Finding 1168843 (2025-003)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-01-13
Audit: 381145

AI Summary

  • Core Issue: FFR reports were submitted late and lacked proper review.
  • Impacted Requirements: Timely submission and review of Federal Financial Reports are mandatory.
  • Recommended Follow-Up: Implement a consistent review process involving different management members before submission.

Finding Text

Finding # 2025-003 Type: Material weakness reporting Type: Noncompliance over reporting Assisting Listing Number: 43.001 Federal Agency: National Aeronautics and Space Administration Name of Federal Program: Science Requirement Federal Financial Reports (FFR) are due within 30 days following the end of each quarter. There should be controls in place to ensure reports are prepared, reviewed and submitted timely. Condition The FFR were not reviewed prior to submission by a secondary individual and were not submitted timely. Context The five examined FFR reports were all filed after the compliance period, of which only one was appropriately reviewed. Cause Controls for reviews, approvals, and submission were not implemented or consistently followed. Effect The reporting deadline was not monitored, resulting in the report being filed late. Questioned Costs None identified Recommendation Management should establish a consistent procedure to review and approve reports before submission by a member of management different from the preparer. Management’s Response Management is developing a tracking system to ensure reports are compiled by the Director of Finance and reviewed by Chief Financial Officer, and submitted prior to the deadline date.

Corrective Action Plan

Finding # 2025-003 Type: Material weakness reporting Type: Noncompliance over reporting Assisting Listing Number: 43.001 Federal Agency: National Aeronautics and Space Administration Name of Federal Program: Science Finding: The FFR were not reviewed prior to submission by a secondary individual and were not submitted timely. Federal Financial Reports (FFR) are due within 30 days following the end of each quarter. There should be controls in place to ensure reports are prepared, reviewed and submitted timely. Recommendation: Management should establish a consistent procedure to review and approve reports before submission by a member of management different from the preparer. Corrective Action: The review and late filing noted was the result of a temporary administrative disruption caused by a transition in the Chief Financial Officer role, which included a brief loss of account access necessary to prepare and submit the report. This access issue has been fully resolved and appropriate controls and staffing transition plans are in place. We have implemented a tracking system to ensure all required reports are compiled, reviewed, and submitted prior to the applicable deadline. Anticipated Completion Date December 20, 2025

Categories

Reporting

Other Findings in this Audit

  • 1168841 2025-001
    Material Weakness Repeat
  • 1168842 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
43.001 SCIENCE $616,979
47.070 COMPUTER AND INFORMATION SCIENCE AND ENGINEERING $212,447
47.050 GEOSCIENCES $133,463
47.075 SOCIAL, BEHAVIORAL, AND ECONOMIC SCIENCES $39,022
45.312 NATIONAL LEADERSHIP GRANTS $3,750