Finding Text
Requirement: Single Audit Act Type of Finding: Significant Deficiency in Internal Control (SD), Instance of Noncompliance (NC) This finding is similar to prior year finding(s) 2023-010, 2022-008 and 2021-009. Statement of Condition The Municipality did not submit, in a timely manner, to the Federal Audit Clearinghouse, the Single Audit Reporting package for the fiscal year ending on June 30, 2024. The due date for this report was no later than March 31, 2025. Criteria Uniform Guidance, Section 500.512, states that the audit must be completed, and the data collection form and reporting package must be submitted within of earlier of 30 calendar days after receipt of the auditors’ report, or nine (9) months after the end of the audit period. Cause of Condition Due to the delay in the preparation of the financial statements, the Municipality did not comply with the requirements established in the Uniform Guidance. Effect of Condition The Municipality could be sanctioned by the Federal government for the noncompliance of this requirement. Recommendation We recommend management to continue strengthening the internal controls over the accounting records to complete in a timely manner the process of preparation of the financial statements of the Municipality. Questioned Costs None Views of Responsible Officials and Planned Corrective Action We are giving instructions to the Finance Department, the Federal Program Office, and all other departments to submit, in a timely manner, all the required financial information, to our financial consultant and the external auditors, to comply with the deadline for the submission of the Single Audit Report for the fiscal year ended June 30, 2025, which is March 31, 2026. Responsible Official: Mrs. Irma M. Vargas Aguirre, Finance and Budget Director Implementation Date: March 31, 2026