2023-02 Expenditures of Federal Awards Internal Control and Compliance AL/CFDA#: 93.243 Federal Program: Substance Abuse and Mental Health Services Projects of Regional and National Significance Criteria: The Uniform Guidance-2CFR 200.508(b) and 2 CFR 200.508(d)-state: “The auditee must:…(b) Prepare appropriate financial statements, including the schedule of Federal awards in accordance with §200.510…(d) Provide the auditor with access to personnel, accounts, books, records, supporting documentation, and other information as needed for the auditor to perform the audit required by this part.” Also, the Uniform Guidance §200.512 requires “the audit be completed and the data collection form described in paragraph (b) of this section must be submitted within the earlier of 30 calendar days after receipts of the auditor’s report(s), or nine months after the end of the audit period.” Condition: The NIWHRC experienced a change in the Executive Director and also in their accounting firm during the period under audit. The NIWHRC also experienced difficulty in finding a qualified audit firm to perform the audit. Cause and Effect: NIWHRC is out of compliance with the reporting deadline for the audit. Recommendation: I recommend the NIWHRC develop policy and procedures to ensure the organization remains in compliance with federal award obligations. Responsible Official's Response: The Executive Director has returned from sabbatical and has resumed duties and the NIWHRC has engaged a CPA audit firm.
Section III - Findings and Questioned Costs – Major Federal Award Programs Audit We noted an instance of noncompliance relating to the Federal Awards Programs, which is required to be reported in accordance with generally accepted Government Auditing Standards. 2023-002 Criteria: CFR Section 200.512(a) requires the data collection form and Single Audit reporting package be submitted the earlier of 30 days after the reports are received from the auditors or nine months after the end of the audit period. Condition: The audit package and data collection form for the year ended September 30, 2023, was not submitted within the required time frame as described in 2 CFR Section 200.512(a). Cause: The Uniform Guidance audit procedures were not complete as of June 30, 2024. Effect: The Organization is not in compliance with the provisions of 2 CFR Section 200.512(a) for the year ended September 30, 2023. Recommendation: The Organization should submit the Data Collection Form and reporting package to the Federal Audit Clearinghouse within thirty business days of the issuance of the audit reports required under the Uniform Guidance. Views of the Responsible Officials and Planned Corrective Actions: The Organization concurs with the finding. The Data Collection Form and reporting package will be submitted to the Federal Audit Clearinghouse within thirty business days of the issuance of the audit reports required under the Uniform Guidance. See the corrective action plan on page 45.
Finding Number: 2023-001 Prior Year Finding Number: 2022-001 Compliance Requirement: Data Collection Form and Single Audit Reporting Package Program: Economic Adjustment Assistance CFDA #: 21.027 Award #: SLFRP 3818 Award Years: 05/01/2022 – 12/31/2023 10/01/2022 – 12/31/2026 Criteria: 2 CFR 200.512 requires that an entity’s single audit is to be submitted the earlier of thirty days after the receipt of the auditor’s report or nine months after the end of the audit period to the Federal Audit Clearinghouse (FAC). Condition: The Economic Development Authority (the Authority) audited financial statements for the September 30, 2023, year-end was not submitted to the Federal Audit Clearinghouse within the stipulated nine months after year-end. Questioned Costs: $-0- Context: This is a condition identified based on review of Uniform Guidance requirements and the grant agreements. Effect: The project is not in compliance with the reporting compliance of the Office of Management and Budget for non-profit, state and local government entities. Cause: There were transitions in financial personnel which resulted in delays in the audit process. Recommendation: We recommend that the Authority meets the reporting deadline by establishing an audit timeline to ensure that the reporting package is submitted to the FAC annually within the required timeframe. Views of Responsible Management Official and Corrective Action Plan: Management concurs with finding. See Current Year Corrective Action Plan
Finding Number: 2023-003 – Late Single Audit Report Submission Federal Agencies: All Federal Programs: All Assistance Listing Numbers: All Award Identification Number and Year: All Criteria or Specific Requirement: Per 2 CFR §200.512(a), non-Federal entities that expend $750,000 or more in Federal awards during their fiscal year are required to complete and submit their Single Audit report to the FAC within nine months of the end of their fiscal year or within 30 days of receiving the auditor’s report, whichever is earlier. Condition: CIPE did not submit its Single Audit report for the fiscal year ending September 30, 2023 to the Federal Audit Clearinghouse (FAC) within the required nine-month deadline. Cause: The late submission was due to a number of factors, including turnover in key positions on the finance team, accounting system changes and overall lack of resources available dedicated to completing the annual audit in a timely manner. Effect or Potential Effect: Failure to submit the Single Audit report by the required deadline results in noncompliance with Federal regulations, potentially delaying Federal oversight and impacting CIPE’s ability to access Federal funding in the future. Questioned Costs: None Context: This finding is considered systemic rather than isolated. The entity has not had prior findings related to late submissions in recent years. However, the combination of new financial system implementation and staff turnover created unusual circumstances that delayed preparation of accurate financial information and completion of the audit. Identification as a Repeat Finding, if Applicable: Not applicable Recommendation: We recommend that CIPE implement controls to ensure timely submission of the Single Audit report, such as: 1. Establishing internal timelines that allow for adequate review and submission well before the due date. 2. Enhancing oversight of the audit process to monitor compliance with Uniform Guidance deadlines. 3. Providing training to relevant personnel on Federal reporting requirements.
