Finding Text
2025-005: Noncompliance related to FAC Reports for fiscal years ended June 30, 2023, and June 30, 2024 Federal Assistance Listing Number: 10.553, 10.555, 10.559, 10.649, 84.010, 84.367, 84.424A, 84.358, 84.425U, 84.048, 93.354, and 93.981. Federal Award Year(s): June 30, 2024, and June 30, 2023 Program Title(s): Multiple Name of Federal Agency(ies): U.S. Department of Agriculture, U.S. Department of Education, and U.S. Department of Health and Human Services Name of Pass-Through Entity(ies): Various, including the Colorado Department of Education, Colorado Community Colleges System, and Colorado Department of Human Services COVID-19 Program(s): Yes Criteria: In accordance with Section 200.512 of the 2CFR200 Subpart F, a non-Federal entity that received a Single Audit must submit the reporting package to the Federal government through the Federal Audit Clearinghouse (FAC), also known as the data collection form. The FAC report is required to be submitted the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period. Condition: Based on our search through the FAC website (www.FAC.gov), the District did not submit the data collection report to the Federal Audit Clearinghouse for the audit for the fiscal year ended June 30, 2023, Single Audit conducted. In addition, the District was not able to provide accurate accounting records to the auditors in a timely manner to conduct the Single Audit for the fiscal year ended June 30, 2024, which delayed the submission of the data collection report to the FAC in a timely manner. Cause: The District lacked internal controls and awareness of the requirements noted above to certify and submit the annual data collection form to the Federal Audit Clearinghouse report in a timely manner, or at all. In addition, the District’s internal controls over grants management and accounting records was inadequate, which caused material audit adjustments and additional time for the District to reconcile grants. This caused the District’s Single Audit for the fiscal year ended June 30, 2024, to be significantly delayed. Effect: The District was noncompliant with 2 CFR 200.512 for fiscal years ended June 30, 2023, and June 30, 2024. Repeat Finding: No. Questioned Costs: None noted. Recommendation: In the future, we highly recommend that the District maintain proper internal controls and accurate grant records to prepare an accurate SEFA that will allow auditors to perform the Single Audits on major Federal programs, and submit the FAC report in a timely manner. Corrective Action Plan: Reported on page 59.