Finding Text
U.S. Department of Transportation, National Infrastructure Investments – Assistance Listing No. 20.933; Grant period – Year ended June 30, 2022 Condition: The City of Emmonak audited financial statement for the year ended June 30, 2022 was not submitted timely to the Federal Clearing House. Criteria: Uniform Guidance requires that organizations submit their audited financial statements to the Federal Clearing House within a nine-month period after the end of the organization’s fiscal year end. Cause: COVID restrictions and quarantines created significant delays in the prior audit periods' financial statement preparation and completion, thus delaying the current audit period from being started. Effect: Subsequent grant monies are being withheld until the audit is completed and successfully submitted. Context: The audit of the June 30, 2022 the City of Emmonak's financial statements was initially due on March 31, 2023. This deadline was extended for an additional six months until September 30, 2023. The financial statements were submitted to Federal Clearing House after acceptance from the City of Emmonak. Recommendation: The City of Emmonak should contract to have the remaining delinquent audits completed and future audits of the financial statements performed within the prescribed deadlines. Views of Responsible Official and Planned Corrective Actions: The City of Emmonak agrees with the finding and is in the process of engaging with the current auditors for subsequent delinquent audits.