Noncompliance with Laws and Regulations (Repeated Finding): Criteria – Under 2 CFR 200.512, auditee must submit single audit data collection and reporting package to the Federal Audit Clearinghouse within the earlier of 30 calendar days after the receipt of auditor’s report or nine months after the end of audit period. Condition – Accounting records were not complete and not readily available to schedule the audit. Also, major health challenges to the Executive Director family member. The single audit reporting package was due on June 30, 2024 . Context – Management is responsible for reviewing accounting data for making necessary adjustments, and preparation of financial statements for timely audit engagement and submission to the Federal Audit Clearinghouse. Cause – There were a number of staffing transitions during the year during the year, also an increase of limited finance team workload. Recommendation – We recommend that the Organization obtain appropriate experienced accounting staff, implement systems and procedures to ensure timely completion of the Single Audit and the submission of the reporting package to the Federal Clearinghouse. View of Responsible Officials and Corrective Action Plan – After the fiscal year ended in 2024, there has been a change in leadership within our financial department. With this transition, adjustments have been made to the financial procedures and controls to address potential lapses in the closing process. The Organization has revised the way it records, reconciles, and review financial entries. The Outsourced CFO will ensure that the Organization submits timely single audit data collection and reporting package to the Federal Audit Clearinghouse.
2023-005- LATE FILING OF THE SINGLE AUDIT REPORTING PACKAGE WITH THE FEDERAL AUDIT CLEARINGHOUSE Federal Agency: All included on the Schedule of Expenditures of Federal Awards Federal Program Title and Assistance Listing Number: All included on the Schedule of Expenditures of Federal Awards Type of Finding: Significant Deficiency, Other Non-compliance Compliance Area: Reporting Questioned Costs: None Condition The Organization did not submit their Single Audit reporting package (financial statements, datacollection form, and corrective action plan) within the required time period. Criteria 2 CFR 200.512 stipulates the requirement that the Single Audit 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. Effect Late reporting could cause additional oversight or restriction by grantors. Cause Due to turnover, internal controls were not properly designed, executed, and monitored to ensure a timely preparation of reports and records for audit purposes. As a result, management did notcomply with the submission requirements of 2 CFR 200.512.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Finding Number: 2023-002 Repeat Finding: Yes Type of Finding: Significant Deficiency in Internal Control and Nonmaterial Noncompliance Description: Data Collection Form Late Filing Major Programs: AL#10.557 - WIC Special Supplemental Nutrition Program for Women, Infants and Children – Award numbers: CD3-21-4658B and CD3-22-4658B AL#21.023 – COVID-19 - Emergency Rental Assistance Program – Award numbers – None Questioned Costs: None How the questioned costs were computed: N/A Compliance Requirement: Reporting Requirement Condition: The Organization did not submit the data collection form and reporting package, for the year ended August 31, 2022, to the Federal Audit Clearinghouse in a timely manner. Criteria: The Report Submission that is codified in 2 CFR Part 200.512 requires the auditee must submit the applicable data elements of the data collection form 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. Cause: Management did not certify the auditee section timely. Effect: The Organization was not in compliance with audit submission requirements, resulting in a non-material noncompliance and significant deficiency in internal controls over compliance. Recommendation: We recommend the Organization implement systems and procedures to ensure timely completion of its audit and submission of the audit package to the Federal Audit Clearinghouse. View of Responsible Officials: Management agrees with the finding and has committed to a corrective action plan.
