Finding 1206104 (2023-006)

Reference Number: 2023-06 Finding: Finding Type: Noncompliance with Uniform Guidance Requirements Criteria or Specific Requirement: 2 CFR section 200.512(a) requires auditees to submit the Single Audit reporting package to the Federal Audit Clearinghouse (FAC) no later than the earlier of:  30 calendar days after receipt of the auditor’s report(s), or  nine months after the end of the audit period. Condition: The Organization did not submit the single audit reporting package to the FAC within the required timeframe. Cause: The late filing resulted from delays in completing the audit caused by the identification and remediation of internal control matters during the audit process, combined with staff turnover in key financial reporting positions. Effect or Potential effect: Failure to timely submit the reporting package causes the Organization to be out of compliance with Uniform Guidance requirements and may result in increased federal oversight, potential sanctions or withholding of federal funds. Questioned costs: None Identification as a Repeat Finding: N/A – this was not reported as a finding in the prior audit report. Context: The Organization experienced staff turnover in key finance positions and delays related to internal control matters identified during the audit, which extended the audit timeline. Recommendation: We recommend management implement procedures to ensure timely submission of the Single Audit reporting package, including maintaining a compliance calendar and assigning responsibility for monitoring federal reporting deadlines. Views of Responsible Officials: Management agrees with the finding and recommendation.