Findings Citing § 200.512

Assistance Listing (Federal award identification number and year): LIHPRHA Capital Grant, Assistance Listing No. 14.122, 122-44641 and 1996 Auditor non-compliance code: Z - Other Finding resolution status: In process Universe population size: The universe population size is not applicable to the finding. Sample size information: The sample size information is not applicable to the finding. Statistically valid sample: N/A Name of Federal agency: U.S. Department of Housing and Urban Development Pass-through entity: N/A Questioned costs: N/A Statement of condition 2024-002: The Corporation has not submitted audited financial statements to the Federal Audit Clearinghouse after the receipt of the auditor's reports. Criteria: Pursuant to 2 CFR 200.512(a), the Corporation is required to electronically submit audited financial statements to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Effect: The Corporation is not in compliance with the federal reporting requirements. Cause: The requirement was not communicated to management by previous auditors. Recommendation: The Corporation should submit audited financial statements to the Federal Audit Clearinghouse within the time frames required. Management's response: Management concurs with the finding and agrees with the auditor's recommendation. The audited financial statements will be submitted to the Federal Audit Clearinghouse on a go forward basis.

Significant Deficiency: Condition: The Airport did not submit the data collection form to the Federal Audit Clearinghouse (FAC) timely. Context and Criteria: As required by 2 CFR section 200.512, the data collection form must be submitted to the FAC 30 calendar days after the auditee receives the auditor’s report or nine months after the end of the audit period (whichever is earlier). Cause: The Airport was unable to contract with an independent auditor in time to meet the requirement. Effect: The Airport did not comply with 2 CFR section 200.512 for timely report submission. Recommendation: Procedures should be put in place to ensure audit reports and the data collection form are submitted to the FAC timely. View of Responsible Officials and Planned Corrective Actions: Airport management will ensure audit reports and the data collection form are submitted to the FAC timely.

Finding 2024-010: Material Weakness in Internal Control and Noncompliance, Late Issuance of the 2024 Single Audit Reporting Package to the Federal Audit Clearinghouse Assistance Listing Program Title and Number: COVID-19 – Coronavirus State and Local Fiscal Recovery Funds (ALN# 21.027), Airport Improvement Program, Infrastructure Investment and Job Act Programs, and COVID-19 Airports Programs (20.106), Title I Grants to Local Educational Agencies (84.010A), Special Education Cluster (IDEA) (84.027, 84.173), Child Nutrition Cluster (10.553, 10.555, 10.559), COVID-19 – Educational Stabilization Funds (84.425D, 84.425U), CDBG Entitlement/Special Purpose Grants Cluster (14.218) Federal Agency: U.S. Department of Treasury, U.S. Department of Transportation, U.S. Department of Education, U.S. Department of Agriculture, U.S. Department of Housing and Urban Development Pass-through Entity: State of Connecticut Department of Education (COVID-19 – Coronavirus State and Local Fiscal Recovery Funds, Child Nutrition Cluster, Title I Grants to Local Educational Agencies, Special Education Cluster (IDEA), and Education Stabilization Funds) Award year: 2022-2023 and 2023-2024 Criteria or specific requirement: Uniform Guidance 2 CFR 200.512(a) requires that each organization’s audit must be completed and the data collection form and reporting package should be submitted 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 Single Audit packages for the City’s fiscal years ended June 30, 2024, June 30, 2023 and June 30, 2022 should have been submitted to the Federal Audit Clearinghouse by March 31, 2025, March 31, 2024 and March 31, 2023, respectively. The City missed the filing deadlines, making the filings for 2024, 2023 and 2022, late. Cause: The cause is the lack of effective controls over financial reporting resulting in delays in both the Financial Statement Audit and Single Audit. Effect: This can result in disallowance of expenditures / future awards by the grantor due to lack of proper reporting. In addition, late filings result in noncompliance with the requirements of the Uniform Guidance and makes the City ineligible for consideration as a low risk auditee under Uniform Guidance, expanding the scope and cost of the single audit. Context: The June 30, 2024, 2023 and 2022 Single Audit packages. Questioned Costs: None Repeat Finding: 2023-002 Recommendation: We recommend the City evaluate the process and design of internal controls over financial reporting, including the SEFA and SESA, in order to ensure readiness for the audit and to avoid late filing of the data collection form. Views of Responsible Officials: Management agrees with the finding.

Criteria: Per guidance provided in 2 CFR part 200.512, 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(s), or nine months after the end of the audit period. A six-month extension was provided for submission of the data collection form and reporting package for the reporting period. Condition: The financial statement audit was not completed within the allowed timeframe and the data collection form and reporting package were not submitted timely. Cause: The delay was caused by limited staffing and competing operational priorities. Effect: CCUIH filed a late submission of the data collection form and reporting package for the audit period. Recommendation: Management should implement procedures to ensure all required reports are prepared, reviewed, and submitted timely.

DEPARTMENT OF HUMAN SERVICES SUBRECIPIENT MONITORING Significant Deficiency Immaterial Noncompliance 2024-039 Strengthen Controls over Subrecipient Monitoring to Ensure Compliance with Uniform Guidance Auditing Requirements. ALN Number(s) 93.558 Temporary Assistance for Needy Families (TANF) 93.489, 93.575, 93.596 Child Care Development Fund (CCDF) 93.568 Low Income Household Energy Assistance Program (LIHEAP) Federal Award No. All Current Active Grants Questioned Costs N/A Criteria Code of Federal Regulations (2 CFR 200.512(a)(1)) 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. Code of Federal Regulations (2 CFR 200.332(d)(2)) states all pass-through entities must monitor the activities of the subrecipient as necessary to ensure that the subaward is used for authorized purposes, in compliance with Federal statutes, regulations, and the terms and conditions of the subaward; and that subaward performance goals are achieved. Pass-through entity monitoring of the subrecipient must include following-up and ensuring that the subrecipient takes timely and appropriate action on all deficiencies pertaining to the Federal award provided to the subrecipient from the pass-through entity detected through audits, on-site reviews, and written confirmation from the subrecipient, highlighting the status of actions planned or taken to address Single Audit findings related to the particular subaward. Code of Federal Regulations (2 CFR 200.332(f)) states all pass-through entities must verify that every subrecipient is audited as required by Subpart F of this part when it is expected that the subrecipient's Federal awards expended during the respective fiscal year equaled or exceeded the threshold set forth in 200.501. Condition When performing testwork related to OMB Single Audit Monitoring as of June 30, 2024, the auditor noted the following: • Four instances (or 33.33 percent) in which there was no documentation of communication between the agency and the subrecipient regarding audit reports that had not been received within nine months of the subrecipients fiscal year-end. • One instance (or 8 percent) in which there was no documentation that a corrective action plan was provided. Cause Staff were either unaware or did not follow identified policies and procedures for monitoring requirements. Effect Failure to properly monitor subrecipients could allow noncompliance with federal regulations to occur and go undetected, potentially resulting in fraud, waste, and abuse within the agency. Recommendation We recommend the Mississippi Department of Human Services' Division of Program Integrity - Division of Monitoring (DM) strengthen controls over subrecipient monitoring for Uniform Guidance audits to ensure recipients expending $750,000 or more in Federal funds during their fiscal year are meeting Uniform Guidance Audit requirements. Repeat Finding Yes, 2023-018, 2022-018, and 2021-014. Statistically Valid Yes.

Finding 2024-002 Late Reporting and Noncompliance with Reporting Requirements Federal Agency: U.S. Department of the Treasury Federal Program: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Award Number: AK0016-N Award Year: 2023 Type of Finding: Material weakness in internal control over compliance and material noncompliance Criteria: Uniform Guidance requires that the reporting package must be submitted within the earlier of nine months after year end or 30 days after the report issuance in accordance with the provisions of 2 CFR Section 200, subpart F, section 200.512. Condition and Context: The City did not adhere to the Uniform Guidance requirement of submitting the reporting package within the earlier of 30 days after receipt of the audit report or nine months after the audit period. Cause: Lack of internal control over Uniform Guidance reporting requirements. Effect: The City was not in compliance with reporting requirements. Questioned Costs: None. Repeat Finding: Yes, this is a repeat of Finding 2023-004. Since it is a repeat finding we believe this to be a systemic issue. Recommendation: We recommend that the City comply with Uniform Guidance reporting requirements. Management’s Response: Management concurs with this finding. See corrective action plan

Finding 2024-2 – Late Filing of Required Reporting of Federal Awards Type of Finding: Material Weakness; Noncompliance U.S. Department of Health and Human Services, passed through New Jersey Department of Human Services Block Grants for Prevention and Treatment of Substance Abuse Assistance Listing No. 93.959. Condition: The Organization’s Data Collection Form and reporting package were not submitted to the Federal Clearinghouse within the required timeframe of the earlier of 30 days after receipt of the audit report or nine months after fiscal year end. Criteria: In accordance with 2 CFR §200.512, a non-Federal entity that expends $750,000 or more in Federal awards during its fiscal year is required to have a single audit conducted. The Data Collection Form and reporting package, including the audited financial statements and single audit reports, must be submitted to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditors' report or nine months after fiscal year end. Cause: The Organization did not have sufficient procedures in place to ensure that all information necessary to complete the audit was prepared and provided in a timely manner, resulting in delayed submission to the Federal Audit Clearinghouse. Effect: The Organization is not in compliance with the reporting requirements of 2 CFR §200.512, which could affect future funding. Recommendation: We recommend the Organization strengthen its year-end closing and audit preparation procedures and establish controls to ensure timely submission of the federal single audit reporting package. Views of Responsible Officials and Planned Corrective Actions: Due in part to delays from the Organization’s prior auditor addressed in the Corrective Action Plan for the June 30, 2023 audit, the 2024 and 2025 audits were significantly delayed. Management has already taken steps to strengthen controls for year-end closing and audit preparation procedures to ensure timely submission of the federal single audit reporting package. These steps included replacing the Chief Financial Officer and engaging an accounting firm to assist with the closing process. Furthermore, the Organization is working quickly to complete the 2025 audit to bring federal reporting fully up to date. Lastly, the Organization is updating its accounting procedures manual to reflect these improved practices.

