX-0017, 2) 167045; Federal Award Year: 2021; Control Deficiency Type: Significant deficiency in internal controls over compliance; Instance of Noncompliance: Yes; Compliance Requirement: Reporting; Questioned Costs: None; Repeat Finding: No; Criteria: In accordance with the requirements of CFR §200.512, the audit shall be completed and the data collection form and reporting package shall be submitted to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report, or nine months after the end of the audit period. Condition: The Coalition did not electronically submit its September 30, 2021 Single Audit reporting package to the Federal Clearinghouse within the required time period. Cause: The organization’s 2021 accounting records were not closed in a timely matter, and the audit was not completed prior to the data collection form due date. Effect: The Coalition did not comply with CFR §200.512. The late submission results in non-compliance for all federal programs. Audit Recommendation: We recommend that management implement procedures to ensure that all required reporting is submitted in a timely manner and in accordance with CFR §200.512 deadlines. Management’s Response: During this time, the Coalition went through several temporary fiscal staff and one permanent hired staff that had made mistakes, with the effect of having to make adjustments in order to attempt to close accounting records. Controls have been put into place and permanent accounting manager is in place.
Finding Number: 2021-006; Finding Type: Federal award finding; Federal Assistance Listing No.: 1) 16.556, 2) 93.665; Program Name: 1) State Domestic Violence and Sexual Assault Coalitions, 2) COVID-19 Emergency Grants to Address Mental and Substance Use Disorders During COVID-19; Federal Agency: 1) U.S. Depart-ment of Justice, 2) U.S. Department of Health and Human Services; Pass-Through Entity: 1) ALN 16.556: n/a., 2) ALN 93.665: Oregon Health Authority; Grant Number: 1) 2019-MU-AX-0017, 2) 167045; Federal Award Year: 2021; Control Deficiency Type: Significant deficiency in internal controls over compliance; Instance of Noncompliance: Yes; Compliance Requirement: Reporting; Questioned Costs: None; Repeat Finding: No; Criteria: In accordance with the requirements of CFR §200.512, the audit shall be completed and the data collection form and reporting package shall be submitted to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report, or nine months after the end of the audit period. Condition: The Coalition did not electronically submit its September 30, 2021 Single Audit reporting package to the Federal Clearinghouse within the required time period. Cause: The organization’s 2021 accounting records were not closed in a timely matter, and the audit was not completed prior to the data collection form due date. Effect: The Coalition did not comply with CFR §200.512. The late submission results in non-compliance for all federal programs. Audit Recommendation: We recommend that management implement procedures to ensure that all required reporting is submitted in a timely manner and in accordance with CFR §200.512 deadlines. Management’s Response: During this time, the Coalition went through several temporary fiscal staff and one permanent hired staff that had made mistakes, with the effect of having to make adjustments in order to attempt to close accounting records. Controls have been put into place and permanent accounting manager is in place.
2021-004 — Late Audit Report Federal program information: Funding agency: All Title: All ALN: All Award period: Various Criteria: According to 2 CFR Part 200.512, the annual single audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (June 30, 2022). Condition: CBNHC’s fiscal year 2021 single audit reporting package was not submitted by the due date of June 30, 2022. Context: N/A Questioned Costs: None Cause: CBNHC was significantly impacted by the COVID-19 pandemic, which caused significant delays in completion of the year-end reconciliations of the financial statements and the schedule of expenditures of federal awards. Effect: CBNHC was unable to completely reconcile certain general ledger accounts timely, which resulted in significant audit adjustments. As a result, the audit started late and was not issued within the reporting deadline. Auditor’s Recommendations: The Accounting department should be analyzed, and functions/duties re-assigned and/or additional personnel hired to ensure that monthly and annual account reconciliations are performed timely to ensure that the data collection form and reporting package are submitted by the due date. Management’s Response: As documented in response to finding 2021-001, a timeline was produced to demonstrate that CBNHC was extremely short-staffed, which caused it to fall behind in its accounting functions. CBNHC continued to experience operational disruptions caused by turnover of key administrative positions and the COVID-19 pandemic. The reconciliation of the general ledger and closing of the financials fell behind. CBNHC subsequently relied on an accounting consultant to assist in reconciling its books and preparing its financial statements. However, there were limitations in CBNHC’s ability to reconcile its specialized medical insurance billings and PRC program expenditures due to lack of knowledge of the health care management system, namely the Resource Patient Management System (RPMS). CBNHC has since hired RPMS experienced personnel and is current in managing the monthly close of the patient financial system. CBNHC will continue with a late audit report finding for fiscal year 2022, with the goal of being on track for its fiscal year 2023 reporting.
