Finding Text
Agencies: Corporation for National Community Service and U.S. Department of Health and Human Services
Federal Program: All federal awards.
Criteria: The Uniform Grant Guidance requires PHIMC to submit the Data Collection Form and single audit reporting package to the Federal Audit Clearinghouse within the earlier of nine months following its fiscal year end, or 30 days after receipt of the auditors' report.
Condition: PHIMC did not submit its 2023 Data Collection Form and single audit reporting package to the Federal Audit Clearinghouse before the deadline. In addition, PHIMC's Consolidated Year End Financial Report (CYEFR) required by the Grant Accountability and Transparency Act was also submitted late.
Context: The 2023 single audit reporting package was due to the Federal Clearinghouse no later than September 30, 2024. However, as a result of significant turnover in the business office, there were delays in completing both the financial and single audits. The CYEFR was due September 30, 2024.
Cause: Significant turnover in the business office led to delays in starting and completing the financial statement and single audits.
Questions Costs: None identified.
Effect: Timely reporting to governmental agencies was not achieved. Grantor agencies may reduce or withdraw funding if compliance requirements are not met.
Recommendation: We recommend PHIMC obtain adequate personnel or third party resources to ensure the timely and adequate close of PHIMC's year end and scheduling of the financial statement and single audits.
Views of Responsible Officials: Management concurs and hired a professional services firm to supplement its existing finance department.