Finding 1172357 (2024-005)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2026-02-04
Audit: 385388
Organization: 1890 Universities Foundation (DC)
Auditor: SB & COMPANY LLC

AI Summary

  • Core Issue: The Foundation did not complete its single audit report and data collection form within the required nine-month period.
  • Impacted Requirements: This is a repeat finding of non-compliance with 2 CFR 200.512 regarding timely report submission.
  • Recommended Follow-Up: Establish policies for timely audits and provide training for staff on federal grant administration.

Finding Text

ALL No. 10.523 Centers of Excellence at 1890 Institutions Significant Deficiency and Noncompliance Over Reporting Repeat Finding: No Condition: The Foundation’s single audit report and the data collection form were not completed within nine months after the end of the audit period. Criteria: Per 2 CFR 200.512: Report Submission. (a) General. (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; and (2) Unless restricted by federal statutes or regulations, the auditee must make copies available for public inspection. Auditees and auditors must ensure that their respective parts of the reporting package do not include protected personally identifiable information. Cause: In 2024, the Foundation did not complete the single audit report and submit the required data collection form within the nine-month timeframe due to delays in compiling necessary financial information and finalizing supporting documentation. Effect: Failure to submit the reporting package and data collection form within the required timeframe results in non-compliance with the Uniform Guidance reporting requirements. Questioned Costs: None. Recommendation: We recommend that the Foundation creates policies and procedures to ensure that audits are started and completed in a timely fashion so the reporting package submission to the federal government can be made in accordance with federal guidelines. We also recommend that individuals responsible for administering federal assistance programs with the Foundation receive training in grant administration. Auditee Response and Corrective Action Plan: Refer to management’s corrective action plans. Auditor’s Conclusion: Finding remains as stated.

Corrective Action Plan

Finding 2024-005: Significant Deficiency and Noncompliance over Subrecipient Monitoring Responsible Official’s Response and Corrective Action Plan We concur with the findings and acknowledge the significant deficiency and instance of noncompliance related to subrecipient monitoring. We are committed to strengthening internal controls to ensure full compliance with applicable federal requirements. During 2025, we implemented a corrective action plan that included the development and adoption of a comprehensive subrecipient monitoring policy and the establishment of standardized, documented procedures for the review of financial and performance reports. These actions are designed to create a consistent, risk-based, and fully documented monitoring framework that enhances accountability, reduces compliance risk, and ensures proper stewardship of federal funds. We remain committed to continuously improving our processes and maintaining compliance with all applicable regulations moving forward. Planned Implementation Date of Corrective Action Plan November 2025 Person Responsible for Corrective Action Plan Natésha Johnson, Director of Finance and Administration Dr. Felecia Nave, President and Chief Executive Officer

Categories

Reporting Significant Deficiency

Other Findings in this Audit

  • 1172330 2024-002
    Material Weakness Repeat
  • 1172331 2024-003
    Material Weakness Repeat
  • 1172332 2024-004
    Material Weakness Repeat
  • 1172333 2024-005
    Material Weakness Repeat
  • 1172334 2024-002
    Material Weakness Repeat
  • 1172335 2024-003
    Material Weakness Repeat
  • 1172336 2024-004
    Material Weakness Repeat
  • 1172337 2024-005
    Material Weakness Repeat
  • 1172338 2024-002
    Material Weakness Repeat
  • 1172339 2024-003
    Material Weakness Repeat
  • 1172340 2024-004
    Material Weakness Repeat
  • 1172341 2024-005
    Material Weakness Repeat
  • 1172342 2024-002
    Material Weakness Repeat
  • 1172343 2024-003
    Material Weakness Repeat
  • 1172344 2024-004
    Material Weakness Repeat
  • 1172345 2024-005
    Material Weakness Repeat
  • 1172346 2024-002
    Material Weakness Repeat
  • 1172347 2024-003
    Material Weakness Repeat
  • 1172348 2024-004
    Material Weakness Repeat
  • 1172349 2024-005
    Material Weakness Repeat
  • 1172350 2024-002
    Material Weakness Repeat
  • 1172351 2024-003
    Material Weakness Repeat
  • 1172352 2024-004
    Material Weakness Repeat
  • 1172353 2024-005
    Material Weakness Repeat
  • 1172354 2024-002
    Material Weakness Repeat
  • 1172355 2024-003
    Material Weakness Repeat
  • 1172356 2024-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.727 UNITED STATES FOREST SERVICE $610,497
10.902 NATURAL RESOURCES CONSERVATION SERVICE $384,126
10.727 UNIVERSITY OF ARKANSAS $250,000
10.902 UNITED STATES FOREST SERVICE $100,000
10.523 CENTERS OF EXCELLENCE AT 1890 INSTITUTIONS $20,657