Finding Text
Finding number 2024-004, significant deficiency in internal controls over compliance - reporting Federal Agency: U.S. Department of Justice Federal Program: Justice Reinvestment Initiative, ALN 16.827 Criteria: Per 2 CFR Section 200.328(b)(1), recipients are required to submit performance and financial reports as required by the terms and conditions of their federal award, and such reports must be submitted no later than 30 calendar days after the end of each reporting period, unless otherwise specified by the federal awarding agency. The Department of Justice’s grants financial guide specifies that the Federal Financial Reports (FFRs) must be submitted no later than 30 days after the last day of each quarter. Condition: During our review of federal financial reporting, we noted that two of the four required quarterly Federal Financial Reports (FFRs, SF-425) for the year ended December 31, 2024, were not submitted to the federal awarding agency within the required 30 days after the end of the reporting period. Cause: Inadequate procedures to ensure reports were timely filed. Effect: Failure to submit required federal financial reports on time may result in noncompliance with federal award requirements, could delay reimbursement of expenditures and may impact the grantee’s eligibility for future federal funding. Questioned Costs: None Recommendation: We recommend that the Organization implement and document procedures to ensure that all required federal financial reports are prepared, reviewed and submitted within the required timeframe. Views of Responsible Officials: Management concurs with this finding. See Corrective Action Plan.