Finding 1213723 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-05-05

AI Summary

  • Core Issue: The Data Collection Form was not submitted to the Federal Audit Clearinghouse within the required nine-month period after the fiscal year ended June 30, 2025.
  • Impacted Requirements: Non-compliance with submission deadlines affects the Organization's status as a low-risk auditee for the upcoming years.
  • Recommended Follow-Up: Enhance internal controls to ensure timely financial statement completion and establish an internal deadline for submissions to the FAC.

Finding Text

Federal Assistance Listing Number - 10.558 Child and Adult Care Food Program Federal Assistance Listing Number - 93.575 Child Care and Development Block Grant - CCDF Cluster Criteria: The Data Collection Form is required to be submitted to the Federal Audit Clearinghouse ("FAC") within the earlier of: (i) 30 calender days after receiving the auditor's report, or (ii) nine months after the fiscal year end (2 CFR 200.512(a)(2). Condition: The Data Collection Form was not submitted to the FAC within the nine-month period for the year ended June 30, 2025. Effect: The Organization was not in compliance with the requirement to complete the filing required by the Uniform Guidance within nine months of its year end, and therefore, the Organization cannot be considered a low risk auditee for the years ended June 30, 2026 and 2027. Context: When performing our audit, we noted the Data Collection Form submission to the FAC was not filed on a timely basis. Cause: Delays in finalizing the Organization's financial statements and obtaining supporting testing documentation caused the audit report and accompanying reporting package to be completed later than planned, which in turn delayed submission to the FAC. Recommendation: The Organization should implement or enhance internal controls and procedures to ensure timely completion of financial statements, timely gathering of audit documentation, and monitoring of the submission deadlin for the FAC reporting package. The Organization should consider establishing an internal deadline ahead of the regulatory deadline to provide a buffer for final review and submission. Views of Responsible Officials and Planned Corrective Actions: The Organization concurs with the recommendation. See attached Corrective Action Plan.

Corrective Action Plan

April 27, 2026 Person responsible: Teresa Council, Executive Director Fiscal Year Ended June 30, 2025 Section III – Federal Awards Findings and Questioned Costs Item 2025 – 001 Federal Assistance Listing Number: 10.558 – Child and Adult Care Food Program Federal Assistance Listing Number: 93.575 – Child Care and Development Block Grant – CCDF Cluster Condition The Organization’s Data Collection Form submission to the Federal Audit Clearinghouse was not filed on time within nine months of the end of its fiscal year. Current Status The delay in submission to the FAC was due to a combination of factors, including the extended time required to prepare the fiscal year 2025 financial statements and compile supporting documentation, as well as delays in the completion of the audit process. To support timely future submissions, the Organization will implement the recommended control procedures and adopt an internal timeline beginning with the fiscal year ending June 30, 2026. In addition, the audit process will be initiated earlier to ensure completion and submission by the established deadline of March 31, 2027.

Categories

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Programs in Audit

ALN Program Name Expenditures
93.600 CHILD AND ADULT CARE FOOD PROGRAM $1.43M
10.558 CHILD AND ADULT CARE FOOD PROGRAM $1.07M
93.575 CHILD CARE AND DEVELOPMENT BLOCK GRANT $484,507