Finding Text
2023-002 Submitting Single Audit Package on time
Condition: The Organization did not submit its Single Audit Package to the Federal Audit Clearing House in a timely manner as required by federal regulations.
Criteria: The absence of the audit being completed in a timely manner did not allow the Organization to submit the Single Audit Package on a timely basis.
Cause: The Organization did not complete their audit for the year ending December 31, 2023 until after the due date of September 30, 2024 for the Single Audit Package.
Effect: The late submission of the Single Audit Package is a violation of federal regulations and impairs grantor agencies’ ability to monitor federally funded programs. As a result, the Organization is designated a high-risk auditee until it accomplished timely submission of its Single Audit Package for two consecutive years.
Auditor’s Recommendation: We recommend the Organization submit its Single Audit Reporting Package to the FAC no later than 9 months after the fiscal year-end.
Grantee Response: We have executed strategic process improvements and personnel adjustments within the Finance function specifically designed to facilitate more efficient and timely completion of month-end, quarter-end, and year-end close procedures. These improvements include standardized workflows, clearly defined responsibilities, and process automation.
Additionally, the finance team has committed to ensuring adequate time allocation for all audit activities. We have established a proactive planning framework that incorporates appropriate buffer periods to guarantee completion well in advance of regulatory deadlines. Furthermore, we commit to conducting all fieldwork within the initially scheduled timeframes to prevent timeline extensions.