Finding Number: 2023-002 Repeat Finding: Yes Type of Finding: Significant Deficiency in Internal Control and Nonmaterial Noncompliance Description: Data Collection Form Late Filing Major Programs: AL#10.557 - WIC Special Supplemental Nutrition Program for Women, Infants and Children – Award numbers: CD3-21-4658B and CD3-22-4658B AL#21.023 – COVID-19 - Emergency Rental Assistance Program – Award numbers – None Questioned Costs: None How the questioned costs were computed: N/A Compliance Requirement: Reporting Requirement Condition: The Organization did not submit the data collection form and reporting package, for the year ended August 31, 2022, to the Federal Audit Clearinghouse in a timely manner. Criteria: The Report Submission that is codified in 2 CFR Part 200.512 requires the auditee must submit the applicable data elements of the data collection form 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. Cause: Management did not certify the auditee section timely. Effect: The Organization was not in compliance with audit submission requirements, resulting in a non-material noncompliance and significant deficiency in internal controls over compliance. Recommendation: We recommend the Organization implement systems and procedures to ensure timely completion of its audit and submission of the audit package to the Federal Audit Clearinghouse. View of Responsible Officials: Management agrees with the finding and has committed to a corrective action plan.
Finding Number: 2023-002 Repeat Finding: Yes Type of Finding: Significant Deficiency in Internal Control and Nonmaterial Noncompliance Description: Data Collection Form Late Filing Major Programs: AL#10.557 - WIC Special Supplemental Nutrition Program for Women, Infants and Children – Award numbers: CD3-21-4658B and CD3-22-4658B AL#21.023 – COVID-19 - Emergency Rental Assistance Program – Award numbers – None Questioned Costs: None How the questioned costs were computed: N/A Compliance Requirement: Reporting Requirement Condition: The Organization did not submit the data collection form and reporting package, for the year ended August 31, 2022, to the Federal Audit Clearinghouse in a timely manner. Criteria: The Report Submission that is codified in 2 CFR Part 200.512 requires the auditee must submit the applicable data elements of the data collection form 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. Cause: Management did not certify the auditee section timely. Effect: The Organization was not in compliance with audit submission requirements, resulting in a non-material noncompliance and significant deficiency in internal controls over compliance. Recommendation: We recommend the Organization implement systems and procedures to ensure timely completion of its audit and submission of the audit package to the Federal Audit Clearinghouse. View of Responsible Officials: Management agrees with the finding and has committed to a corrective action plan.
2023-002 Reporting – Significant Deficiency Federal Program – Department of Health and Human Services (Project Head Start and Early Head Start, AL No. 93.600 and Low-Income Home Energy Assistance Program, AL No. 93.568) Criteria – 2 CFR § 200.512(a)(1) states that an auditee must submit a data collection form and audit reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period. Condition – The Agency’s August 31, 2023 audited consolidated financial statements and data collection form were not filed with the Federal Audit Clearinghouse within nine months of the Agency’s fiscal year-end. Questioned Costs – None Context – Northwest Community Action, Inc. and Subsidiary’s August 31, 2023 audited financial statements was not completed as of the due date, therefore the data collection form was not filed timely. Cause – Significant staff turnover causing a delay in the start of the audit. Effect – The Agency is not in compliance with Uniform Guidance requirements. Repeat Finding - This is a repeat finding. Recommendation – We recommend that Northwest Community Action, Inc. and Subsidiary ensure records are reconciled and available for audit within a timely manner at year-end. Views of Responsible Officials and Planned Corrective Actions - See corrective action plan for response.
2023-002 Reporting – Significant Deficiency Federal Program – Department of Health and Human Services (Project Head Start and Early Head Start, AL No. 93.600 and Low-Income Home Energy Assistance Program, AL No. 93.568) Criteria – 2 CFR § 200.512(a)(1) states that an auditee must submit a data collection form and audit reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period. Condition – The Agency’s August 31, 2023 audited consolidated financial statements and data collection form were not filed with the Federal Audit Clearinghouse within nine months of the Agency’s fiscal year-end. Questioned Costs – None Context – Northwest Community Action, Inc. and Subsidiary’s August 31, 2023 audited financial statements was not completed as of the due date, therefore the data collection form was not filed timely. Cause – Significant staff turnover causing a delay in the start of the audit. Effect – The Agency is not in compliance with Uniform Guidance requirements. Repeat Finding - This is a repeat finding. Recommendation – We recommend that Northwest Community Action, Inc. and Subsidiary ensure records are reconciled and available for audit within a timely manner at year-end. Views of Responsible Officials and Planned Corrective Actions - See corrective action plan for response.
