Finding Text
U.S Department of Health and Human Services - Head Start Cluster - AL #93.600 Grant Number: 10CH01165003 Grant Period: July 1, 2022 to June 30, 2023 Questioned Costs: None How the questioned costs were computed: N/A Condition – Under Uniform Guidance, Head Start of Lane County's audited financial statements for the year ended June 30, 2023 were due to the federal single audit clearinghouse by March 31, 2024. Head Start of Lane County's June 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after March 31, 2024. This is a repeat finding from the prior year. Criteria – Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s year-end. Cause – During the audit year, there was turnover in Head Start of Lane County’s business office which contributed to the lack of timely submission. In addition, the circumstances surrounding the COVID-19 pandemic continued to affect the timeliness of the submission process. Head Start of Lane County is working on streamlining and implementing processes to address the deficiency noted in the condition paragraph. Effect - A significant deficiency in internal control over compliance and an instance of noncompliance exists due to failure to provide financial statements in a timely manner in order to meet audit submission deadlines. Recommendation - We recommend management and those charged with governance evaluate the operation of the finance department and implement procedures to ensure that required reports are filed in a timely manner. View of Responsible Officials - Management agrees with the assessment and has committed to a corrective action plan.