Finding 1176720 (2024-003)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2026-03-06

AI Summary

  • Core Issue: The Organization failed to submit the Single Audit Reporting Package on time, missing the nine-month deadline after the audit period.
  • Impacted Requirements: Non-compliance with 2 CFR section 200.512(a) affects the Organization's low-risk auditee status and could jeopardize federal funding.
  • Recommended Follow-Up: Update policies and procedures to prevent future delays and ensure timely submission of audit reports.

Finding Text

Assistance Listing Number 93.103 Food and Drug Administration Research Grant Numbers 1U01FD00758-01 and 5U01FD04275-08 REV 4 US Department of Health and Human Services Finding 2024-003 Compliance Requirement: Filing of Single Audit Report Type of Finding: Material Weakness Criteria: Pursuant to 2 CFR section 200.512(a), the audit, data collection form, and reporting package must be submitted within 30 calendar days after receipt of the auditor’s report(s) or nine months after the end of the audit period (whichever is earlier). Condition: The Organization did not submit the Single Audit Reporting Package for the year ended June 30, 2024, within nine months after the end of the audit period (March 31, 2025). Cause: The Organization had transition in key financial personnel in January 2025. Audit fieldwork had to be delayed while the new part-time outsourced personnel worked to ensure that the records were complete and reconciled. After the auditor performed planning and made selections, additional changes were made to the financial records without being communicated to the auditor, causing further delays. Additional review of these changes resulted in more discussion and further changes, which were completed in December 2025. It then took the auditor additional time to get the testing back onto their schedule and complete the testing. Effect or potential effect: Failure to submit the required Single Audit Reporting Package timely automatically results in the Organization not qualifying for low-risk auditee status for the subsequent year’s Single Audit. Delinquent submission may also result in the inability to receive federal funding. Questioned Costs: None Repeat finding: No Recommendation: We recommend that the Organization update their policies and procedures to avoid delays in completion of the audit and to ensure timely submission of the Reporting Package. Views of responsible officials: Management agrees with the recommendation and will work to ensure future audits are completed timely.

Corrective Action Plan

Corrective Action Plan: A new policy or procedure will be created to ensure a better planning for the future signle audits timelines. Responsible Official: Vadim Gurvich, Executive Director, NIPTE Planned completion date for the CAP: JUNE 30, 2026

Categories

Material Weakness Reporting

Other Findings in this Audit

  • 1176719 2024-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.103 Food and Drug Administration Research $712,681
47.041 Engineering $46,368