Reference Number – 2024-001 – Significant Deficiency in Internal Control over Compliance and Compliance with Reporting – Remittance of Audit Reporting Package Criteria The Code of Federal Regulations (CFR) 45 CFR 75.303, Internal Controls, states, in part, “The non-Federal entity must: Establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework” issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO)…” 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. Condition The reporting package and data collection form for the year ended June 30, 2024, were not filed by the deadline of March 31, 2025, to the Federal Audit Clearinghouse. Cause Although the schedule and notes thereto were prepared accurately and timely, additional time was required to comply fully with reporting on, and audit of, compliance requirements of the federal award programs. Effect or Potential Effect The reporting package and data collection form for the year ended June 30, 2024, were not submitted to the Federal Audit Clearinghouse in a timely manner. Questioned Costs None Context The reporting package and data collection form for the year ended June 30, 2024, were submitted to the Federal Audit Clearinghouse after the due date of March 31, 2025. Repeat Finding No Recommendation We recommend the System Fund adopt policies and procedures, including tracking and monitoring of reporting requirements, to ensure that the audit, reporting package, and data collection form are electronically filed with the Federal Audit Clearinghouse within the applicable deadline.

Finding Number: 2024-004 Repeat Finding: Yes, prior year finding 2023-004. Program Name/Assistance Listing Title: Indian School Equalization Program Assistance Listing Number: 15.042 Federal Agency: U.S. Department of the Interior Federal Award Number: A23AV00827 Questioned Costs: None Type of Finding: Noncompliance, Material Weakness Compliance Requirement: L. Reporting Criteria: 2 CFR § 200.512(a) provides, in part: "The audit must be completed and the data collection form ... 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." 2 CFR § 200.520 provides, in part: "That to qualify as a low-risk auditee and be eligible for reduced audit coverage the following condition must be met: Single audits were performed on an annual basis in accordance with the provisions of this Subpart, including submitting the data collection form and the reporting package to the FAC within the timeframe specified in § 200.512." Condition: The School did submit their audit for the fiscal year ending June 30, 2024 timely. The audit was submitted May 1, 2026, which was 396 days past the March 31, 2025 deadline. Effect: Not making all audit documentation available in a timely manner resulted in the audit and data collection form submissions to be late and, therefore, not available to the public within the required timeframe. This late submission also excludes the School from qualifying as a low-risk auditee. Cause: Management did not provide the trial balance until 14 months after the end of the fiscal year and five months after the federal reporting deadline. Throughout the audit process, management continuously refused to provide the requested information for the expenditure testing related to federal programs. Recommendation: The School should implement procedures to ensure that all audit documentation is available for the audit in a timely manner and the audit report is completed and submitted within the appropriate timeframe. View of Responsible Official: The School’s corrective action plan presented in a separate document includes the views and planned corrective action of its responsible officials. We are not required to and have not audited these responses and planned corrective actions and therefore provide no assurances as to their accuracy.

2024-008 - Late Submission of Single Audit Reporting Package and Data Collection Form Finding Type: Noncompliance. Criteria: The Uniform Guidance (2 CFR 200.512(a)(1)) requires that the audit, data collection form, and reporting package be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the end of the audit period. For the fiscal year ended June 30, 2024, the required submission deadline was March 31, 2025. Condition: The City did not submit the data collection form and reporting package to the Federal Audit Clearinghouse by the required deadline of March 31, 2025. Cause: This condition is the result of delays in completing the audit and finalizing the reporting package for submission to the Federal Audit Clearinghouse. Effect: As a result of this condition, the City was not in compliance with Uniform Guidance reporting requirements. Continued noncompliance may result in increased Federal oversight. Recommendation: The City should implement procedures to ensure that the data collection form and reporting package are submitted to the Federal Audit Clearinghouse within the required timeframe. Management Response: See Corrective Action Plan.

2025-005: Noncompliance related to FAC Reports for fiscal years ended June 30, 2023, and June 30, 2024 Federal Assistance Listing Number: 10.553, 10.555, 10.559, 10.649, 84.010, 84.367, 84.424A, 84.358, 84.425U, 84.048, 93.354, and 93.981. Federal Award Year(s): June 30, 2024, and June 30, 2023 Program Title(s): Multiple Name of Federal Agency(ies): U.S. Department of Agriculture, U.S. Department of Education, and U.S. Department of Health and Human Services Name of Pass-Through Entity(ies): Various, including the Colorado Department of Education, Colorado Community Colleges System, and Colorado Department of Human Services COVID-19 Program(s): Yes Criteria: In accordance with Section 200.512 of the 2CFR200 Subpart F, a non-Federal entity that received a Single Audit must submit the reporting package to the Federal government through the Federal Audit Clearinghouse (FAC), also known as the data collection form. The FAC report is required to be submitted the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period. Condition: Based on our search through the FAC website (www.FAC.gov), the District did not submit the data collection report to the Federal Audit Clearinghouse for the audit for the fiscal year ended June 30, 2023, Single Audit conducted. In addition, the District was not able to provide accurate accounting records to the auditors in a timely manner to conduct the Single Audit for the fiscal year ended June 30, 2024, which delayed the submission of the data collection report to the FAC in a timely manner. Cause: The District lacked internal controls and awareness of the requirements noted above to certify and submit the annual data collection form to the Federal Audit Clearinghouse report in a timely manner, or at all. In addition, the District’s internal controls over grants management and accounting records was inadequate, which caused material audit adjustments and additional time for the District to reconcile grants. This caused the District’s Single Audit for the fiscal year ended June 30, 2024, to be significantly delayed. Effect: The District was noncompliant with 2 CFR 200.512 for fiscal years ended June 30, 2023, and June 30, 2024. Repeat Finding: No. Questioned Costs: None noted. Recommendation: In the future, we highly recommend that the District maintain proper internal controls and accurate grant records to prepare an accurate SEFA that will allow auditors to perform the Single Audits on major Federal programs, and submit the FAC report in a timely manner. Corrective Action Plan: Reported on page 59.

Finding No. 2024-001 Finding Type: Noncompliance / Significant Deficiency in Internal Control over Compliance Program: Crime Victim Assistance Federal Agency: US Dept of Justice Criteria: In accordance with 2 CFR § 200.512(a), the audit must be completed, and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse (FAC) within 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period, whichever is earlier. Condition: The Organization did not submit its Single Audit reporting package for the fiscal years ended June 30, 2023 & 2024, to the Federal Audit Clearinghouse within nine months of the fiscal year-end. The report, which included the Schedule of Expenditures of Federal Awards (SEFA), was submitted December 11, 2024 which is 255 days late for the June 30, 2023 and is yet to be submitted for the June 30, 2024. Context: The Organization’s financial records were not closed, and the SEFA was not prepared or reconciled to the general ledger by the required deadline, preventing the auditors from completing the audit within the prescribed timeframe. Effect: Late filing of the Single Audit reporting package is a violation of federal regulations and, per 2 CFR § 200.512(b), may result in federal agencies taking action to disallow costs, suspend, or terminate the federal award. Furthermore, it prevents federal agencies from having timely data to conduct oversight. Cause: The Organization experienced turnover in key positions and lacked documented, formalized procedures to ensure the timely preparation of the SEFA and the coordination of the audit timeline. Recommendation: We recommend that the Organization establish a year-end closing schedule to ensure the trial balance is finalized within 60 days of year-end. Additionally, management should establish a checklist for the preparation of the SEFA, including a review of grant agreements for Assistance Listing Numbers (ALNs) and a reconciliation to the general ledger, to ensure timely submission. Views of Responsible Officials: Management agrees with the finding. The Organization has hired new staff, changed accounting systems and is developing a strict month-end and year-end close procedure to ensure timely financial reporting and future compliance.

Programs All Federal Programs Criteria 2 CFR 200.512(a) requires that each organization’s audit must be completed and the data collection form and reporting package should be submitted 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 Single Audit package for the City’s fiscal year ended June 30, 2024 was not submitted to the Federal Audit Clearinghouse by March 31, 2025. Questioned costs None Context The Single Audit Reporting Package and the data collection form were not submitted by the deadlines stated in the criteria above. Effect Late filings result in noncompliance with the requirements of the Uniform Guidance and makes the City ineligible for consideration as a low-risk auditee under Uniform Guidance, expanding the scope and cost of the single audit. Cause The cause is the lack of effective controls over financial reporting which resulted in delays in issuing both the Financial Statement Audit and Single Audit. Recommendation We recommend the City evaluate the process and design of internal controls over financial reporting, including the SEFA, in order to ensure readiness for the audit and to avoid late filing of the single audit reporting package and data collection form. Views of Responsible Officials Management agrees with the finding and recommendation.

