Finding 1228463 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-08-31

AI Summary

  • Issue: The Agency submitted the annual SF 425 report late, violating DHHS Grant Policy.
  • Impact: This represents a significant deficiency and noncompliance with reporting requirements.
  • Follow-up: Strengthen internal controls to ensure timely submission of reports in the future.

Finding Text

Program Name – Head Start Federal Assistance Listing Number – 93.600 Pass-through Entity – N/A Finding Type – Significant Deficiency and Noncompliance Criteria – As per DHHS Grant Policy, the Agency must submit the annual SF 425 report within the specific time period as stated in the grant agreement. Condition – During our audit, we noted that annual SF 425 report was submitted after the due date. Questioned Costs – Unknown Identification of a Repeat Finding- This is not a repeat finding. Cause/Effect – The Agency is not in compliance with the reporting requirements. Recommendation – We recommend the Agency strengthen internal controls over reporting compliance to adhere to applicable reporting requirements.

Corrective Action Plan

Effective immediately, New St. Paul Head Start Agency, Inc. will use the agency’s internal calendar system to provide the Fiscal Director with advance notification of all SF-425 report due dates.

Categories

Reporting Subrecipient Monitoring Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 HEAD START $15.70M
10.558 CHILD AND ADULT CARE FOOD PROGRAM $115,662