2023-002 Reporting – Significant Deficiency Federal Program – Department of Health and Human Services (Project Head Start and Early Head Start, AL No. 93.600 and Low-Income Home Energy Assistance Program, AL No. 93.568) Criteria – 2 CFR § 200.512(a)(1) states that an auditee must submit a data collection form and audit reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period. Condition – The Agency’s August 31, 2023 audited consolidated financial statements and data collection form were not filed with the Federal Audit Clearinghouse within nine months of the Agency’s fiscal year-end. Questioned Costs – None Context – Northwest Community Action, Inc. and Subsidiary’s August 31, 2023 audited financial statements was not completed as of the due date, therefore the data collection form was not filed timely. Cause – Significant staff turnover causing a delay in the start of the audit. Effect – The Agency is not in compliance with Uniform Guidance requirements. Repeat Finding - This is a repeat finding. Recommendation – We recommend that Northwest Community Action, Inc. and Subsidiary ensure records are reconciled and available for audit within a timely manner at year-end. Views of Responsible Officials and Planned Corrective Actions - See corrective action plan for response.
2023-002 Reporting – Significant Deficiency Federal Program – Department of Health and Human Services (Project Head Start and Early Head Start, AL No. 93.600 and Low-Income Home Energy Assistance Program, AL No. 93.568) Criteria – 2 CFR § 200.512(a)(1) states that an auditee must submit a data collection form and audit reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period. Condition – The Agency’s August 31, 2023 audited consolidated financial statements and data collection form were not filed with the Federal Audit Clearinghouse within nine months of the Agency’s fiscal year-end. Questioned Costs – None Context – Northwest Community Action, Inc. and Subsidiary’s August 31, 2023 audited financial statements was not completed as of the due date, therefore the data collection form was not filed timely. Cause – Significant staff turnover causing a delay in the start of the audit. Effect – The Agency is not in compliance with Uniform Guidance requirements. Repeat Finding - This is a repeat finding. Recommendation – We recommend that Northwest Community Action, Inc. and Subsidiary ensure records are reconciled and available for audit within a timely manner at year-end. Views of Responsible Officials and Planned Corrective Actions - See corrective action plan for response.
2023-002 Reporting – Significant Deficiency Federal Program – Department of Health and Human Services (Project Head Start and Early Head Start, AL No. 93.600 and Low-Income Home Energy Assistance Program, AL No. 93.568) Criteria – 2 CFR § 200.512(a)(1) states that an auditee must submit a data collection form and audit reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period. Condition – The Agency’s August 31, 2023 audited consolidated financial statements and data collection form were not filed with the Federal Audit Clearinghouse within nine months of the Agency’s fiscal year-end. Questioned Costs – None Context – Northwest Community Action, Inc. and Subsidiary’s August 31, 2023 audited financial statements was not completed as of the due date, therefore the data collection form was not filed timely. Cause – Significant staff turnover causing a delay in the start of the audit. Effect – The Agency is not in compliance with Uniform Guidance requirements. Repeat Finding - This is a repeat finding. Recommendation – We recommend that Northwest Community Action, Inc. and Subsidiary ensure records are reconciled and available for audit within a timely manner at year-end. Views of Responsible Officials and Planned Corrective Actions - See corrective action plan for response.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Federal agency: U.S. Department of Health and Human Services Federal program title: Child Care and Development Fund Cluster ALN: 93.575 and 93.596 Finding 2023-001 Reportable Finding Considered a Material Weakness: Data Collection Form Reporting Criteria: According to 2 CFR 200.512 the data collection and reporting package must be submitted within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The data collection for the 2022 Single Audit was not submitted in the required timeframe. Causes: The Single Audit was not completed in time to file the data collection from by the deadline due to delays in receiving audit support from outside third parties. Effect: The data collection for the 2022 Single Audit was not submitted within the required timeframe and this data was not reported timely to the government. Repeat Finding: This is not a repeat finding in 2023. Recommendation: We recommend that the Organization ensure that they contact third parties in advance of the audit to ensure timely receipt of data to complete the audit timely and ensure the data collection form and reporting package are filed within the required timeframe.