Finding 2024-004 Programs: All Significant Deficiency in Internal Controls and Noncompliance Over Reporting Repeat Finding: Yes, 2023-004 Condition: BCI’s single audit report and the data collection form were not completed within nine months after the end of the audit period. Criteria: Per 2 CFR 200.512: Report Submission. (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. (2) Unless restricted by federal statutes or regulations, the auditee must make copies available for public inspection. Auditees and auditors must ensure that their respective parts of the reporting package do not include protected personally identifiable information. Cause: BCI’s fiscal year 2024 single audit was not completed within the nine months after the end of the audit period. BCI did not have the policies and resources in place to complete a single audit in a timely manner. Effect: Failure to submit the reporting package and data collection form within the required timeframe results in non-compliance with the Uniform Guidance reporting requirements. Questioned Costs: None. Recommendation: We recommend that BCI creates policies and procedures to ensure that audits are started and completed in a timely fashion so the reporting package submission to the federal government can be made in accordance with federal guidelines. We also recommend that individuals responsible for administering federal assistance programs with BCI receive training in grant administration. Auditee Response and Corrective Action Plan: Refer to management’s corrective action plans. Auditor’s Conclusion: Finding remains as stated.

Significant Deficiency Finding No. 2024-004: Reporting U.S. Department of Health and Human Services Substance Abuse and Mental Health Services Federal Assistance Listing Number 93.243. U.S. Department of Health and Human Services Health Care for Native Hawaiians Federal Assistance Listing Number 93.932. Criteria A non-Federal entity that expends $750,000 or more in Federal awards during the year must have a single audit conducted in accordance with 2 CFR §200.514. Pursuant to 2 CFR §200.512, the audit must be completed and Form SF-SAC: Data Collection Form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditors’ report(s), or nine months after year end of the audit period. Condition Due to the unexpected resignation of its independent auditor, we noted that the Organization has not submitted the single audit reports required by the Uniform Guidance, including the Data Collection Form to the Federal Audit Clearinghouse for the year ended June 30, 2024, within the stipulated nine months after the end of the audit period. Cause The Organization has not adhered to established Uniform Guidance terms and conditions regarding the submission dates of the single audit reports and Data Collection Form for the year ended June 30, 2024. Effect The Organization is not in compliance with the Uniform Guidance terms and conditions regarding the submission dates of the single audit report and Data Collection Form for the year ended June 30, 2024. Identification of a Repeat Finding This finding was reported as a federal award finding in the immediately previous audit as Finding No. 2023-004. Recommendation We recommend that the Organization incorporate internal controls and comply with the Uniform Guidance with respect to the submission deadline of single audit reports and the Data Collection Form.

Reporting - Data Collection Form and Reporting Package (Significant Deficiency). Criteria: Pursuant to 2 CFR Section 200.512(a) of the Uniform Guidance, the auditee is responsible for submitting its data collection form and reporting package, including the auditor's reports within the earlier of 30 days after receipt of the auditor's reports or nine months after the end of the audit period to the Federal Audit Clearinghouse ("FAC"). BCS did not submit its reporting package to the FAC timely. Context: BCS is responsible for submitting its data collection form and reporting package, including the auditor's reports within the earlier of 30 days after receipt of the auditor's reports or nine months after the end of the audit period to the FAC, pursuant to 2 CFR Section 200.512(a) of the Uniform Guidance. Condition: The single audit of BCS’s federal award for the year ended June 30, 2024, was not completed within the nine months following the period-end. Cause: The delay in the issuance of the single audit report for the year ended June 30, 2024, was due to the late issuance of the consolidated and combined financial statements as noted in Finding 2024-001. Effect: As a result of the late financial statement issuance, BCS did not submit its single audit reporting package within the required timeframe. As such, BCS did not comply with the regulator requirements. Questioned Costs: None identified. Identified as a Repeat Finding: Yes. Recommendation: We recommend that BCS enhance its closing and reporting process to ensure the reports required by the Uniform Guidance is submitted by the aforementioned deadline Views of Responsible Officials: See management’s response and corrective action plan.

Federal Assistance Listing Number - 93.600 Head Start Cluster Criteria: The Data Collection Form is required to be submitted to the Federal Audit Clearinghouse ("FAC") within nine months of year end (2 CFR 200.512(a)(2). Condition: The Data Collection Form was not submitted to the FAC within the nine-month period for the year ended June 30, 2024. Effect: The Organization was not in compliance with the requirement to complete the filing required by the Uniform Guidance within nine months of its year end, and therefore, the Organization cannot be considered a low risk auditee for the years ended June 30, 2025 and 2026. Context: When performing our audit we noted the Data Collection Form submission to the FAC was not filed on a timely basis. Cause: The financial statements were not finalized by the due date. Recommendation: We recommend the Organization's Data Collection Form submission to the FAC be filed within nine months of its fiscal year end as required. Views of Responsible Officials and Planned Corrective Actions: The Organization concurs with the recommendation. See attached Correction Action Plan.

FINDING REFERENCE NUMBER 2024-036 FEDERAL PROGRAM ALL FEDERAL PROGRAMS ON THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AWARD NUMBERS ALL MAJOR PROGRAMS COMPLIANCE REQUIREMENT REPORTING TYPE OF FINDING INTERNAL CONTROL AND COMPLIANCE – MATERIAL WEAKNESS AND MATERIAL NONCOMPLIANCE CRITERIA 2 CFR § 200.512 Report Submission, (a) (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. STATEMENT OF CONDITION The PRDF did not submit the Data Collection Form and Reporting Package to the Federal Audit Clearinghouse of fiscal year ending June 30, 2024 during the required period. QUESTIONED COSTS None PERSPECTIVE INFORMATION This is a systemic deficiency. The PRDF was unable to provide a timely financial statement and the Schedule of Expenditures of Federal Awards (SEFA), and related supporting documentation in order to apply required audit procedures. STATEMENT OF CAUSE The PRDF does not have an effective accounting system and procedures to assure that the required financial statement and SEFA, and supporting documentation was made available for audit purposes within the required period established to comply with the Federal regulations. POSSIBLE ASSERTED EFFECT The PRDF did not comply with the submission date required for the Data Collection Form and Reporting Package; this could affect the continuance and new approvals of Federal funds. IDENTIFICATION AS A REPEAT FINDING This is a repeat finding (Finding Number 2023-048). RECOMMENDATION We recommend the PRDF maintain adequate accounting records related to the non-Federal and Federal funds in order to properly prepare the financial statement and SEFA accurately, and in a timely manner. In addition, PRDF needs to implement adequate internal controls procedures in order to ensure that the supporting documentation is available in a timely manner.

Finding 2024-002: Late Reporting and Noncompliance With Reporting Requirements Federal Agency: Denali Commission Federal Program: Akutan West Harbor Access Road Assistance Listing: 90.100 Award Number: 1727-00 Award Year: 2023 Type of Finding: Material Weakness in Internal Control over Compliance and Material Noncompliance With Reporting Requirements. Criteria: 2 CFR part 200, subpart F, section 200.512 requires that the reporting package must be submitted within the earlier of nine months plus any extensions after year end, or 30 days after the report issuance date. Condition and Context: The City did not adhere to the Uniform Guidance requirement of submitting the reporting package and Form SF-SAC within the earlier of nine months plus any extensions after year end, or 30 days after the report issuance date. Cause: Lack of internal controls over Uniform Guidance reporting requirements. Effect: The City is not in compliance with 2 CFR part 200, subpart F, section 200.512. Questioned Costs: None. Repeat Finding: No. Recommendation: We recommend the City implement policies and procedures to ensure timely completion of its Federal Single Audit. Management Response: Management concurs with this finding. See Corrective Action Plan.

Federal Agency: U.S. Department of Agriculture Federal Program: 10.766, Rural Development, Community Facilities Direct Loan Criteria or Specific Requirement – 2 CFR § 200.512, Report Submission, requires completion of an audit and submission of the data collection form and reporting package within the earlier of thirty calendar days after receipt of the auditors’ report, or nine months after the end of the audit period. Condition - The audit and data collection form are being submitted after the required due date. Cause - The Corporation had not maintained appropriate levels of staff to ensure compliance with regulatory filing requirements with the prior year audit which delayed the start and completion of this year’s audit on a timely basis. Effect - Noncompliance with the requirements of 2 CFR § 200.512. There is a potential for suspension or cessation of federal funding under the federal award. Repeat Finding - This is a repeat finding from the prior year. See prior year finding 2023-002. Recommendation - The Corporation should take steps to ensure that its financial records are maintained on a current basis, reconciled timely, and audited within nine months after year-end. View of Responsible Officials and Planned Corrective Actions – See corrective action plan.

Federal Program: COVID-19 Education Stabilization Fund (ESSER II and ARP ESSER) – 84.425D/U Criteria: Based on requirements set forth by 2 CFR §200.512(a), the School is required to submit the Single Audit Reporting Package to the Federal Audit Clearinghouse (FAC) and the Pennsylvania Department of Education (PDE) no later than the earlier of thirty calendar days after the receipt of the auditor's report or nine months after the end to the audit period. Condition: The School did not submit the Single Audit Reporting Package to the FAC or the PDE prior to the March 31, 2025, deadline. Cause: The submission was delayed because the audited financial statements were not completed in a timely manner. Also, ss noted in Finding 2024-002, the School has a significant deficiency in internal control over financial reporting related to the preparation of the Schedule of Expenditures of Federal Awards. Effect or Potential Effect: As a result of the delayed completion of the audited financial statements, the School was unable to meet the FAC and PDE filing deadlines required under 2 CFR §200.512(a), resulting in noncompliance with federal reporting requirements. Questioned Cost: $0 Repeat Finding: This is not a repeat finding. Recommendation: We recommend that the School implement procedures to ensure that future Single Audit Reporting Packages are completed and submitted to the FAC and PDE within the required timeframes to maintain compliance with federal reporting requirements. View of Responsible Officials and Planned Corrective Action: Management will coordinate with external auditors to ensure timely completion of the audit and to ensure compliance with 2 CFR §200.512(a) requirements.

