Finding 1208219 (2023-004)

CRITERIA: 2 CFR requires that non-Federal entities that expend $750,000 or more in a year in Federal awards must submit their audited annual financial reports and the data collection form to the Federal Audit Clearinghouse within thirty (30) days after receipt of the auditor’s report, or nine (9) months of the close of the auditee’s fiscal year. CONDITION: The Clinic did not remit the annual audited financial statements and the data collection form to the Federal Audit Clearinghouse within 9 months after year-end as required by the Uniform Guidance. CAUSE: The 2022 audit was not issued until September 2025, which caused a delay in the performance, completion, and submission of the 2023 annual audit report. EFFECT: Late submission causes the Clinic to be put on the non-compliance list and can result in withholding of federal pass-through funding. QUESTIONED COSTS: None RECOMMENDATION: The Clinic should implement policies and procedures to ensure the timely filing of any and all required reports. MANAGEMENT’S RESPONSE: See management’s corrective action plan starting on page 34.