Finding 1086056 (2023-003)

Finding 2023-003 Significant deficiency in internal control over compliance with reporting requirements Federal Agency: United States Department of Treasury Assistance Listing Number: 21.027 Assistance Listing Name: Coronavirus State and Local Fiscal Recovery Award Number: DA-202212-01096 Award Year: January 1, 2023 through December 31, 2023 Name of Pass-Through Entity: King County Regional Homelessness Authority Criteria The grant agreement requires ACLT to submit quarterly narrative (performance) reports and [quarterly/mid-year] and annual expenditure reports. These reports have specified due dates that ACLT is required to meet. Condition and Context We selected two of the four quarterly narrative (performance) reports for testing, the first quarter report due on April 10, 2023 and the fourth quarter report due on January 15, 2024. We noted that one of the two reports, the first quarter report, was submitted after the due date. The late report was due on April 10, 2023 and was submitted on May 5, 2023. Cause ACLT’s system of internal control did not operate effectively to ensure all required reports were submitted by the required due dates. Effect The effect of the condition is that some of the required reports were submitted late. Questioned Costs Not applicable. Repeat Finding Element of this finding are a repeat of finding 2022-007. Recommendation We recommend management review its controls and related procedures, and provide additional training as needed to applicable staff, to ensure all required reports are submitted by the required due dates. Views of Responsible Officials and Corrective Action Plan Management agrees with the finding and has provided the accompanying corrective action plan.