Finding Text
Finding #2024-002
Identification of the federal program:
Department of Health and Human Services
Health Center Program (Community Health Centers, Migrant Health Centers,
Health Care for the Homeless, and Public Housing Primary Care) 93.224
Grants for New and Expanded Services under the Health Center Program 93.527
Grants for New and Expanded Services under the Health Center Program 93.527
Criteria:
The federal data collection form is required to be filed by no later than the end of the ninth
month following the year-end date.
Condition:
There was a minor delay in closing the general ledger for the fiscal year ended June 30, 2023,
which delayed the start of the financial and federal single audits, resulting in the untimely
filing of the federal data collection form.
Cause:
There was a lack of communication at the accounting firm towards the required timing of filing the
federal audit report.
Effect:
The Center cannot be considered a low-risk auditee for purposes of federal single audit for the
next two consecutive years.
Questioned Costs: None
Context:
The Center has a formal set of procedures to ensure that the general ledger is closed, and all
material accounts reconciled within a set period of time to allow for timely completion of the
required audits and filing. The accounting firm was not able to complete their work within the
required time frame.
Recommendation:
Management should continue to enhance their formal policies and procedures, which includes a
timeline, to ensure that the audit have commenced before a specific deadline to ensure adherence to
the federal clearinghouse deadline.
View of Responsible Official:
We are in agreement with the above recommendations and have changed accounting firms to ensure a
specific timeline to complete the audit to adherence with the federal deadline.