Finding Text
Finding 2025-01 - Non-Compliance with Federal Filing Deadlines Federal Program: Section 232: Mortgage Insurance - Nursing Homes, Intermediate Care Facilities, Board and Care Homes, and Assisted Living Facilities (CFDA#14.129) Federal Agency: U.S. Dept. of Housing and Urban Development (HUD) Criteria: In accordance with 2 CFR Section 200.512, "Report Submission," the audit must be completed and the reporting package, including the Data Collection Form (SF-SAC), must be submitted to the Federal Audit Clearinghouse (FAC) within the earlier of 30 calendar days after receipt of the auditor's report, or nine months after the end of the audit period. For the fiscal year ended December 31, 2024, the statutory deadline for submission was September 30, 2025. Condition: The Facility's audit reporting package was submitted to the Federal Audit Clearinghouse on October 6, 2025. This submission occurred six days after the required regulatory deadline of September 30, 2025. Cause: Changes in financial department. Effect: A primary consequence of this late filing is that the Facility will be ineligible for "low-risk auditee" status for the next two consecutive audit cycles. This typically results in increased auditor testing (higher coverage requirements) in future years. Questioned Costs: None noted. Repeat Finding: No. Recommendation: Management concurs with the finding. To prevent future occurrences, the financial department has implemented an updated compliance calendar. All future HUD financial submissions will be targeted for completion and portal upload no later than September 15th of each year. Views of Responsible Officials: See Corrective Action Plan.