2021-004 — Late Audit Report Federal program information: Funding agency: All Title: All ALN: All Award period: Various Criteria: According to 2 CFR Part 200.512, the annual single audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (June 30, 2022). Condition: CBNHC’s fiscal year 2021 single audit reporting package was not submitted by the due date of June 30, 2022. Context: N/A Questioned Costs: None Cause: CBNHC was significantly impacted by the COVID-19 pandemic, which caused significant delays in completion of the year-end reconciliations of the financial statements and the schedule of expenditures of federal awards. Effect: CBNHC was unable to completely reconcile certain general ledger accounts timely, which resulted in significant audit adjustments. As a result, the audit started late and was not issued within the reporting deadline. Auditor’s Recommendations: The Accounting department should be analyzed, and functions/duties re-assigned and/or additional personnel hired to ensure that monthly and annual account reconciliations are performed timely to ensure that the data collection form and reporting package are submitted by the due date. Management’s Response: As documented in response to finding 2021-001, a timeline was produced to demonstrate that CBNHC was extremely short-staffed, which caused it to fall behind in its accounting functions. CBNHC continued to experience operational disruptions caused by turnover of key administrative positions and the COVID-19 pandemic. The reconciliation of the general ledger and closing of the financials fell behind. CBNHC subsequently relied on an accounting consultant to assist in reconciling its books and preparing its financial statements. However, there were limitations in CBNHC’s ability to reconcile its specialized medical insurance billings and PRC program expenditures due to lack of knowledge of the health care management system, namely the Resource Patient Management System (RPMS). CBNHC has since hired RPMS experienced personnel and is current in managing the monthly close of the patient financial system. CBNHC will continue with a late audit report finding for fiscal year 2022, with the goal of being on track for its fiscal year 2023 reporting.
2021-004 — Late Audit Report Federal program information: Funding agency: All Title: All ALN: All Award period: Various Criteria: According to 2 CFR Part 200.512, the annual single audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (June 30, 2022). Condition: CBNHC’s fiscal year 2021 single audit reporting package was not submitted by the due date of June 30, 2022. Context: N/A Questioned Costs: None Cause: CBNHC was significantly impacted by the COVID-19 pandemic, which caused significant delays in completion of the year-end reconciliations of the financial statements and the schedule of expenditures of federal awards. Effect: CBNHC was unable to completely reconcile certain general ledger accounts timely, which resulted in significant audit adjustments. As a result, the audit started late and was not issued within the reporting deadline. Auditor’s Recommendations: The Accounting department should be analyzed, and functions/duties re-assigned and/or additional personnel hired to ensure that monthly and annual account reconciliations are performed timely to ensure that the data collection form and reporting package are submitted by the due date. Management’s Response: As documented in response to finding 2021-001, a timeline was produced to demonstrate that CBNHC was extremely short-staffed, which caused it to fall behind in its accounting functions. CBNHC continued to experience operational disruptions caused by turnover of key administrative positions and the COVID-19 pandemic. The reconciliation of the general ledger and closing of the financials fell behind. CBNHC subsequently relied on an accounting consultant to assist in reconciling its books and preparing its financial statements. However, there were limitations in CBNHC’s ability to reconcile its specialized medical insurance billings and PRC program expenditures due to lack of knowledge of the health care management system, namely the Resource Patient Management System (RPMS). CBNHC has since hired RPMS experienced personnel and is current in managing the monthly close of the patient financial system. CBNHC will continue with a late audit report finding for fiscal year 2022, with the goal of being on track for its fiscal year 2023 reporting.
2021-004 — Late Audit Report Federal program information: Funding agency: All Title: All ALN: All Award period: Various Criteria: According to 2 CFR Part 200.512, the annual single audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (June 30, 2022). Condition: CBNHC’s fiscal year 2021 single audit reporting package was not submitted by the due date of June 30, 2022. Context: N/A Questioned Costs: None Cause: CBNHC was significantly impacted by the COVID-19 pandemic, which caused significant delays in completion of the year-end reconciliations of the financial statements and the schedule of expenditures of federal awards. Effect: CBNHC was unable to completely reconcile certain general ledger accounts timely, which resulted in significant audit adjustments. As a result, the audit started late and was not issued within the reporting deadline. Auditor’s Recommendations: The Accounting department should be analyzed, and functions/duties re-assigned and/or additional personnel hired to ensure that monthly and annual account reconciliations are performed timely to ensure that the data collection form and reporting package are submitted by the due date. Management’s Response: As documented in response to finding 2021-001, a timeline was produced to demonstrate that CBNHC was extremely short-staffed, which caused it to fall behind in its accounting functions. CBNHC continued to experience operational disruptions caused by turnover of key administrative positions and the COVID-19 pandemic. The reconciliation of the general ledger and closing of the financials fell behind. CBNHC subsequently relied on an accounting consultant to assist in reconciling its books and preparing its financial statements. However, there were limitations in CBNHC’s ability to reconcile its specialized medical insurance billings and PRC program expenditures due to lack of knowledge of the health care management system, namely the Resource Patient Management System (RPMS). CBNHC has since hired RPMS experienced personnel and is current in managing the monthly close of the patient financial system. CBNHC will continue with a late audit report finding for fiscal year 2022, with the goal of being on track for its fiscal year 2023 reporting.
