Finding 1216599 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-06-04
Audit: 403061
Organization: Center on Halsted (IL)
Auditor: RSM US LLP

AI Summary

  • Core Issue: The Center failed to submit the data collection form by the required deadline of March 31, 2026.
  • Impacted Requirements: This violates OMB’s Uniform Guidance, which mandates timely submission of audit reports.
  • Recommended Follow-Up: Implement processes to ensure timely filing of the reporting package with the Federal Audit Clearinghouse.

Finding Text

Finding 2025-001: Data collection form filing Identification of federal programs: All Assistance Listing Numbers and federal agencies (and pass-through entities) included on the schedule of expenditures of federal awards for the year ended June 30, 2025. Criteria: OMB’s Uniform Guidance, Title 2, Part 200, Subpart F, Audit requirements paragraph .512 requires that the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period. Condition: The Center’s data collection form for the year ended June 30, 2025 should have been submitted by March 31, 2026. Cause: The audit was not completed by March 31, 2026, due to turnover at the Center and delays in prior year's audits. Effect: Potential reduction or suspension of funding provided by federal agencies. Questioned costs: None Context: The June 30, 2025 Single Audit reporting package. Repeat finding: Yes Recommendation: We recommend that the Center implement processes and controls to ensure the reporting package is filed timely with the Federal Audit Clearinghouse. Views of responsible officials: Management agrees with this finding. Please see corrective action plan attached.

Corrective Action Plan

Finding: Data collection form filing Corrective Actions Taken or Planned:  Taken: This finding was a result of staff turnover and Center on Halsted has put in place an established relationship with an external accounting firm (Sikich), that will help create stability and support in all financial processes including grant reconciliation. This updated contractual agreement & relationship occurred on March 1, 2024.  Taken: Center on Halsted leadership, with the assistance of our external accounting firm, will ensure proper documentation, internal controls, and processes that will support a timelier audit. This includes an organization-initiated internal audit for the Center on Halsted processes that will stress test our ability to produce accurate supporting documentation and allows us to build more effective and efficient processes prior to our annual audit. This will be led by Sikich with a targeted completion date of October 31st, 2025.  Taken: Center on Halsted leadership, with the assistance of our external accounting firm, will establish a timeline to complete the FY25 audit by May 2026. Though this plan results in a late filing, the timeline shows progression towards a faster audit process and enhancements to organization structures.  Planned: Center on Halsted leadership, with the assistance of our external accounting firm, will establish a timeline to complete a timely FY26 audit to ensure filing ahead of the imposed deadlines.

Categories

Reporting Procurement, Suspension & Debarment

Other Findings in this Audit

  • 1216592 2025-001
    Material Weakness Repeat
  • 1216593 2025-001
    Material Weakness Repeat
  • 1216594 2025-001
    Material Weakness Repeat
  • 1216595 2025-001
    Material Weakness Repeat
  • 1216596 2025-001
    Material Weakness Repeat
  • 1216597 2025-001
    Material Weakness Repeat
  • 1216598 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.241 HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS $150,185
93.940 HIV PREVENTION ACTIVITIES HEALTH DEPARTMENT BASED $149,170
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $129,881
93.914 HIV EMERGENCY RELIEF PROJECT GRANTS $119,645
93.855 ALLERGY AND INFECTIOUS DISEASES RESEARCH $32,384