Finding 1088874 (2023-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-11-27
Audit: 330162
Organization: Chief Seattle Club (WA)

AI Summary

  • Core Issue: The Organization failed to submit its 2023 Single Audit and Data Collection form on time, repeating a previous finding.
  • Impacted Requirements: Submission deadlines set by the Uniform Guidance were not met, risking future federal funding.
  • Recommended Follow-Up: Establish a compliance deadline schedule to prevent future delays, especially during significant system changes.

Finding Text

Federal Agency Program Title Assistance Listing Number Award Number Award Period All awards reported on the schedule of expenditures of federal awards Identification as a Repeat Finding: Elements of this finding are repeated from Finding 2022-003 Finding: The Organization did not file its annual 2023 Single Audit and Data Collection form timely. Criteria: The Single Audit Reporting Package and Data Collection Form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor’s report, or 9 months after the end of the fiscal year, whichever comes first. Condition and context: Submission of the Single Audit Reporting Package and Data Collection Form to the FAC was not completed within the timeframe required by the Uniform Guidance. During the audit we noted that the Single Audit Reporting Package and Data Collection Form is expected to be submitted to the FAC during November 2024 for the fiscal year ended December 31, 2023. Cause: The Organization implemented a new general ledger system effective January 1, 2024. The time the accounting and finance team devoted to the conversion reduced their availability to prepare for the audit. As such, audit fieldwork commenced three months later than in the prior year. This delay was further compounded by members of the accounting and finance team contracting COVID-19 during audit fieldwork and delays in receiving accurate financial reports from the property managers as noted in Finding 2023-001. Sample size and population: Sampling was not applicable to this finding. Effect: Noncompliance with the Uniform Guidance could reduce access to future funding from Federal sources. Recommendation: General ledger conversions happen infrequently. Therefore, it would be unusual for a similar matter to reoccur; however, it considered a best practice to maintain a schedule of regulatory and compliance deadlines to ensure related tasks are completed in advance of deadlines. Also, see recommendation in Finding 2023-001. Question Costs: None Management Response and Corrective Action Plan: See Corrective Action Plan. Contact Person: Marc Taylor, Chief Finance Officer

Categories

Reporting

Other Findings in this Audit

  • 512430 2023-002
    Material Weakness Repeat
  • 512431 2023-002
    Material Weakness Repeat
  • 512432 2023-002
    Material Weakness Repeat
  • 512433 2023-002
    Material Weakness Repeat
  • 1088872 2023-002
    Material Weakness Repeat
  • 1088873 2023-002
    Material Weakness Repeat
  • 1088875 2023-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.239 Home Investment Partnerships Program $2.33M
14.218 Community Development Block Grants/entitlement Grants $1.50M
21.027 Coronavirus State and Local Fiscal Recovery Funds $200,000