Finding Text
Finding #2025-004 Type: Noncompliance Assisting Listing Number: 14.267 Federal Agency: U.S. Department of Housing and Urban Development Name of Federal Program: Continuum of Care Requirement: Uniform Guidance requires that the auditee submit the Data Collection Form (Form SF SAC) and reporting package to the Federal Audit Clearinghouse within the earlier of 30 days after receipt of the auditor’s reports or nine months after the end of the audit period, unless a waiver is granted by the cognizant or oversight agency. Condition: For the fiscal year ended June 30, 2024, the Agency submitted its Data Collection Form and reporting package to the Federal Audit Clearinghouse after the applicable submission deadline. Context: During the audit completion and submission period, the Agency experienced senior management turnover, including changes in key financial leadership positions. These transitions occurred close to the reporting deadline and affected continuity over audit closeout and submission responsibilities. Cause: Due to the management transitions, responsibilities related to coordination, review, and final submission of the Single Audit reporting package were not clearly assigned or monitored, resulting in delays in completing the submission process by the required deadline. Effect: Failure to submit the Data Collection Form timely constitutes noncompliance with reporting requirements under Uniform Guidance and may be considered by federal agencies when assessing federal programs for risk. Questioned Costs: None. Recommendation: The Agency should establish and document internal procedures for Single Audit closeout and Federal Audit Clearinghouse submissions, including clearly assigned responsibility, internal deadlines aligned with Uniform Guidance requirements, and supervisory review to ensure reporting packages are submitted timely, regardless of personnel changes. Management’s Response: Management acknowledges the late submission and attributes the delay primarily to senior management turnover occurring during the audit completion period. Management has taken corrective action by clarifying roles and responsibilities for Single Audit submissions, establishing internal timelines aligned with Uniform Guidance deadlines, and assigning oversight responsibility to ensure future Data Collection Forms and reporting packages are submitted timely.