Finding Text
Condition:
The organization could not provide copies of periodic financial and performance reports submitted to
the federal awarding agency or pass‐through entity for the ERA program.
Criteria:
2 CFR 200.328 requires non‐federal entities to submit accurate and timely financial and performance
reports to the awarding agency.
Cause:
The absence of policies and procedures for maintaining these records resulted in their unavailability
during the audit.
Effect:
Failure to maintain these reports limits the ability to substantiate compliance with the reporting
requirements.
Recommendation:
Develop and implement procedures to ensure financial and performance reports are prepared,
reviewed, and retained.
Questioned Costs: None
Management’s Response:
Management acknowledges the need to address and enhance this area finding. We are committed to
implementing new procedures for recording and tracking program income, including documenting its
source, amount, and application.
These procedures will be put in place within three months, with oversight provided by senior
management to ensure proper compliance and effective implementation.