Finding Text
Criteria: Management is responsible for submitting a federal single audit report by March 31, 2026, for each year where the expenditures exceed $750,000. Condition: For the year ended June 30, 2025, the federal single audit report was not issued until after the deadline of March 31, 2026. Questioned Costs None noted. Cause Due to additional turnover at the organization during the year ended June 30, 2025, as well as the hiring of a new bookkeeper during the subsequent year ended June 30, 2025, the audit timeline was extended. Effect The federal single audit was filed after the deadline. Context The audit work extended beyond the federal single audit deadline du3 to delays in starting the audit work because of turnover and prior year audit delays. Repeat Finding Yes Recommendation We recommend that FAVOR, Inc. begin the audit earlier in order to avoid this issue going forward. Views of Responsible Officials Management concurs with the finding and notes that the Organization has hired the appropriate staff and service organizations to complete the audit in a timely manner.