Finding 1155631 (2023-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2025-09-26

AI Summary

  • Core Issue: The PALM failed to engage a qualified CPA for a Single Audit for 2023, leading to late submission of the data collection form.
  • Impacted Requirements: This situation violates Uniform Guidance, which mandates timely submission of audit-related documents.
  • Recommended Follow-Up: Ensure ongoing engagement of a CPA for future audits to maintain compliance with Single Audit criteria.

Finding Text

CONDITION: The PALM did not engage a Certified Public Accountant qualified to perform a Single Audit for the year ending December 31, 2023 until the year ending December 31, 2025. The PALM had expenditures of federal awards exceeding the Single Audit criteria during the year ending December 31, 2023. As a result, the 2023 data collection form was submitted beyond the Uniform Guidance deadline. CRITERIA: Uniform Guidance (2 CFR § 200.512) requires auditees to provide necessary data for the audit and to submit the audit reporting package (including the data collection form) within nine months of the fiscal year end or 30 days after receiving the auditor's report. CAUSE: The auditee's internal control over data collection for grant programs was deficient, lacking clear processes and timelines. EFFECT: The data collection form was submitted to the federal audit clearinghouse late. The PALM was not in compliance with Uniform Guidance. RECOMMENDATION: We recommend that the PALM continue to engage a Certified Public Accountant to conduct a Single Audit as long as the PALM meets the Single Audit criteria. VIEWS OF RESPONSIBLE OFFICIALS AND PLANNED CORRECTIVE ACTION: The PALM agrees with the finding, and corrected it to have the 2024 data collection form submitted before the deadline. QUESTIONED COSTS: $0

Corrective Action Plan

U.S. Department of Commerce, Philadelphia Works, Inc. 2023-1 Timely submission of Data Collection Form – Assistance Listing Number 11.307 Recommendation: We recommend PALM engage a certified public accountant to conduct a Single Audit as long as the PALM meets the Single Audit criteria Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Management has engaged a certified public accountant to complete a Single Audit and assist in the submission of the data collection form. Name of contact person responsible for corrective action: Anthony Wigglesworth, Executive Director. Corrective action plan has been implemented prior to the due date of the December 31, 2024 data collection form.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1155632 2023-002
    Material Weakness Repeat
  • 1155633 2023-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
11.307 Economic Adjustment Assistance $861,116