Finding 1228525 (2021-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2021
Accepted
2026-08-31
Audit: 410157
Organization: HONOLULU HOUSE, INC. (HI)
Auditor: KKDLY LLC

AI Summary

  • Core Issue: The Organization failed to submit its single audit reporting package and data collection form on time for the years ended September 30, 2021 and 2020.
  • Impacted Requirements: This noncompliance violates the submission deadlines set by 2 CFR 200.512, which mandates timely reporting to the Federal Audit Clearinghouse.
  • Recommended Follow-Up: Improve financial reporting procedures to ensure compliance with federal requirements and prevent future delays in submissions.

Finding Text

Criteria In accordance with 2 U.S. Code of Federal Regulations (CFR) 200.512, the Organization must submit its single audit reporting package and data collection form to the Federal Audit Clearinghouse (the FAC) within the earlier of 30 days after receipt of the auditors’ report, or nine months after the end of the audit period. Condition The Organization did not submit its single audit reporting package and data collection form (Form SF-SAC) for the years ended September 30, 2021 and 2020 to the FAC by the required due dates. Cause The Organization did not have adequate procedures to ensure the timely filing of the single audit reporting package and data collection form to FAC. Effect Late filing has resulted in noncompliance with timely submission of financial information to grantor agencies. Recommendation We recommend that the Organization improve its financial reporting process to ensure compliance with the reporting requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, which requires that the single audit reporting package and data collection form be submitted to the FAC within the earlier of 30 days after the receipt of the auditors’ report, or nine months after the end of the audit report, unless a longer period of time is agreed to in advance by the cognizant or oversight agency for the audit. Views of Responsible Officials and Planned Corrective Action We were not able to submit the financials on time because we lost our previous auditors in 2021. It took some time to find a new company that handles HUD audit. Going forward, we will strive to get back to our normal schedule at the soonest time and get back in compliance.

Corrective Action Plan

We were not able to submit the financials on time because we lost our previous auditors in 2021. It took some time to find a new company that handles HUD related audits. Going forward, we will work on getting back to our normal audit schedule to get back in compliance at the soonest possible time.

Categories

Allowable Costs / Cost Principles HUD Housing Programs Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1228526 2021-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.181 Supportive Housing for Persons with Disabilities (Loan) $733,200
14.195 Section 8 Housing Assistance Payments Program $37,484