Finding 1129918 (2024-001)

Criteria: Per OMB Compliance Supplement under the financial reporting requirement for SF-425, Federal Financial Report (OMB No. 4040-0014), and per Code of Federal Regulations (CFR), Title 2, Subtitle A, Chapter II, Part 200, Compliance Requirements, the annual Federal Financial Report (FFR) due dates are aligned with the Payment Management System quarterly report due dates. Condition The annual FFR for the quarter ending March 31, 2024 was submitted on November 19, 2024, which is 112 days after the required submission due date of July 30, 2024. Cause and Effect The Center had significant employee turnover during the year. As a result, the FFR was submitted late. Questioned Costs None Recommendation We recommend that the Center enhance its existing tracking process of grant report submission requirements and maintain formal documentation of reports submitted. Additionally, the Center should implement a procedure to request approval from the granting agency for federal report submission extensions in advance of the due date. Documentation of such extensions should be maintained on file. This will help ensure compliance with grant reporting requirements, as specified in the grant agreement.