Finding Text
Type of finding: Federal Award. Situation: Significant deficiency; compliance with federal regulations. Federal Program: All Programs Compliance Requirements: Reporting Prior-Year(s) Audit Finding(s): None Questioned Costs: None Condition: The Single Audit reporting package, as defined and required in 2 CRF 200.512 for fiscal year ended June 30, 2023, was not submitted timely Context: The Municipality did not provide, on a timely basis, the information needed to complete the preparation and subsequent audit of their financial statements. Criteria: As per 2 CRF 200.12, the audit, data collection form, and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period. Cause: The Municipality issued their June 30, 2023 on January 27, 2025 and submitted their data collection form on January 31, 2025. This situation prevented the timely submission of the current fiscal year Single Audit reporting package. Effect: Because of the situation described above, the Municipality did not comply with the report submission requirement since the audit was not submitted within nine months after their fiscal period end date. Auditor’s recommendation: Management should continue to fulfill their auditee responsibilities as stated in 2 CRF 200.508, which among other things, require management to prepare appropriate financial statements and provide the auditor with access to personnel, accounts, books, records, supporting documentation, and other information as needed for the auditor to perform the audit to ensure that subsequent financial reporting packages are submitted timely. View of responsible officials: Management concurs with the Finding. The fiscal year 2023-2024 Single Audit reporting package will be immediately uploaded to the Federal Audit Clearinghouse (FAC) web portal upon receipt of the auditor’s reports. As a preventive actions for fiscal year, 2024–2025, the Municipality’s financial staff, with the support of a financial consulting firm, have been working to prepare the FY 2024-2025 financial statements and Single Audit deliverables to comply with the established deadline.