Finding #2024-001 – Material Weakness – Accounting Recordkeeping All Programs Other Criteria Accounting tasks such as timely monthly analysis, reconciliations and review of accounts play a key role in providing the accuracy of accounting data and information included in the interim and year-end financial statements. Trial balances should be maintained for the Organization continuously, in accordance with U.S. GAAP. Detailed supporting schedules should be maintained for all significant asset, liability, revenue and expense accounts. Reconciling items should be investigated and resolved in a timely manner. All of the forementioned items are essential to ensure that financial statements and data collection forms are submitted in conformance with 2 CFR Section 200.512(a)(1). Condition During the year ended June 30, 2024, management was unable to provide timely year-end trial balances in accordance with U.S. GAAP without significant adjusting journal entries required to accurately reflect the underlying accounting transactions. Cause The significant delay was caused primarily due to significant turnover in personnel within the accounting/finance department and efforts related to the merger between HopePHL and Youth Service, Inc. in prior year, which resulted in a backlog of recording transactions, and in reconciliations not being performed timely. Effects Not performing timely and complete monthly and year-end account reconciliations and closing procedures leads to a continually and growing backlog of transactions and journal entries that are not posted to the accounting system, which renders the accounting information ineffective for making well-informed business decisions. This has led to the expenditure of significant time and effort by many to complete the required reconciliation procedures and prevented the timely delivery of financial statements to management, board members and funders. In addition, this led to the Organization to be noncompliant with required deadlines for Uniform Guidance and Data Collection Form submission. Questions Costs None. Perspective This audit finding is systematic. Statistical Sample A statistical sample is not applicable to this finding. Repeat Finding This audit finding is a repeat finding of prior year. Recommendation We recommend that individuals overseeing the accounting and finance function continue to review the Organization's current accounting policies and update existing policies or implement new policies, as necessary, to ensure that accounting records are accurately maintained throughout the year. In addition, we recommend the Organization develop and document formal year-end closing procedures, including detailed closing checklists, assignment of responsibilities, and timelines for the preparation and review of reconciliations, trial balances, and supporting schedules. Monthly and quarterly account reconciliations, as appropriate, should be completed and reviewed timely throughout the year to facilitate an efficient year-end close process and ensure that complete and accurate trial balances and related supporting documentation are prepared and reviewed on a timely basis after year-end. Views of Responsible Officials Management concurs with this finding. The delays in maintaining timely accounting records, completing reconciliations, and preparing year-end financial statements were primarily the result of significant turnover within the Accounting and Finance Department during the fiscal year, combined with the operational demands associated with the merger of HopePHL and Youth Service, Inc. These circumstances created a backlog of transaction processing and account reconciliations that ultimately delayed the preparation of accurate trial balances and required year-end adjustments to ensure compliance with U.S. GAAP. Since the conclusion of the audit period, management has implemented several corrective actions to strengthen the organization’s financial reporting processes and internal controls. These actions include: • Rebuilding and stabilizing the Accounting and Finance Department through the recruitment and retention of qualified personnel. • Establishing defined month-end closing procedures, including assigned responsibilities and timelines for completing reconciliations and reviewing financial activity. • Implementing a monthly close calendar with management oversight to ensure timely completion of accounting tasks and identification of outstanding issues. • Strengthening supervisory review of account reconciliations, journal entries, and financial reporting to improve the accuracy and completeness of accounting records throughout the year. • Monitoring compliance with financial reporting deadlines through regular meetings between Finance leadership and executive management. Management believes these corrective actions have substantially addressed the conditions that led to this finding and will help ensure that accounting records are maintained in accordance with U.S. GAAP, financial statements are prepared on a timely basis, and future reporting requirements, including those under 2 CFR §200.512(a)(1), are met. Responsible Official: Vice President of Finance Estimated Completion Date: Corrective actions have been implemented and will continue to be monitored as an ongoing process.

Noncompliance/Material Weakness in Internal Control Over Compliance Auditing Finding 2024-004 – Late Audit Reporting Identification of the federal program: All federal funds included on the Schedule of Expenditures of Federal Awards Criteria: Under 2 CFR Part 200.512, the Uniform Guidance requires that audits are submitted by the earlier of 30 calendar days after receipt of the auditor’s report or nine months after the end of the audit period. Condition: The Organization did not complete and submit their audit for the year ended June 30, 2024 to the federal clearing house until after the March 31, 2025 deadline. Cause: Delays stemming from limitations on staffing and availability of information pertaining to the schedule of federal expenditures required audit procedures and ultimate completion date to extend beyond the regulatory deadline. Effect or potential effect: The late filing could potentially impact future funding from government agencies. Questioned costs: None Context: The June 30, 2024 single audit reporting package was filed late with the Federal Audit Clearinghouse. Recommendation: We recommend management implement processes and controls that will ensure future audits are completed and submitted timely. View of responsible officials and planned corrective actions: Management agrees with the finding. See attached letter.

2 CFR 200.512, Report Submission Finding Number: 2024-001 Assistance Listing Number and Title: N/A Federal Award Identification Number / Year: 2023 Federal Agency: N/A Compliance Requirement: Reporting Pass-Through Entity: N/A Repeat Finding from Prior Audit? No Prior Audit Finding Number: N/A Criteria: 2 CFR 200.512 required the auditee to submit the Single Audit reporting package and Data Collection Form to the Federal Audit Clearinghouse no later than the earlier of 30 calendar days after the receipt of the auditor’s reports or nine months after the end of the audit period. Condition: OMEGA’s reporting package for the fiscal year ended June 30, 2023, was required to be submitted by March 31, 2024. The reporting package was not submitted until August 29, 2024. The late submission resulted from delays by management in completing the financial reporting process and providing the information necessary for the audit to be completed. Consequently, the audit reports were issued after the regulatory filing deadline, preventing timely submission to the Federal Audit Clearinghouse. Effect: OMEGA did not comply with the Uniform Guidance reporting requirements. Untimely completion of the audit and submission of the reporting package may result in increased oversight by federal awarding agencies or pass-through entities and could adversely affect OMEGA's standing with respect to future federal funding. Cause: Management did not maintain adequate procedures to ensure the timely completion of the financial statements, preparation of supporting schedules, and resolution of audit requests necessary to complete the Single Audit within the required timeframe. Recommendation: OMEGA should implement procedures to monitor Single Audit reporting deadlines and ensure future reporting packages are submitted timely to the Federal Audit Clearinghouse. OMEGA should also ensure the financial statement preparation and responses to audit requests are prepared timely to allow for timely completion of the audit prior to the Single Audit reporting deadlines. Officials’ Response – See Corrective Action Plan.

Finding No. 2024-001: Prior Year Reporting Package and Data Collection Not Filed Timely a. The Smokey Hollow Housing Development Fund Company, Inc. June 30, 2024 reporting package and data collection form was not filed with the Federal Audit Clearinghouse on time. b. Criteria: 2 CFR section 200.512(a)(1) requires the reporting package and data collection form to be submitted to the Federal Audit Clearinghouse the earlier of 30 days after the reports are received from the auditors or nine months after the end of the audit period. c. Effect of condition: The effect is that the project would not be considered a "Low Risk Auditee" for at least the fiscal years ending June 30, 2025 and June 30, 2026. This designation will require the auditor to audit at least 40% of the project's programs as Major programs until such time that the project may be considered a “Low Risk Auditee” again. d. Cause of condition: The reporting package and data collection form was submitted to the Federal Audit Clearinghouse 252 days late due to management not monitoring CPA firm to enter data in data collection form as agreed upon resulting in a late filing. The form was submitted as soon as possible. e. Recommendation: We recommend that management implement procedures to ensure that reporting packages and data collection forms are filed timely in the future. f. Views of responsible officials and planned corrective actions: Smokey Hollow Apartments agrees with the finding and the auditor’s recommendations have been adopted.

