Finding 1150544 (2024-002)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-08-21
Audit: 364670
Organization: Search for Common Ground (DC)
Auditor: Bdo USA PC

AI Summary

  • Core Issue: The Organization failed to maintain documentation for FFATA report submissions, making it impossible to verify submission dates.
  • Impacted Requirements: This affects compliance with 2 CFR Section 200.303 and FFATA reporting obligations.
  • Recommended Follow-up: Implement a system to retain submission records, including timestamps and confirmation receipts, to ensure future compliance.

Finding Text

Criteria: The Uniform Guidance in 2 CFR Section 200.303 requires that non-Federal entities receiving Federal awards (i.e., auditee management) establish and maintain internal control designed to reasonably ensure compliance with Federal statues, regulations, and the terms and conditions of the Federal award. In accordance with 2 CFR Part 170, Appendix A, under the Federal Funding Accountability and Transparency Act (FFATA), the department is required to collect and report information on each subaward or amendment of $30,000 or more in federal funds in the FFATA Subaward Reporting System. The non-Federal entity or Federal agency must report each obligating action described in paragraph a.1. of this award term to http://www.fsrs.gov. In accordance with the requirements of 2 CFR Section 1402.300, the non-Federal entity is responsible for complying with all requirements of the Federal award. For all Federal awards, this includes the provisions of FFATA, which includes requirements on executive compensation, and also requirements implementing the Act for the non-Federal entity at 2 CFR part 25 Financial Assistance Use of Universal Identifier and System for Award Management and 2 CFR part 170 Reporting Subaward and Executive Compensation Information. Condition: During our subrecipient testing for the major program, we were unable to verify the submission dates of the FFATA Report via the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS) website. The Organization was unable to provide evidence of submission, lacking retained documentation that evidenced the actual submission dates of the FFATA reports. Cause: It was determined that the absence of supporting documentation was a result of the FSRS system migration to SAM.gov. The Organization neglected to keep documentation to support submission. Effect: The inability to verify the submission dates of the FFATA reports due to missing documentation may lead to compliance issues with federal reporting requirements. Questioned Costs: None. Context: This is a condition identified per review of the Organization’s compliance with the reporting provisions of the Uniform Guidance. Repeat Finding: This finding is not a repeat finding from the prior year. Recommendation: BDO recommends that the Organization establish a comprehensive system for retaining submission records, including timestamps and confirmation receipts, to ensure all future FFATA report submissions are verifiable. Views of Responsible Officials: Management agrees with the finding and recommendations set forth within and has developed a corrective action plan to address the instances of noncompliance identified and lapses in prescribed internal controls.

Categories

Subrecipient Monitoring Procurement, Suspension & Debarment Reporting

Other Findings in this Audit

  • 574100 2024-003
    Significant Deficiency Repeat
  • 574101 2024-003
    Significant Deficiency Repeat
  • 574102 2024-002
    Significant Deficiency
  • 574103 2024-002
    Significant Deficiency
  • 574104 2024-001
    Significant Deficiency
  • 574105 2024-001
    Significant Deficiency
  • 574106 2024-001
    Significant Deficiency
  • 1150542 2024-003
    Significant Deficiency Repeat
  • 1150543 2024-003
    Significant Deficiency Repeat
  • 1150545 2024-002
    Significant Deficiency
  • 1150546 2024-001
    Significant Deficiency
  • 1150547 2024-001
    Significant Deficiency
  • 1150548 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
19.801 Office of Global Women's Issues $2.64M
19.415 Professional and Cultural Exchange Programs - Citizen Exchanges $750,749
19.345 International Programs to Support Democracy, Human Rights and Labor $376,053
19.501 Public Diplomacy Programs for Afghanistan and Pakistan $270,719
19.517 Overseas Refugee Assistance Programs for Africa $56,503
98.001 Usaid Foreign Assistance for Programs Overseas $42,862
93.308 National Institute on Minority Health and Health Disparities (nimhd) Extramural Loan Repayment Programs $25,765
97.132 Financial Assistance for Targeted Violence and Terrorism Prevention $4,986
19.700 General Department of State Assistance $1,727
19.040 Public Diplomacy Programs $1,460
19.701 Global Counterterrorism Programs $890
19.225 Africa Regional Democracy Fund $669
19.706 Partnership for Regional East Africa Counterterrorism $231
19.021 Investing in People in the Middle East and North Africa $99
19.222 Trans-Sahara Counterterrorism Partnership (tsctp) $-17,385