Finding Number: 2023-002 Repeat Finding: Yes Type of Finding: Significant Deficiency in Internal Control and Nonmaterial Noncompliance Description: Data Collection Form Late Filing Major Programs: AL#10.557 - WIC Special Supplemental Nutrition Program for Women, Infants and Children – Award numbers: CD3-21-4658B and CD3-22-4658B AL#21.023 – COVID-19 - Emergency Rental Assistance Program – Award numbers – None Questioned Costs: None How the questioned costs were computed: N/A Compliance Requirement: Reporting Requirement Condition: The Organization did not submit the data collection form and reporting package, for the year ended August 31, 2022, to the Federal Audit Clearinghouse in a timely manner. Criteria: The Report Submission that is codified in 2 CFR Part 200.512 requires the auditee must submit the applicable data elements of the data collection form 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. Cause: Management did not certify the auditee section timely. Effect: The Organization was not in compliance with audit submission requirements, resulting in a non-material noncompliance and significant deficiency in internal controls over compliance. Recommendation: We recommend the Organization implement systems and procedures to ensure timely completion of its audit and submission of the audit package to the Federal Audit Clearinghouse. View of Responsible Officials: Management agrees with the finding and has committed to a corrective action plan.
Finding Number: 2023-002 Repeat Finding: Yes Type of Finding: Significant Deficiency in Internal Control and Nonmaterial Noncompliance Description: Data Collection Form Late Filing Major Programs: AL#10.557 - WIC Special Supplemental Nutrition Program for Women, Infants and Children – Award numbers: CD3-21-4658B and CD3-22-4658B AL#21.023 – COVID-19 - Emergency Rental Assistance Program – Award numbers – None Questioned Costs: None How the questioned costs were computed: N/A Compliance Requirement: Reporting Requirement Condition: The Organization did not submit the data collection form and reporting package, for the year ended August 31, 2022, to the Federal Audit Clearinghouse in a timely manner. Criteria: The Report Submission that is codified in 2 CFR Part 200.512 requires the auditee must submit the applicable data elements of the data collection form 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. Cause: Management did not certify the auditee section timely. Effect: The Organization was not in compliance with audit submission requirements, resulting in a non-material noncompliance and significant deficiency in internal controls over compliance. Recommendation: We recommend the Organization implement systems and procedures to ensure timely completion of its audit and submission of the audit package to the Federal Audit Clearinghouse. View of Responsible Officials: Management agrees with the finding and has committed to a corrective action plan.
Finding Number: 2023-002 Repeat Finding: Yes Type of Finding: Significant Deficiency in Internal Control and Nonmaterial Noncompliance Description: Data Collection Form Late Filing Major Programs: AL#10.557 - WIC Special Supplemental Nutrition Program for Women, Infants and Children – Award numbers: CD3-21-4658B and CD3-22-4658B AL#21.023 – COVID-19 - Emergency Rental Assistance Program – Award numbers – None Questioned Costs: None How the questioned costs were computed: N/A Compliance Requirement: Reporting Requirement Condition: The Organization did not submit the data collection form and reporting package, for the year ended August 31, 2022, to the Federal Audit Clearinghouse in a timely manner. Criteria: The Report Submission that is codified in 2 CFR Part 200.512 requires the auditee must submit the applicable data elements of the data collection form 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. Cause: Management did not certify the auditee section timely. Effect: The Organization was not in compliance with audit submission requirements, resulting in a non-material noncompliance and significant deficiency in internal controls over compliance. Recommendation: We recommend the Organization implement systems and procedures to ensure timely completion of its audit and submission of the audit package to the Federal Audit Clearinghouse. View of Responsible Officials: Management agrees with the finding and has committed to a corrective action plan.
2023-002 Reporting – Significant Deficiency Federal Program – Department of Health and Human Services (Project Head Start and Early Head Start, AL No. 93.600 and Low-Income Home Energy Assistance Program, AL No. 93.568) Criteria – 2 CFR § 200.512(a)(1) states that an auditee must submit a data collection form and audit reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s report or nine months after the end of the audit period. Condition – The Agency’s August 31, 2023 audited consolidated financial statements and data collection form were not filed with the Federal Audit Clearinghouse within nine months of the Agency’s fiscal year-end. Questioned Costs – None Context – Northwest Community Action, Inc. and Subsidiary’s August 31, 2023 audited financial statements was not completed as of the due date, therefore the data collection form was not filed timely. Cause – Significant staff turnover causing a delay in the start of the audit. Effect – The Agency is not in compliance with Uniform Guidance requirements. Repeat Finding - This is a repeat finding. Recommendation – We recommend that Northwest Community Action, Inc. and Subsidiary ensure records are reconciled and available for audit within a timely manner at year-end. Views of Responsible Officials and Planned Corrective Actions - See corrective action plan for response.