Finding Text
Finding 2025-003 - Reporting under Grants and Contracts Statement of Condition During our audit of the reporting requirements under the grants and contracts for the major programs selected we noted that reports were not submitted timely. Criteria Each grant and contract under the major programs selected had different reporting requirements and due dates. Cause Due to accounting and program staff turnover, the Organization was unable to keep track of reporting due dates. Effect Each grant/contract for the major programs tested had reports filed past their required due dates. Recommendation We recommend the Organization put procedures in place to ensure accurate and timely reporting for all required reports under the grants and contracts. Views of Responsible Officials and Planned Corrective Actions San Diego Youth Services (SDYS) concurs with this finding. During the audit period, the organization experienced significant turnover in both accounting and program leadership positions, which impacted the tracking and timely submission of required grant and contract reports. To address this issue, SDYS has implemented enhanced internal controls to strengthen grant reporting oversight and ensure compliance with all reporting requirements. These corrective actions include: • The development and maintenance of a centralized grant reporting calendar that identifies all reporting requirements, responsible staff, and submission deadlines for each grant and contract. • Assignment of clear reporting responsibilities to designated program and fiscal staff, with established internal due dates that preceded funder deadlines to allow adequate time for review. • Monthly monitoring of reporting deadlines by program leadership and the Finance Department to ensure timely completion and submission of required reports. • Increased executive oversight by the Chief Operating Officer (COO), who will review grant reporting compliance on a regular basis. Any report anticipated to be submitted after its required deadline must be communicated to and approved by the COO in advance whenever practicable. The reason for the delay, corrective actions, and revised submission timeline will be documented and monitored to prevent recurrence. • Cross-training of program and fiscal staff to ensure continuity of reporting responsibilities during periods of staff turnover or vacancies. Management believes these enhanced procedures will strengthen accountability, improve communication between program and fiscal teams, and ensure accurate and timely submission of all grant and contract reporting requirements going forward.