Audit Finding Reference Number 2024 – 010 – Late Submission of Audit Report Federal Program and Specific Federal Award Identification ALN Title and Number 84.007 Federal Supplemental Educational Opportunity Grants (SEOG) 84.033 Federal Work-Study Program (FWS) 84.063 Federal PELL Grant Program (PELL) 84.268 Federal Direct Student Loans (Direct) Federal Award Number June 30, 2024 Federal Agencies U.S. Department of Education Pass-Through Entity Not applicable Criteria Pursuant to the requirement of Uniform Guidance 2 CFR Part 200 §512(a), Single audits are required to be completed and the data collection form and reporting package submitted within the earlier of thirty (30) days after receipt of the auditor’s report, or nine (9) 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. Condition and Context The June 30, 2024 Single Audit reporting package, including the Data Collection Form, was not submitted within the timeframe required by 2 CFR 200 §512 (a). Specifically, the reporting package remained outstanding more than nine (9) months after the entity’s fiscal year. Cause ABC did not establish and implement adequate procedures to ensure the Single Audit was completed and the reporting package, including the Data Collection Form, was submitted within the timeframe required by Uniform Guidance. Specifically, management did not effectively monitor the audit reporting timeline or provide the information necessary to facilitate timely completion and submission of the audit report. Questioned Costs For purposes of this condition, I have no questioned cost. Effect As a result, ABC did not comply with the reporting requirements of Uniform Guidance 2 CFR Part 200 §512 (a) by failing to submit the Single Audit reporting package within the required timeframe. Untimely submission of the audit report may delay federal agencies' oversight of the institution's administration of federal awards and may subject the institution to increased monitoring or other administrative actions by the federal awarding agency. Repeat Finding Yes. See Schedule of Prior Year Audit Finding 2023-010. Recommendation I recommend that ABC strengthen its procedures for monitoring the Single Audit reporting process to ensure the audit is completed and the reporting package is submitted within the timeframe required by Uniform Guidance. Management should establish an audit timeline with key milestones, assign responsibility for providing requested financial records and supporting documentation to the auditors on a timely basis, periodically monitor progress toward the submission deadline, and implement supervisory oversight to ensure compliance with the reporting requirements of 2 CFR §200.512(a). Management’s Response The Institution concurs with this finding. With new leadership and administration, Arkansas Baptist College will adhere to its policies, procedures, processes, and federal guidelines as it relates to completing and submitting the audit. Arkansas Baptist College has a new CFO and controller. These measures will ensure stability and a timely audit.

Significant Deficiencies /Immaterial Non-Compliance Data Collection Form Not Submitted Timely to the Federal Audit Clearinghouse. Programs: COVID-19 – Elementary & Secondary School Emergency Relief Fund II (ESSER), ALN #84.425D COVID-19 – Elementary & Secondary School Emergency Relief ARP III (ESSER) ALN #84.425U Child Nutrition Cluster: National School Lunch Program ALN #10.555 Summer Food Service Program for Children ALN #10.559 Compliance Requirement: Special Reporting Criteria: In accordance with 2 CFR § 200.512- Report Submission, "the 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(s), or nine months after the end of the audit period." Condition: The required data collection form and reporting package to the Federal Audit Clearinghouse was not submitted within established timeframe. Cause: There was a delay in the preparation of the financial statements on a timely basis. Effects: The school district did not comply with Federal reporting regulations. Questioned Cost: None. Recommendation: We recommend that the School District strengthen its internal control systems over reporting to ensure single audit reporting package and data collection form are submitted to the Federal Audit Clearinghouse within established timeframe and financial statements are prepared timely.

Finding No. 2024-005: Reporting and Annual Audit Submission – Noncompliance Federal Program Name: All Pass-through Entity: All Federal Assistance Listing Number: All Criteria As set forth in 2 CFR §200.512 - Report Submission, 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 auditors’ report, or nine months after the end of the audit period. The due date for the audit and reporting package submission was March 31, 2025. Condition The Coalition did not submit the audit, Data Collection Form, and reporting package by the required deadline of March 31, 2025. Questioned Costs None. Context The Data Collection Form and reporting package were required to be submitted by March 31, 2025. The audit was not completed and submitted by the required deadline due to delays in the preparation of financial reporting information and supporting schedules. Effect The Coalition was not in compliance with the reporting requirements of 2 CFR §200.512, as the audit, Data Collection Form, and reporting package were not submitted by the required deadline. Cause Significant delays in the audit process resulted in the late filing. Repeat Finding No Recommendation We recommend that the Coalition implement procedures to ensure that financial statements, supporting schedules, and Single Audit requirements are prepared and completed on a timely basis to support compliance with federal reporting deadlines. Management’s Response/View of Responsible Officials Management agrees with this finding, see the Corrective Action Plan.

2024-001 Federal Reporting Late Submission (Repeat finding 2022-001 and 2023-001 updated for the current year as necessary) Federal Program Information: Funding agency: U.S. Department of Education Title: Special Education Cluster CFDA numbers: 84.027A, 84.027X, and 84.173A Award year and number: 2024; 003-9689-77-2024, 003-9689-70-2022, and 003-9689-79-2024 Criteria: 2 CFR section 200.512(a) requires the reporting package and data collection form be submitted to the Federal Audit Clearinghouse the earlier of 30 calendar days after the reports are received from auditors or nine months after the end of the audit period (whichever is earlier). Condition: The Cooperative is out of compliance with 2 CFR section 200.512(a). Effect: Noncompliance with federal requirements can affect future funding opportunities. Context: The audit submission date was after the required due date. Cause: The audit was not able to be completed in time to meet the required due date. Recommendation: We recommend the Cooperative continue to communicate with OPI and federal agencies on steps to follow in order to address any concerns and get into compliance.

Finding Number: 2024-005 Material Weakness – Compliance and Internal Control over Compliance Finding over Data Collection Form Federal Award: No. 93.778 U.S. Department of Health and Human Services – Grants to States for Medicaid Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: County of Monterey, California Repeat Finding: No Criteria or Specific Requirement: Under 2 CFR §200.512, Report Submission, single audit submissions, including the data collection form, are required to be filed within nine months after fiscal year-end. Condition: The single audit submission was not completed and not filed within nine months of year-end. Cause: Factors beyond the control of current management, including poorly designed policies and procedures to ensure audit was completed timely, as key members of the accounting department left the Organization before appropriately transferring knowledge and records related to the Federal awards. Effect or Potential Effect: Noncompliance with Uniform Guidance. Questioned Costs: None Context: The Organization was not able to retain or replace personnel with the appropriate skills and knowledge to implement appropriate procedures and controls. Recommendation: Policies and procedures should be designed and implemented to ensure compliance with Uniform Guidance . View of Responsible Officials: Valley Health Associates management understands the severity of this finding and will work to correct as per the recommendation. Management will ensure the reporting is filed in a timely manner for FY year ended June 2025.

Reference Number 2024-002: Delays in Financial and Single Audit Reporting Repeat Finding: Yes Evaluation of Finding: Material Weakness and Material Noncompliance Condition: The Council experienced delays and issues in its financial reporting and year-end close process, including delays in completing reconciliations, reviewing accounting records, and providing information necessary to support the audit and external financial reporting. As a result, the reporting package associated with the audit was not completed on a timely basis. Criteria: Management is responsible for maintaining complete and accurate accounting records, performing timely year-end closing procedures, and providing the information necessary to support external financial reporting. For entities subject to a Single Audit, federal regulations require submission of the reporting package and data collection form to the Federal Audit Clearinghouse within 30 calendar days after receipt of the auditor’s report or nine months after fiscal year-end, whichever is earlier, in accordance with 2 CFR 200.512(a)(1). Cause of Condition: The delay appears to have resulted from turnover in key finance personnel, limited documented procedures, and insufficient resources to complete year-end reconciliations, review accounting records, and provide timely audit support during the external financial reporting process. Effect or Potential Effect of Condition: Delays in the year-end close and financial reporting support process increase the risk that required regulatory deadlines will not be met and that financial information provided to oversight bodies, grantors, and other users will be delayed. Recommendation: We recommend that the Council implement a formal year-end closing and reporting calendar, assign responsibility for key reconciliations and reporting support deliverables, document review procedures, and monitor progress against deadlines to support timely completion of the year-end close and required regulatory submissions. Management Response and Corrective Action: Management concurs with the finding and acknowledges that this is a repeat finding classified as a material weakness and material noncompliance. The delays identified in the completion of StanCOG's financial statements and Single Audit reporting were the result of significant deficiencies in historical financial reporting processes that developed over multiple fiscal years. During the period under audit, StanCOG experienced complete turnover within its Finance Department, resulting in the loss of institutional knowledge and limited continuity in accounting operations. In addition, documented financial procedures were either incomplete or not consistently followed, resulting in delayed reconciliations, incomplete accounting records, and the inability to provide timely support for the external audit process. These conditions were further compounded by the extensive effort required to reconstruct multiple years of financial records, resolve historical accounting discrepancies, and complete outstanding reconciliations before the audit could proceed. As a result, the financial statement audit and Single Audit reporting package could not be completed within the required regulatory timeframe. Because the audit itself was significantly delayed, this finding is reported as a repeat finding. SECTION II - FINANCIAL STATEMENT FINDINGS (CONTINUED) StanCOG has recently hired a new Finance Director and new Executive Director to lead the organization's financial recovery efforts and strengthen its internal control environment. Management has begun evaluating existing financial processes and is implementing corrective actions designed to improve the timeliness and accuracy of financial reporting and ensure compliance with applicable federal reporting requirements. Management is implementing, or plans to implement, the following corrective actions: • Develop and maintain a formal month-end and year-end financial closing calendar with clearly defined deadlines and assigned responsibilities. • Develop and document standardized financial close procedures and workflows for key accounting and reporting activities. • Perform recurring reconciliations of all significant balance sheet accounts throughout the fiscal year to minimize year-end adjustments and facilitate a timely close. • Establish documented management review procedures to monitor the timely completion of reconciliations, financial reporting, and audit support activities. • Improve coordination and communication with external auditors by identifying required schedules and supporting documentation earlier in the audit process. • Strengthen management oversight of the financial reporting process by regularly monitoring progress toward key reporting deadlines and addressing issues as they arise. • Continue rebuilding the Finance Department by establishing sustainable processes, cross-training staff, and improving documentation to promote continuity and long-term compliance. Management recognizes the importance of timely financial reporting and compliance with federal Single Audit requirements. While this finding reflects historical conditions that developed over multiple fiscal years, StanCOG is committed to implementing sustainable financial management practices and strengthening its internal control environment. Management believes these corrective actions will improve the timeliness, accuracy, and reliability of future financial reporting and help ensure compliance with all applicable regulatory requirements.