2021-004 — Late Audit Report Federal program information: Funding agency: All Title: All ALN: All Award period: Various Criteria: According to 2 CFR Part 200.512, the annual single audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (June 30, 2022). Condition: CBNHC’s fiscal year 2021 single audit reporting package was not submitted by the due date of June 30, 2022. Context: N/A Questioned Costs: None Cause: CBNHC was significantly impacted by the COVID-19 pandemic, which caused significant delays in completion of the year-end reconciliations of the financial statements and the schedule of expenditures of federal awards. Effect: CBNHC was unable to completely reconcile certain general ledger accounts timely, which resulted in significant audit adjustments. As a result, the audit started late and was not issued within the reporting deadline. Auditor’s Recommendations: The Accounting department should be analyzed, and functions/duties re-assigned and/or additional personnel hired to ensure that monthly and annual account reconciliations are performed timely to ensure that the data collection form and reporting package are submitted by the due date. Management’s Response: As documented in response to finding 2021-001, a timeline was produced to demonstrate that CBNHC was extremely short-staffed, which caused it to fall behind in its accounting functions. CBNHC continued to experience operational disruptions caused by turnover of key administrative positions and the COVID-19 pandemic. The reconciliation of the general ledger and closing of the financials fell behind. CBNHC subsequently relied on an accounting consultant to assist in reconciling its books and preparing its financial statements. However, there were limitations in CBNHC’s ability to reconcile its specialized medical insurance billings and PRC program expenditures due to lack of knowledge of the health care management system, namely the Resource Patient Management System (RPMS). CBNHC has since hired RPMS experienced personnel and is current in managing the monthly close of the patient financial system. CBNHC will continue with a late audit report finding for fiscal year 2022, with the goal of being on track for its fiscal year 2023 reporting.
2021-004 — Late Audit Report Federal program information: Funding agency: All Title: All ALN: All Award period: Various Criteria: According to 2 CFR Part 200.512, the annual single audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period (June 30, 2022). Condition: CBNHC’s fiscal year 2021 single audit reporting package was not submitted by the due date of June 30, 2022. Context: N/A Questioned Costs: None Cause: CBNHC was significantly impacted by the COVID-19 pandemic, which caused significant delays in completion of the year-end reconciliations of the financial statements and the schedule of expenditures of federal awards. Effect: CBNHC was unable to completely reconcile certain general ledger accounts timely, which resulted in significant audit adjustments. As a result, the audit started late and was not issued within the reporting deadline. Auditor’s Recommendations: The Accounting department should be analyzed, and functions/duties re-assigned and/or additional personnel hired to ensure that monthly and annual account reconciliations are performed timely to ensure that the data collection form and reporting package are submitted by the due date. Management’s Response: As documented in response to finding 2021-001, a timeline was produced to demonstrate that CBNHC was extremely short-staffed, which caused it to fall behind in its accounting functions. CBNHC continued to experience operational disruptions caused by turnover of key administrative positions and the COVID-19 pandemic. The reconciliation of the general ledger and closing of the financials fell behind. CBNHC subsequently relied on an accounting consultant to assist in reconciling its books and preparing its financial statements. However, there were limitations in CBNHC’s ability to reconcile its specialized medical insurance billings and PRC program expenditures due to lack of knowledge of the health care management system, namely the Resource Patient Management System (RPMS). CBNHC has since hired RPMS experienced personnel and is current in managing the monthly close of the patient financial system. CBNHC will continue with a late audit report finding for fiscal year 2022, with the goal of being on track for its fiscal year 2023 reporting.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Finding Number: 2021-001 Federal Programs: All federal financial assistance programs. Category: Internal Control/Compliance - Material Weakness Compliance Requirement: Reporting - Data Collection Form Condition: The Office of the Advocate for the Elderly of the Commonwealth of Puerto Rico (OAE) submitted the data collection form for the year ended September 30, 2020, to Federal Clearinghouse after its due date. Also, the current single audit for the year ended September 30, 2021, is being completed and submitted after the corresponding date. Criteria: 2 CFR Part 200, Subpart C, Section 200.512 established that the audit shall be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section shall be submitted within the earlier of 30 days after receipt of the auditor's report(s), 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. Unless restricted by law or regulation, the auditee shall make copies available for public inspection. Cause: OAE's Single Audit Report for fiscal year 2020 was submitted on January 12, 2023. The main causes were recurrent delays in engaging the auditors and general planning of the process and the extended disruptions caused by COVID-19. For fiscal year 2021, the main causes were the delays experienced in the contract process to engage the external auditors and delays in retrieving the relevant support documents in custody of the Puerto Rico Department of Treasury. All the disbursements are processed by the subject Department. Effect: OAE may be subject to sanction, as described in the Uniform Guidance, Section 225 titled "Sanctions", in cases of continued inability to have an audit conducted in accordance with this part, Federal agencies and pass-through entities shall take appropriate actions using sanctions such as: (a) withholding a percentage of federal award until the audit is completed satisfactorily; (b) withholding or disallowing overhead cost; (c) suspending federal award until the audit is conducted; or (d) terminating the federal award. Questioned Cost: None. Recommendation: We recommend management to formalize a plan to monitor the single audit process, including the engagement of the external auditors, the completion of all required steps, including the access to the required documentation, as well as an itinerary of every relevant step to perform, complete and submit single audit during the required period. Management Response: Management agrees with the observation. Management recognizes that a delay will be experienced with respect to 2021. However, Management adopted a plan to reduce the delay for 2022 and to comply with the deadlines for the years after 2022.
