Finding 1214241 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-05-08

AI Summary

  • Core Issue: The Organization failed to submit the audit and related reports on time due to inadequate internal controls.
  • Impacted Requirements: Non-compliance with 2 CFR 200.512 regarding timely submission of audit materials.
  • Recommended Follow-Up: Review and improve personnel cross-training to ensure timely reporting, especially during emergencies.

Finding Text

2025-001 DELINQUENT SINGLE AUDIT SUBMISSION Federal Program Information: Federal Agency and Program Name U.S. Department of Health and Human Services Child Care and Development Block Grant/Child Care Mandatory and Matching Funds of the Child Care and Development Fund Grant Award G250310 Grant Award G250529 Grant Award G250530 Grant Award G250531 Federal Assistance Listing Number: 93.575/93.596 Criteria: 2 CFR 200.512 requires that a non-federal entity must “(a) establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States and the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).” 2 CFR 200.512 requires that “the audit, the data collection form, and the reporting package must be submitted within 30 calendar days after the auditee receives the auditor’s report(s) or nine months after the end of the audit period (whichever is earlier).” Condition: The Organization’s internal controls, including cross-training of personnel in the event of an emergency, are not adequate to ensure that the audit, the data collection form, and the financial reporting package were submitted by the federal submission deadline. Questioned Costs: $0 Context: Total federal expenditures for Assistance Listing 93.575/93.596 were $12,499,030 for the year ended June 30, 2025. Cause: The Organization does not have adequate internal controls, including cross-training of personnel in the event of an emergency, in place to ensure the timely submission of the audit, data collection form, and reporting package. Effect: The Organization’s audit, data collection form, and reporting package were not submitted timely for the year ended June 30, 2025. Identification as a Repeat Finding: This is not a repeat finding. Recommendation: We recommend that the Organization review and address personnel and cross-staffing needs, specifically in the event of an emergency, to ensure timely reporting and submission in accordance with federal regulations. Views of Responsible Officials: Management acknowledges the finding. See corrective action plan.

Corrective Action Plan

2025-001 - SEFA REPORTING Recommendation: We recommend that the Organization review and address personnel and cross-staffing needs, specifically in the event of an emergency, to ensure timely reporting and submission in accordance with federal regulations. Action Taken: • The agency will develop and maintain an audit preparation timeline with milestone deadlines • Executive Leadership Team members will participate in cross-training on audit preparation.

Categories

Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 1214235 2025-001
    Material Weakness Repeat
  • 1214236 2025-001
    Material Weakness Repeat
  • 1214237 2025-001
    Material Weakness Repeat
  • 1214238 2025-001
    Material Weakness Repeat
  • 1214239 2025-001
    Material Weakness Repeat
  • 1214240 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.575 CHILD CARE AND DEVELOPMENT BLOCK GRANT $4.63M
84.181 SPECIAL EDUCATION-GRANTS FOR INFANTS AND FAMILIES $792,723
93.596 CHILD CARE MANDATORY AND MATCHING FUNDS OF THE CHILD CARE AND DEVELOPMENT FUND $701,928
93.870 MATERNAL, INFANT AND EARLY CHILDHOOD HOME VISITING GRANT $149,242
93.110 MATERNAL AND CHILD HEALTH FEDERAL CONSOLIDATED PROGRAMS $49,747
93.600 HEAD START $20,156