Federal Program Information: Assistance Listing Number (ALN): 14.251 Federal Program Name: Economic Development Initiative, Community Project Funding, and Miscellaneous Grants Federal Agency: U.S. Department of Housing and Urban Development Passed-through Entity: None Federal Award Number: B-23-CP-CA-0189 Federal Award Year: 12/29/2022 - 8/31/2031 Compliance Requirement: Reporting Criteria or Specific Requirements: Pursuant to 2 CFR 200.512(a), Report Submission, recipients and subrecipients expending $750,000 or more in federal awards must submit their audit report, data collection form, and the reporting package to the Federal Audit Clearinghouse (FAC) no later than the earlier of: • Thirty (30) calendar days after the receipt of the auditor’s report(s), or • Nine (9) months after the end of the auditee’s fiscal year. Additionally, pursuant to 2 CFR 200.329, Monitoring and reporting program performance, and the grant agreement, LYRIC is required to submit semi-annual performance reports no later than 30 calendar days after the end of each six-month reporting period to support effective federal oversight and monitoring. Failure to submit required performance reports constitutes noncompliance with federal reporting requirements. Condition: As reported in FS finding 2024-001, LYRIC did not timely identify that it was subject to the Single Audit requirements for the year ended June 30, 2024. Consequently, LYRIC did not complete and submit its Single Audit reporting package, including the Data Collection Form (DCF) for fiscal year 2024, by the required due date of March 31, 2025. Additionally, the Performance Reports for periods covering from January 1, 2023 to June 30, 2024 required by the grant agreement were not yet submitted as of the audit date. These reports are due on July 30, 2024. Questioned Costs: None. Cause: LYRIC did not have adequate procedures in place to monitor cumulative federal expenditures and timely determine its Single Audit reporting obligations. Effect: The non-submission of the reports mentioned resulted in noncompliance with federal reporting requirements and may lead to increased oversight, delays in funding, or other administrative sanctions by the federal awarding agencies. Recommendation: We recommend that management establish and implement control procedures to ensure the timely identification of the single audit requirements and compliance with related reporting deadlines. Such procedures should include monitoring cumulative federal expenditures throughout the year, maintaining a compliance calendar that identifies applicable reporting deadlines, assigning personnel, and monitoring progress through periodic management review to ensure compliance with submission requirements. Views of Responsible Officials and Planned Corrective Actions: Management accepts this finding. To prevent recurrence, LYRIC will: (1) assign a designated staff member and a contracts manager the responsibility for federal audit compliance monitoring, including tracking cumulative award expenditures throughout; (2) establish an annual federal expenditure calendar that flags when spending approaches the $750,000 threshold; (3) maintain a reporting timeline aligned with FAC submission deadlines, including the nine-month post-fiscal-year-end deadline; and (4) engage its audit firm at the start of each fiscal year to plan audit scope and timing, ensuring the Single Audit can be completed within the required timeframe. Uniform Guidance applicability training will be provided to staff as needed. Management also agrees with the non-submission of performance reports. LYRIC will take the following corrective actions: (1) develop a comprehensive grant reporting calendar for all active federal awards, identifying each required report type, submission deadline, and the staff member responsible for preparation and submission; (2) designate a program staff lead for the federal award reporting, with mandatory review by the Contracts Manager and Director of Finance prior to each submission; (3) implement an internal check-in to review upcoming reporting deadlines across all grants; and (4) submit any outstanding reports to the authorities as promptly as possible and proactively communicate with the assigned program officer regarding the delayed submissions to mitigate any compliance impact. Responsible Official and Position: Ana Rubio, Director of Finance, and Laura Chavez, Contracts Manager Expected Implementation Date: July 1, 2026

2024-003 - Late Completion of the Single Audit and Submission of the Reporting Package and Data Collection Form Finding Type: Noncompliance. Repeat Finding: Yes; prior year finding 2023-002. Status: Repeated. Although the circumstances contributing to the current-year delay differed from those identified in the prior year, the Organization again did not meet the required Federal Audit Clearinghouse submission deadline. Criteria: The Uniform Guidance, 2 CFR 200.512(a)(1), requires the audit to be completed and the data collection form and reporting package to be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor’s reports or nine months after the end of the audit period. For the six-month period ended June 30, 2024, the required submission deadline was March 31, 2025. Condition/Finding: The Organization’s Single Audit for the six-month period ended June 30, 2024, was not completed by the required deadline of March 31, 2025. The audit was completed on May 12, 2025, 42 days after the required deadline. Consequently, the related reporting package and data collection form were not submitted to the Federal Audit Clearinghouse within the required timeframe. This condition affected the Organization’s required Single Audit submission for the six-month period ended June 30, 2024. Cause: The Organization changed its fiscal year-end from December 31 to June 30, resulting in a shortened six-month transition period and requiring management to modify its established year-end closing, reconciliation, financial reporting, and audit-preparation processes. The Organization did not establish a sufficiently detailed transition plan and monitoring process with clearly assigned responsibilities and interim completion dates. As a result, year-end processing, account reconciliations, and preparation of audit-support schedules were delayed, which prevented the audit from being completed by the required deadline. Effect: As a result, the Organization did not comply with the Single Audit reporting requirements of the Uniform Guidance. The delay also prevented federal awarding agencies, pass-through entities, and other users of the Federal Audit Clearinghouse from receiving the required audited information within the prescribed timeframe. In addition, the untimely submission prevents this audit period from satisfying one of the criteria used in determining eligibility for low-risk auditee status and reduced audit coverage in future periods Questioned Costs: None. Recommendation: We recommend that management establish and monitor a formal year-end closing and audit-readiness plan designed to provide sufficient time for completion of the audit and submission of the reporting package and data collection form by the applicable Federal Audit Clearinghouse deadline. The plan should establish responsible individuals and interim completion dates for account reconciliations, financial reporting schedules, federal award information, and other audit-support documentation. Management should periodically monitor progress against the plan, promptly address delays, and communicate significant matters to those charged with governance and the auditors sufficiently in advance of the filing deadline. View of Responsible Officials (Corrective Action): See corrective action plan.

2024-002 – Untimely Submission of Single Audit Reporting Package Type of Finding: Federal Award Finding – Noncompliance Federal Agency: U.S. Department of Housing and Urban Development Federal Programs: All Federal programs subject to the Single Audit Major Program: CDBG – Entitlement/Special Purpose Grants Cluster Assistance Listing Number: 14.218 – Community Development Block Grants/Entitlement Grants Pass-Through Entity: N/A Federal Award Identification Number: N/A Compliance Requirement: Uniform Guidance – Single Audit Reporting Requirements Questioned Costs: None Repeat Finding: No Criteria: Title 2 U.S. Code of Federal Regulations §200.508(a) requires an auditee subject to the Single Audit requirements to arrange for the audit to be performed and submitted in accordance with §200.512. Title 2 U.S. Code of Federal Regulations §200.512(a)(1) requires the audit, data collection form, and reporting package to be submitted to the Federal Audit Clearinghouse within 30 calendar days after the auditee receives the auditor's reports or nine months after the end of the audit period, whichever is earlier, unless an authorized extension has been granted. For the Alliance's fiscal year ended June 30, 2024, the nine-month submission deadline was March 31, 2025. Condition: The Organization was required to submit its Single Audit reporting package for the fiscal year ended June 30, 2024 to the Federal Audit Clearinghouse no later than March 31, 2025. The financial statement audit and Single Audit were not completed by March 31, 2025. Consequently, the Organization did not submit its audit, data collection form, and reporting package to the Federal Audit Clearinghouse within the timeframe required by 2 CFR §200.512(a)(1). Context and Perspective: The condition relates to the Organization's entity-wide responsibility for timely completion and submission of its Single Audit rather than to an individual Federal expenditure or transaction. The Organization's major Federal program for the year ended June 30, 2024 was the CDBG – Entitlement/Special Purpose Grants Cluster. Questioned Costs: None. Cause: As discussed in Finding 2024-001, the Organization experienced changes in management personnel that affected continuity in the financial reporting and audit preparation process. The management transition, including efforts to obtain historical audit information and coordinate communications with the prior auditor, contributed to delays in completing the financial close and providing the information necessary to complete the audit. These circumstances, combined with the absence of a sufficiently formalized year-end closing and audit completion timetable, resulted in the financial statement audit and Single Audit not being completed by the required Federal Audit Clearinghouse filing deadline. Effect: The Organization did not comply with the Single Audit reporting requirements of 2 CFR §200.512(a)(1). The untimely submission also may affect the Organization's ability to qualify as a low-risk auditee under the Uniform Guidance and delays the availability of required audit information to Federal awarding agencies and pass-through entities responsible for oversight of the Organization's federal awards. Recommendation: We recommend that the Organization establish procedures specifically designed to ensure that future Single Audit reporting packages are completed and submitted within the required timeframe. Such procedures should include: • maintaining a compliance calendar that identifies the Federal Audit Clearinghouse filing deadline; • establishing internal financial close and audit completion dates sufficiently in advance of the Federal filing deadline; • assigning responsibility for monitoring the status of the financial statement audit and Single Audit; • preparing the Schedule of Expenditures of Federal Awards concurrently with the annual financial close; • establishing interim deadlines for providing audit schedules and supporting documentation; • promptly communicating significant delays to executive management and those charged with governance; • establishing transition procedures when changes occur in management or financial personnel; and • maintaining appropriate communication with the external auditor throughout the audit process to identify and resolve matters that could delay completion of the audit. Views of Responsible Officials: Management agrees with the finding. See the Organization's separately prepared Corrective Action Plan.

