Finding 1165685 (2022-001)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2025-12-19
Audit: 376394
Organization: California Labor Federation (CA)
Auditor: MILLER KAPLAN

AI Summary

  • Core Issue: The 2022 audit package was not submitted on time to the Federal Audit Clearinghouse, violating compliance requirements.
  • Impacted Requirements: Submission deadlines per 2 CFR section 200.512(a)(1) were missed, affecting compliance with federal regulations.
  • Recommended Follow-Up: Implement a process to evaluate and ensure timely completion and submission of federal grant audits in the future.

Finding Text

Finding 2022-001 Significant Deficiency in Internal Control over Compliance – Untimely Completion of Audit and Submission to Federal Audit Clearinghouse Criteria: In accordance with 2 CFR section 200.512(a)(1), the annual reporting package, including audited financial statements and data collection form must be submitted to the Federal Audit Clearinghouse within 30 calendar days after the auditee receives the auditor's report or nine months after the end of the audit period, whichever is earlier. Condition: The 2022 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of September 30, 2023. Cause: There were various accounting issues which caused delays in the completion of the 2022 annual audit. Effect: The audit required by 2 CFR 200.512 was not completed timely. Recommendation: It is recommended that California Labor Federation, AFL-CIO establish a process for evaluating Federal grant audit requirements to ensure compliance, including timely completion and submission to the FAC for any future Federal grant awards. Questioned Costs: Not applicable.

Corrective Action Plan

Corrective Action Plan The books are now being closed within a few months after year-end. Once prior-year audits are brought current, audits will be completed annually within six months of the end of the fiscal year. All outstanding single audits are anticipated to be completed by February 28, 2026.

Categories

Reporting Significant Deficiency

Other Findings in this Audit

  • 1165681 2022-001
    Material Weakness Repeat
  • 1165682 2022-001
    Material Weakness Repeat
  • 1165683 2022-001
    Material Weakness Repeat
  • 1165684 2022-001
    Material Weakness Repeat
  • 1165686 2022-002
    Material Weakness Repeat
  • 1165687 2022-002
    Material Weakness Repeat
  • 1165688 2022-002
    Material Weakness Repeat
  • 1165689 2022-002
    Material Weakness Repeat
  • 1165690 2022-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 EDUCATION STABILIZATION FUND $681,642
17.278 WIOA DISLOCATED WORKER FORMULA GRANTS $380,715
17.268 H-1B JOB TRAINING GRANTS $49,334