Finding Text
Reporting – Late submission of the Single Audit Reporting Package and Data Collection Form to the Federal Audit Clearinghouse (FAC) Federal Agency Program Title Assistance Listing Number Award Number Award Period All awards reported on the schedule of expenditures of federal awards Identification as a Repeat Finding: Elements of this finding are a repeat of Finding 2023-002 Finding: The Organization did not file its annual 2023 Single Audit and Data Collection form timely. The Organization did not file its HUD REAC Annual Financial Statement timely. Criteria: The Single Audit Reporting Package and Data Collection Form shall be submitted to the Federal Audit Clearinghouse 30 days after receipt of the auditor’s report, or 9 months after the end of the fiscal year, whichever comes first. The HUD REAC AFS is due by September 30. Condition and context: Submission of the Single Audit Reporting Package and Data Collection Form to the FAC was not completed within the timeframe required by the Uniform Guidance. The HUD REAC Annual Financial Statement was not completed or submitted by September 30, 2024 as required. We note that the Single Audit Reporting Package and Data Collection Form were submitted on December 12, 2024. The HUD REAC AFS was submitted on December 12, 2024. Cause: The Organization changed to a new property management company during 2023. The transition did not go smoothly and the new management agent has had problems transitioning the accounting from the prior management agent which hindered the completion and filing reports in timely manner. Subsequent to year end, the Organization has changed to a new property management company during 2025 and anticipates future filings to be prepared and submitted timely. Sample size and population: Sampling was not applicable to this finding. Effect: Noncompliance with the Uniform Guidance and HUD could impact future funding from Federal sources. Recommendation: Changes to the property management company happens infrequently. Therefore, it would be unusual for a similar matter to reoccur; however, it is considered a best practice to maintain a schedule of regulatory and compliance deadlines to ensure related tasks are completed in advance of deadlines. Question Costs: None Views of Management and Corrective Action Plan: Management’s response is reported in the “Corrective Action Plan” Contact Person: Jerry Groesz