Finding 1153177 (2024-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-09-16
Audit: 366410
Organization: Liberty Hill Foundation (CA)
Auditor: Gyl LLP

AI Summary

  • Core Issue: The Foundation submitted its Single Audit report late to the Federal Audit Clearinghouse (FAC), missing the June 30, 2025 deadline.
  • Impacted Requirements: This violates 2 CFR 200.512(a)(1), which mandates timely submission of audit reports to ensure federal oversight.
  • Recommended Follow-Up: Improve internal controls and address staffing issues to ensure future audits are completed on time.

Finding Text

Criteria: 2 CFR 200.512(a)(1) requires non-Federal entities to submit the data collection form and reporting package to the Federal Audit Clearinghouse (FAC) within the earlier of 30 calendar days after receipt of the auditor’s report(s) or nine months after the end of the audit period. Condition: The Foundation’s fiscal year ended on September 30, 2024. Therefore, the Single Audit reporting package and data collection form were due to the FAC by June 30, 2025 (9 months after the fiscal year end). Questioned Costs: None Context: The Single Audit for the fiscal year ended September 30, 2024, was submitted late to the FAC. This late submission delays the availability of critical financial and compliance information to federal agencies responsible for overseeing federal awards administered by the Foundation. Effect: The late submission of the Single Audit report to the FAC may lead to restrictions on future federal funding and potentially more intensive scrutiny from oversight authorities. Cause: The delayed submission of the Single Audit to the FAC was primarily due to staffing constraints and capacity challenges that affected the timely completion of financial close and audit preparation processes. Recommendation: The Foundation should strengthen its internal controls over the financial close and reporting process and continue addressing personnel capacity to ensure timely completion of the annual Single Audit.

Categories

Internal Control / Segregation of Duties Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 1153176 2024-001
    Material Weakness Repeat
  • 1153178 2024-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $2.15M
66.615 Environmental Justice Thriving Communities Grantmaking Program (ej Tcgm) $22,226