Finding No. 2024-001: Current Year Reporting Package and Data Collection Not Filed Timely a. The Catherine Street Housing Development Fund Company, Inc. June 30, 2024 reporting package and data collection form was not filed with the federal audit clearinghouse on time. b. Criteria: 2 CFR section 200.512(a)(1) requires the reporting package and data collection form to be submitted to the Federal Audit Clearinghouse the earlier of 30 days after the reports are received from the auditors or nine months after the end of the audit period. c. Effect of condition: The effect is that the project would not be considered a "Low Risk Auditee" for at least the fiscal years ending June 30, 2025 and June 30, 2026. This designation will require the auditor to audit at least 40% of the project's programs as major programs until such time that the project may be considered a “Low Risk Auditee” again. d. Cause of condition: The reporting package and data collection form was submitted to the federal audit clearinghouse late due to a delay in the delivery of audit materials attributable to upper-level management transactions resulting in a late filing. This form will be submitted as soon as possible. e. Recommendation: We recommend that management implement procedures to ensure that reporting packages and data collection forms are filed timely in the future. f. Views of responsible officials and planned corrective actions: Mount Carmel Apartments agrees with the finding and the auditor’s recommendations have been adopted.

Finding No. 2024-002: Prior Year Reporting Package and Data Collection Not Filed Timely a. The Catherine Street Housing Development Fund Company, Inc. June 30, 2023 reporting package and data collection form was not filed with the federal audit clearinghouse on time. b. Criteria: 2 CFR section 200.512(a)(1) requires the reporting package and data collection form to be submitted to the Federal Audit Clearinghouse the earlier of 30 days after the reports are received from the auditors or nine months after the end of the audit period. c. Effect of condition: The effect is that the project would not be considered a "Low Risk Auditee" for at least the fiscal years ending June 30, 2024 and June 30, 2025. This designation will require the auditor to audit at least 40% of the project's programs as major programs until such time that the project may be considered a “Low Risk Auditee” again. d. Cause of condition: The reporting package and data collection form was submitted to the federal audit clearinghouse 330 days late due to management not monitoring CPA firm to enter data in data collection form as agreed upon resulting in a late filing. The form will be submitted as soon as possible. e. Recommendation: We recommend that management implement procedures to ensure that reporting packages and data collection forms are filed timely in the future. f. Views of responsible officials and planned corrective actions: Mount Carmel Apartments agrees with the finding and the auditor’s recommendations have been adopted.

2024-008 Single Audit Reporting Deadline Federal Agency: All federal agencies Federal Program: All major federal programs Compliance Requirements: Reporting - Single Audit Submission Type of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: The Uniform Guidance, 2 CFR Section 200.512(a)(1), requires the single audit to be completed and the data collection form and reporting package to be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's reports(s) or nine months after the end of the audit period. Condition: The County did not submit its single audit reporting package and data collection form for the fiscal year ended June 30, 2024 by the required deadline. Cause: Delays in closing the County's accounting records and preparing year-end financial information, including the matters described in findings 2024-004 and 2024-005, prevented the single audit from being completed and submitted timely. Effect: The County is not in compliance with the reporting requirements of the Uniform Guidance. Late submission prevents the County from qualifying as a low-risk auditee under 2 CFR Section 200.520 and may result in federal awarding agencies taking action under 2 CFR Section 200.505. Questioned Costs: None. Context: The single audit reporting package and data collection form for the fiscal year ended June 30, 2024 were due March 31, 2025, and were not submitted by that date. Recommendation: We recommend that the County establish a year-end closing schedule with defined deadlines for reconciling accounts and preparing financial information, so that the single audit can be completed and the reporting package and data collection form submitted within the time frame required by the Uniform Guidance. Views of Responsible Officials: Please see the last page of this report for the response to this finding.

Criteria - Uniform Guidance 2 CFR 200.512(a) (1) states that the audit report 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. Condition – The financial statements were filed December 18, 2025 in lieu of the due date of September 15, 2024. Effect – Late filing of reports can result in the entity being a high risk auditee. Cause – Management engage an auditor late after the year end. Recommendation – Management should engage the services of an auditor in a sufficient time after the year end, or if possible before the year end.

Single Audit Data Collection Form Not Filed by Due Date- Condition: The data collection form for the Single Audit ended May 31, 2023 was not submitted to the Federal Clearinghouse by Feburary 28, 2024.Criteria" 2 CRF Section 200.512(b) provides for a form, referred to as the data collection form, to be prepared at the completion of each audit and submitted by the auditee to the Federal Audit Clearinghouse the earlier of 30 calendar days after the receipt of the auditor's report or nine months after the end of the audit period. Cause: THe audit report was not issued prior to February 28, 2024, submission date requirement. Therefore, the data collection form required at audit completion was not filed by this date. Effect: The Organization has not met the reporting requirements related to timely submission of the data collection from required for a Single Audit. Therefore, per 2 CFR section 200.520, the Organization will not meet the low-risk auditee criteria for the next Single Audit the requires sbumission of the data collection form and reporting package. Recommendation: We recommend that the Organization develop specific procedures to ensure that the data collection for is submitted prior to the February 28th reporting deadline. Response: The Organization will work with the audit firm to ensure the data collection form is filed timely.

Condition: The Village met the requirements for a Single Audit and is required to submit its annual audited financial statements and single audit reporting requirements within 9 months of the Village's fiscal year end. The Village did not complete and submit its single audit by February 28, 2025. Criteria: The requirement in 2 CFR 200.512(a)(1) states that single audits are due to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or 9 months from the Village's fiscal year end. This reporting package, is required to be submitted electronically and includes the financial statements and a supplementary schedule of expenditures of federal awards, auditor’s reports, a summary schedule of prior audit findings and a corrective action plan, if necessary. The delay in the timely submission of the audited financial statements and single audit reporting requirements was primarily due to a combination of factors impacting the ability to complete the necessary procedures within the required timeframe.

Finding 2024-001 Federal assistance listing number and name: 10.415 Rural Rent Housing Loans Awards numbers and years: 2024 Federal agency: United States Department of Agriculture Compliance Requirement: Activities allowed or unallowed, allowable costs/ cash management, eligibility, equipment, period of performance, procurement, program income, reporting, special tests Questioned Costs: None Criteria: In accordance with 2 CFR §200.512(a), non-Federal entities that expend $750,000 or more in Federal awards during the fiscal year must submit the audit report to the FAC Federal Audit Clearinghouse (FAC) 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. Additionally, program-specific requirements may mandate timely submission to other agencies, including Rural Development (RD). Condition and Context: The auditee did not submit the required audit reports to the Federal Audit Clearinghouse (FAC) and Rural Development (RD) in a timely manner. Specifically:  The 2023 Audit Report was not submitted to the FAC as required under 2 CFR Part 200, Subpart F.  The 2024 Audit Report was submitted past the regulatory deadline to both the FAC and RD. Cause: The delays and omission appear to have resulted from the prior auditor not being able to submit the Audit Report due to technical issues and the Rural Department not providing the loan statements in a timely manner. Effect: Failure to submit audit reports timely impedes the federal government’s oversight responsibilities, potentially affects the auditee's risk assessment, and may jeopardize continued funding eligibility. Recommendation: Management should establish and adhere to a documented internal timeline to ensure timely audit preparation and submission. This should include calendar reminders, assigned staff responsibilities, and periodic checks throughout the audit cycle. Communication with the auditor should begin early in the fiscal year to ensure deadlines are met.

Finding 2024-001 Federal assistance listing number and name: 10.415 Rural Rent Housing Loans Awards numbers and years: 2024 Federal agency: United States Department of Agriculture Compliance Requirement: Activities allowed or unallowed, allowable costs/ cash management, eligibility, equipment, period of performance, procurement, program income, reporting, special tests Questioned Costs: None Criteria: In accordance with 2 CFR §200.512(a), non-Federal entities that expend $750,000 or more in Federal awards during the fiscal year must submit the audit report to the FAC Federal Audit Clearinghouse (FAC) 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. Additionally, program-specific requirements may mandate timely submission to other agencies, including Rural Development (RD). Condition and Context: The auditee did not submit the required audit reports to the Federal Audit Clearinghouse (FAC) and Rural Development (RD) in a timely manner. Specifically:  The 2023 Audit Report was not submitted to the FAC as required under 2 CFR Part 200, Subpart F.  The 2024 Audit Report was submitted past the regulatory deadline to both the FAC and RD. Cause: The delays and omission appear to have resulted from the prior auditor not being able to submit the Audit Report due to technical issues and the Rural Department not providing the loan statements in a timely manner. Effect: Failure to submit audit reports timely impedes the federal government’s oversight responsibilities, potentially affects the auditee's risk assessment, and may jeopardize continued funding eligibility. Recommendation: Management should establish and adhere to a documented internal timeline to ensure timely audit preparation and submission. This should include calendar reminders, assigned staff responsibilities, and periodic checks throughout the audit cycle. Communication with the auditor should begin early in the fiscal year to ensure deadlines are met.

