Finding Text
Criteria or Specific Requirement: United States Code of Federal Regulation 2 CFR 200.328 requires the City to submit financial reports in a timely manner. Timeliness defined under 2 CFR 300.28 as the submission of a SF-425 Federal Financial Report no later than 30 days after a quarterly report and no later than 90 days after an annual report. Condition: The City is not in compliance with Federal requirements regarding the submission of Federal Financial Reports. Context: Audit procedures included a request for proof of SF-425 Federal Financial Report Submission. Cause: The cause for failure to submit the required Federal Financial Reports was not definitively determined, but may relate to the absence and departure of personnel previously responsible for such filings. Effect or Potential Effect: Noncompliance with this reporting requirement can lead to a reduction in future awards, if determined appropriate subsequent to a review by HUD. Questioned Costs: None. Recommendation: The City should assign responsibility for the filing of Federal Financial Reports and that submissions be verified by a second party. Federal Financial Reports not filed should be submitted. Views of Responsible Officials of the Auditee: The City will assign responsibility for the filing of the Federal Financial Reports and will verify that the reports have been submitted.