FAC Explorer

Finding 1206279 (2024-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2026-04-09
Audit: 398306
Organization: Nebraska Children's Home Society (NE)
Auditor: FRANKEL LLC

AI Summary

  • Core Issue: The Organization failed to file their annual audit reports on time due to staff turnover.
  • Impacted Requirements: This violates the Uniform Guidance, which mandates audits be submitted within 30 days of receiving the auditor's report or within nine months after the audit period.
  • Recommended Follow-Up: Implement policies and controls to ensure timely reconciliation of accounts and monitoring of audit processes.

Finding Text

Late filing of required reports Type of Finding Material Weakness Criteria Per the Uniform Guidance, section 200.507, paragraph c, subparagraph 1, the Organization’s audit must be completed and submitted withing 30 calendar days after the Organization receives the auditor’s report or nine months after the end of the audit period (whichever is earlier) Condition The Organization did not timely file their annual audit with Federal Audit Clearinghouse. Cause Due to staff turnover during the audit period the Organization was unable to provide the records necessary to timely complete the audit of their financial statements. Effect The Organization’s audit reports for the current and prior year were not filed timely with the Federal Audit Clearinghouse as per the requirements of the Uniform Guidance. Questioned costs None Repeat finding Yes, 2023-002 Recommendation The Organization should develop policies, procedures and controls to ensure that accounts are reconciled on a timely basis by employes performing their assigned duties and monitoring is performed to ensure such is completed. View of Management Management concurs with the above finding.

Corrective Action Plan

Management acknowledges that this finding was also reported in the prior fiscal year. Due to staffing changes within the finance department and competing operational priorities, the corrective actions previously planned were not fully implemented in time to ensure timely filing of the required reports. Management recognized the importance of timely regulatory filings and has taken additional steps to strengthen internal processes and oversight. Significant staff turnover within the finance department during and after the audit period resulted in delays in preparing audit schedules and supporting documentation required for the completion of the related regulatory filings. In addition, formalized procedures and a compliance calendar for regulatory reporting deadlines were not fully implemented during the prior year. Finance Management will implement a financial compliance calendar to track all required regulatory reporting deadlines, including IRS Form 990, single audit and other financial reports. The calendar will include preparation, review, and submission deadlines to ensure reports are completed and filed in time. Finance management will coordinate with external auditors and tax preparers to support timely completion of filings. Responsible party: Finance Management Target Completion Date: June 30, 2026 Monitoring: The Finance Director will maintain and review the compliance calendar monthly to monitor upcoming deadlines and filing status. The CFDO will periodically review compliance with reporting requirements to ensure filings are completed within required timeframes.

Categories

Subrecipient Monitoring Material Weakness Reporting

Other Findings in this Audit

  • 1206278 2024-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.558 TEMPORARY ASSISTANCE FOR NEEDY FAMILIES $2.43M
93.556 MARYLEE ALLEN PROMOTING SAFE AND STABLE FAMILIES PROGRAM $651,139
93.870 MATERNAL, INFANT AND EARLY CHILDHOOD HOME VISITING GRANT $355,680
93.658 FOSTER CARE TITLE IV-E $88,475
10.558 CHILD AND ADULT CARE FOOD PROGRAM $24,625