Finding Text
Criteria The Organization is required to submit annual federal financial reports within 90 days after the budget end date per the grant agreement. Condition There are inadequate internal controls in place to ensure that the Organization’s financial reports are submitted to the grantor in a timely manner. Context Of the five annual federal financial reports tested, the Organization did not submit one report for ALN #93.224 and one report for ALN #93.526 in a timely manner. The report for ALN #93.224 was due January 30, 2025 and was filed February 7, 2025. Reporting for ALN #93.526 was due January 30, 2025 and was filed April 1, 2025. Cause During the reporting due date, the Organization had a personnel transition for the employee who certifies and submits the annual federal financial reports. As such, the reporting deadline was missed and the reports were submitted untimely. Effect Failure to comply with reporting requirements can result in non-compliance with federal award terms, which may lead to questioned costs, potential withholding of future funds, or other administrative actions by the federal awarding agency. Questioned Costs None. Repeat Finding No. Recommendation We recommend that management review its reporting procedures to ensure compliance with the reporting requirements of the Uniform Guidance and grant agreements. Views of Responsible Officials and Planned Corrective Actions See Corrective Action Plan.