Finding 1169074 (2024-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2026-01-14

AI Summary

  • Core Issue: KRM failed to file the Uniform Guidance audit on time, missing the nine-month deadline after year-end.
  • Impacted Requirements: Timely filing with the Federal Audit Clearinghouse is mandatory; this has not been met for both 2023 and 2024 audits.
  • Recommended Follow-Up: KRM must ensure future audits are completed and submitted on schedule to avoid repeat findings.

Finding Text

Finding No. 2024-002: Significant Deficiency Criteria: Kentucky Refugee Ministries, Inc (KRM) is required to file the Uniform Guidance audit with the Federal Audit Clearinghouse within nine months of year-end. Statement of Condition: The Uniform Guidance audit for September 30, 2023 was completed and accepted by the Federal Audit Clearinghouse on May 15, 2025, which is more than nine months after the year-end, which was a due date of June 30, 2024. It is also noted that the Uniform Guidance audit for September 30, 2024 was not filed by the due date of June 30, 2025. Cause of Condition: KRM provides resettlement, support, educational and legal services to refugees admitted to the United States through the State Department’s refugee admissions program. During the past few years, KRM experienced a significant increase in the number of refugees being served. The amount of refugees receiving services from KRM more than doubled, consistent with the increase in refugees entering the United States. This had a significant impact on the amount of financial assistance being passed through to KRM and the amount of time and resources necessary to process the refugees. Effect of Condition: The effect is that the compliance requirement to file timely with the Federal Audit Clearinghouse was not met. Recommendation: KRM should have future audits completed and filed timely with the Federal Audit Clearinghouse. Identification of Repeat Finding: The finding is a repeat of the finding noted in the audit for September 30, 2023 as finding 2023-002. Views of Responsible Officials: Management understands and accepts the recommendation as outlined in the Corrective Action Plan.

Corrective Action Plan

Recommendation: KRM should have future audits completed and filed timely with the Federal Audit Clearinghouse. Action Taken: KRM continues to take steps to increase efficiencies within the finance department and due to the decrease in the number of refugees served the finance department is on schedule to have the September 30, 2025 audit completed and filed timely.

Categories

Significant Deficiency

Other Findings in this Audit

  • 1169072 2024-002
    Material Weakness Repeat
  • 1169073 2024-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.566 REFUGEE AND ENTRANT ASSISTANCE STATE/REPLACEMENT DESIGNEE ADMINISTERED PROGRAMS $9.98M
19.510 U.S. REFUGEE ADMISSIONS PROGRAM $3.71M
93.576 REFUGEE AND ENTRANT ASSISTANCE DISCRETIONARY GRANTS $1.50M
93.583 REFUGEE AND ENTRANT ASSISTANCE WILSON/FISH PROGRAM $710,827
93.567 REFUGEE AND ENTRANT ASSISTANCE VOLUNTARY AGENCY PROGRAMS $540,784
93.676 UNACCOMPANIED CHILDREN PROGRAM $517,044
16.575 CRIME VICTIM ASSISTANCE $117,628
93.604 ASSISTANCE FOR TORTURE VICTIMS $60,300
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $46,958