Finding 1166960 (2024-005)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-12-30

AI Summary

  • Core Issue: The BPRP failed to submit the required Data Collection Form and Reporting Package on time, violating federal regulations.
  • Impacted Requirements: Compliance with 2 CFR § 200.512 for timely reporting is critical for maintaining eligibility for federal funding.
  • Recommended Follow-Up: BPRP should enhance accounting controls and procedures to ensure timely preparation and submission of financial statements and supporting documents.

Finding Text

FINDING REFERENCE NUMBER 2024-005 FEDERAL PROGRAM ALL FEDERAL PROGRAMS ON THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS AWARD NUMBER ALL AWARDS COMPLIANCE REQUIREMENT REPORTING TYPE OF FINDING MATERIAL NONCOMPLIANCE AND MATERIAL WEAKNESS CRITERIA 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. If the due date falls on a Saturday, Sunday, or Federal holiday, the reporting package is due the next business day. STATEMENT OF CONDITION The BPRP did not submit the Data Collection Form and Reporting Package to the Federal Audit Clearinghouse of fiscal year ended June 30, 2024 during the required period. QUESTIONED COSTS None PERSPECTIVE INFORMATION The BPRP was unable to provide timely the financial statement and related supporting documentation in order to apply required audit procedures. STATEMENT OF CAUSE The BPRP accounting and budget staff did not have an effective accounting system controls and procedures to assure that the required financial statements and supporting documentation was made available for audit purposes within the required period established to comply with the Federal regulations. POSSIBLE ASSERTED EFFECT The BPRP did not comply with the submission date required for the Data Collection Form and Reporting Package; this could affect the continuance and new approvals of Federal funds. In addition, for the next two (2) fiscal years the BPRP cannot be considered by the auditor as a low risk auditee. IDENTIFICATION OF REPEAT FINDING Not previously reported. RECOMMENDATIONS We recommend the BPRP maintain adequate accounting records related to the non-Federal and Federal funds in order to properly prepare the financial statement accurately and in a timely manner. In addition, the BPRP needs to implement adequate internal controls procedures in order to ensure that the supporting documentation is available in a timely manner.

Corrective Action Plan

VIEWS OF RESPONSIBLE OFFICIALS As part of the Corrective Action Plan to address the identified findings, the following measures will be implemented: • We are currently in the process of drafting the corresponding administrative order, for which a preliminary draft has already been prepared. This document aims to clearly and systematically establish the necessary processes and procedures, including those related to the identified deficiencies, to ensure the implementation of enhanced controls that guarantee regulatory compliance and operational efficiency. • A fiscal section within the Office of Federal Affairs will be established to manage the fiscal process of federal funds. This structure will ensure that all transactions, corrections, and journal entries are recorded in a timely and accurate manner in the federal accounting accounts. IMPLEMENTATION DATE Fiscal Year 2025-2026 RESPONSIBLE PERSON Maritza Torres López

Categories

Reporting Material Weakness Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 1166955 2024-003
    Material Weakness Repeat
  • 1166956 2024-003
    Material Weakness Repeat
  • 1166957 2024-004
    Material Weakness Repeat
  • 1166958 2024-004
    Material Weakness Repeat
  • 1166959 2024-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED DISASTERS) $11.48M
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $2.12M
21.016 EQUITABLE SHARING $590,318
16.588 VIOLENCE AGAINST WOMEN FORMULA GRANTS $290,968
97.067 HOMELAND SECURITY GRANT PROGRAM $221,783
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $143,532
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $96,710
20.616 NATIONAL PRIORITY SAFETY PROGRAMS $37,555
16.922 EQUITABLE SHARING PROGRAM $4,367
16.575 CRIME VICTIM ASSISTANCE $1,300