Statement of Condition: The Single Audit reporting package and data collection form for the year ended September 30, 2021, was not filed by the deadline of June 30, 2022, to the Federal Audit Clearinghouse. Criteria: In accordance with 2 CFR Section 200.512(a), the audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period, adjusted for any extensions permitted by the Office of Management and Budget. Effect of Condition: The Single Audit reporting package and data collection form for the year ended September 30, 2021, was not accessible on the Federal Audit Clearinghouse in a timely manner. Cause of Condition: The portion of the Single Audit Reporting Package relating to the grant award testing and the schedule of expenditures of federal awards (SEFA), and preparation and submission of the Data Collection Form was not completed in sufficient time due to turnover in the organization’s finance department as well as COVID-related issues which caused delays in completing the audit and testing of the SEFA. Further, some additional grant testing procedures were required to be performed by the audit team that occurred after the required or extended due date. Recommendation: We recommend the organization work closely with the audit firm to ensure that the single audit reporting package is issued by the deadline or within a federally approved extended date along with submitting the required data collection form with the Federal Audit Clearinghouse. Views of Responsible Officials: The organization agrees with the finding. Please refer to corrective action plan on page 44.
Statement of Condition: The Single Audit reporting package and data collection form for the year ended September 30, 2021, was not filed by the deadline of June 30, 2022, to the Federal Audit Clearinghouse. Criteria: In accordance with 2 CFR Section 200.512(a), the audit must be completed and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period, adjusted for any extensions permitted by the Office of Management and Budget. Effect of Condition: The Single Audit reporting package and data collection form for the year ended September 30, 2021, was not accessible on the Federal Audit Clearinghouse in a timely manner. Cause of Condition: The portion of the Single Audit Reporting Package relating to the grant award testing and the schedule of expenditures of federal awards (SEFA), and preparation and submission of the Data Collection Form was not completed in sufficient time due to turnover in the organization’s finance department as well as COVID-related issues which caused delays in completing the audit and testing of the SEFA. Further, some additional grant testing procedures were required to be performed by the audit team that occurred after the required or extended due date. Recommendation: We recommend the organization work closely with the audit firm to ensure that the single audit reporting package is issued by the deadline or within a federally approved extended date along with submitting the required data collection form with the Federal Audit Clearinghouse. Views of Responsible Officials: The organization agrees with the finding. Please refer to corrective action plan on page 44.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.
2021-003 All Federal Programs - Compliance - Data Collection Form Criteria: The audit package and the data collection form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor's report(s), or 9 months after the end of the fiscal year —whichever comes first in accordance with the regulation found in the Uniform Guidance 2 CFR 200.512(a). Condition Found: The County did not submit the data collection form to the Federal Clearinghouse Single Audit by the required due date, June 30, 2022, in accordance with the federal requirements. Cause: The County fell behind in completing its financial reporting duties. Several factors contributed to the County missing crucial reporting deadlines. The ongoing pandemic exacerbated the County’s situation. The prior audit was not completed until August 2023. Effect: The County is not in compliance with federal requirements. Questioned Costs/Basis: N/A. Context: One out of one required submissions for FY 2021 and future submissions applicable to FY 2022 and 2023. Repeat Finding: Yes. 2020-004. Recommendation: We recommend the County submit the data collection form upon completion of the audit for the fiscal year ended September 30, 2021 and make a plan to get up to date on all subsequent submissions. Management Response: The County intends to submit the data collection form upon completion of the 2021 Audit and will continue to work towards getting up to date on all subsequent submissions.