Single Audit Data Collection Form Not Filed by Due Date- Condition: The data collection form for the Single Audit ended May 31, 2023 was not submitted to the Federal Clearinghouse by Feburary 28, 2024.Criteria" 2 CRF Section 200.512(b) provides for a form, referred to as the data collection form, to be prepared at the completion of each audit and submitted by the auditee to the Federal Audit Clearinghouse the earlier of 30 calendar days after the receipt of the auditor's report or nine months after the end of the audit period. Cause: THe audit report was not issued prior to February 28, 2024, submission date requirement. Therefore, the data collection form required at audit completion was not filed by this date. Effect: The Organization has not met the reporting requirements related to timely submission of the data collection from required for a Single Audit. Therefore, per 2 CFR section 200.520, the Organization will not meet the low-risk auditee criteria for the next Single Audit the requires sbumission of the data collection form and reporting package. Recommendation: We recommend that the Organization develop specific procedures to ensure that the data collection for is submitted prior to the February 28th reporting deadline. Response: The Organization will work with the audit firm to ensure the data collection form is filed timely.

Condition: The Village met the requirements for a Single Audit and is required to submit its annual audited financial statements and single audit reporting requirements within 9 months of the Village's fiscal year end. The Village did not complete and submit its single audit by February 28, 2025. Criteria: The requirement in 2 CFR 200.512(a)(1) states that single audits are due to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or 9 months from the Village's fiscal year end. This reporting package, is required to be submitted electronically and includes the financial statements and a supplementary schedule of expenditures of federal awards, auditor’s reports, a summary schedule of prior audit findings and a corrective action plan, if necessary. The delay in the timely submission of the audited financial statements and single audit reporting requirements was primarily due to a combination of factors impacting the ability to complete the necessary procedures within the required timeframe.

Finding 2024-001 Federal assistance listing number and name: 10.415 Rural Rent Housing Loans Awards numbers and years: 2024 Federal agency: United States Department of Agriculture Compliance Requirement: Activities allowed or unallowed, allowable costs/ cash management, eligibility, equipment, period of performance, procurement, program income, reporting, special tests Questioned Costs: None Criteria: In accordance with 2 CFR §200.512(a), non-Federal entities that expend $750,000 or more in Federal awards during the fiscal year must submit the audit report to the FAC Federal Audit Clearinghouse (FAC) 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. Additionally, program-specific requirements may mandate timely submission to other agencies, including Rural Development (RD). Condition and Context: The auditee did not submit the required audit reports to the Federal Audit Clearinghouse (FAC) and Rural Development (RD) in a timely manner. Specifically:  The 2023 Audit Report was not submitted to the FAC as required under 2 CFR Part 200, Subpart F.  The 2024 Audit Report was submitted past the regulatory deadline to both the FAC and RD. Cause: The delays and omission appear to have resulted from the prior auditor not being able to submit the Audit Report due to technical issues and the Rural Department not providing the loan statements in a timely manner. Effect: Failure to submit audit reports timely impedes the federal government’s oversight responsibilities, potentially affects the auditee's risk assessment, and may jeopardize continued funding eligibility. Recommendation: Management should establish and adhere to a documented internal timeline to ensure timely audit preparation and submission. This should include calendar reminders, assigned staff responsibilities, and periodic checks throughout the audit cycle. Communication with the auditor should begin early in the fiscal year to ensure deadlines are met.

Finding 2024-001 Federal assistance listing number and name: 10.415 Rural Rent Housing Loans Awards numbers and years: 2024 Federal agency: United States Department of Agriculture Compliance Requirement: Activities allowed or unallowed, allowable costs/ cash management, eligibility, equipment, period of performance, procurement, program income, reporting, special tests Questioned Costs: None Criteria: In accordance with 2 CFR §200.512(a), non-Federal entities that expend $750,000 or more in Federal awards during the fiscal year must submit the audit report to the FAC Federal Audit Clearinghouse (FAC) 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. Additionally, program-specific requirements may mandate timely submission to other agencies, including Rural Development (RD). Condition and Context: The auditee did not submit the required audit reports to the Federal Audit Clearinghouse (FAC) and Rural Development (RD) in a timely manner. Specifically:  The 2023 Audit Report was not submitted to the FAC as required under 2 CFR Part 200, Subpart F.  The 2024 Audit Report was submitted past the regulatory deadline to both the FAC and RD. Cause: The delays and omission appear to have resulted from the prior auditor not being able to submit the Audit Report due to technical issues and the Rural Department not providing the loan statements in a timely manner. Effect: Failure to submit audit reports timely impedes the federal government’s oversight responsibilities, potentially affects the auditee's risk assessment, and may jeopardize continued funding eligibility. Recommendation: Management should establish and adhere to a documented internal timeline to ensure timely audit preparation and submission. This should include calendar reminders, assigned staff responsibilities, and periodic checks throughout the audit cycle. Communication with the auditor should begin early in the fiscal year to ensure deadlines are met.

Criteria The audit, the data collection form, and the reporting package must be submitted within 30 calendar days after the auditee receives the auditor's report(s) or nine months after the end of the audit period (whichever is earlier). 2 CFR 200.512 Condition The Village did not have an audit completed within nine months after year end. Cause The Village has not previously prepared financial statements in accordance with accounting principles generally accepted in the United States of America (GAAP). Therefore, the Village required additional time to prepare its accounting records and have the independent audit performed. Effect The Village’s financial statements were not completed, nor were the financial statement audit or compliance audit completed before the nine month due date. Auditors’ Recommendation We recommend that the Village have its audit completed timely and file the data collection by the required deadline. Management’s Response The Village will seek additional accounting assistance in order to complete its accounting records and related financial statements in a more timely manner.

#2024-003: Grant Program: Department of Health and Human Services – National Institutes for Health Research and Development Cluster – Cancer Control – Assistance Listing #93.599 – Untimely Filed Data Collection Form Condition: The Consortium did not submit the Data Collection Form (DCF) and reporting package to the Federal Audit Clearinghouse (FAC) within the required timeframe for the year ended May 31, 2024. Criteria: Per 2 CFR §200.512(b), the Consortium must submit the completed DCF and the reporting package to FAC within the earlier of 30 calendar days after receipt of the Auditors’ report(s), or nine months after the end of the audit period. Context: At the time of completion of the audit for the year ended May 31, 2024, the deadline for submission of February 28, 2025, was passed and the DCF is considered not timely filed. Cause: The late submission was due to delays in finalizing the audit. Effect: Failure to submit the DCF timely may delay federal agencies’ access to audit results and could impact the Consortium’s eligibility for future funding. Additionally, an untimely filed DCF results in high-risk auditee status. Recommendation: We recommend the Consortium implement procedures to ensure timely submission of the DCF and reporting packing, including establishing internal deadlines ahead of the federal due date for audit completion. Management Response: See Corrective Action Plan.

Finding 2024-001: Untimely Submission of the 2023 Single Audit Reporting Package Federal Programs: Applicable to all assistance listing numbers (ALN’s) and federal agencies (and pass-through entities) included on the schedule of expenditures of federal awards for the year ended April 30, 2023. Criteria: Uniform Guidance 2 CFR 200.512(a), Report Submission requires that each organization’s audit must be completed and the data collection form and reporting package 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. For any 2023 submissions with fiscal periods ending between January 1, 2023 and September 30, 2023, the 2 CFR 200.512(a)(1) requirement for Single Audit report to be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor’s report(s), is waived. These audits will be considered on time if they are submitted within nine months after the end of the audit period. Condition and Context: As the waiver noted above was applicable to the Village, the Single Audit reporting package for the Village’s fiscal year ended April 30, 2023 should have been submitted to the Federal Audit Clearinghouse by January 31, 2024. However, submission did not take place until December 16, 2024. Cause: The Village does not have sufficient controls in place over timely submission of the Single Audit reporting package. Effect or Potential Effect: The Single Audit reporting package was not received timely by the Federal Audit Clearinghouse. This could potentially impact future funding by federal agencies. Questioned Costs: None. Repeat Finding: No Recommendation: To ensure compliance with Federal regulations, we recommend the Village develop additional controls so all elements of the Single Audit reporting package are submitted timely. View of Responsible Officials: Management agrees with this finding. See corrective action plan.

Finding 2024-001: Untimely Submission of the 2023 Single Audit Reporting Package Federal Programs: Applicable to all assistance listing numbers (ALN’s) and federal agencies (and pass-through entities) included on the schedule of expenditures of federal awards for the year ended April 30, 2023. Criteria: Uniform Guidance 2 CFR 200.512(a), Report Submission requires that each organization’s audit must be completed and the data collection form and reporting package 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. For any 2023 submissions with fiscal periods ending between January 1, 2023 and September 30, 2023, the 2 CFR 200.512(a)(1) requirement for Single Audit report to be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor’s report(s), is waived. These audits will be considered on time if they are submitted within nine months after the end of the audit period. Condition and Context: As the waiver noted above was applicable to the Village, the Single Audit reporting package for the Village’s fiscal year ended April 30, 2023 should have been submitted to the Federal Audit Clearinghouse by January 31, 2024. However, submission did not take place until December 16, 2024. Cause: The Village does not have sufficient controls in place over timely submission of the Single Audit reporting package. Effect or Potential Effect: The Single Audit reporting package was not received timely by the Federal Audit Clearinghouse. This could potentially impact future funding by federal agencies. Questioned Costs: None. Repeat Finding: No Recommendation: To ensure compliance with Federal regulations, we recommend the Village develop additional controls so all elements of the Single Audit reporting package are submitted timely. View of Responsible Officials: Management agrees with this finding. See corrective action plan.