Finding 1241645 (2025-001)

Finding 2025-001 Program(s): Diesel Emission Reduction Act (DERA) National Grants and Energy Efficiency and Renewable Energy Information Dissemination, Outreach, Training and Technical Analysis/Assistance Federal Agency: Environmental Protection Agency and Department of Energy AL #: 66.039 and 81.117 Federal Award Identification Number and Year: Various – See SEFA Pass-through Entity: Various – See SEFA Type of Compliance Finding: Other Matters Criteria 2 CFR section 200.512(a) requires the reporting package and data collection form to be submitted to the Federal Audit Clearinghouse the earlier of 30 calendar days after the reports are received from the auditors or nine months after the end of the audit period. The Federal Audit Clearinghouse considers the submission complete when it has received the electronic submission of both the data collection form and the reporting package. Condition/Context We noted the Organization did not provide all of the necessary supporting documentation to complete the audit and submit the reporting package to the Federal Audit Clearinghouse by the due date. Cause The Organization experienced significant funding shortages beginning in April of 2025, due to federal funding freezes. This necessitated significant layoffs and re-training of personnel. Due to this situation, they experienced a shortage of personnel to provide necessary documentation in a timely manner. Effect The Organization will not qualify as a low-risk auditee for the next fiscal year and a minimum of 40% of their total federal awards expended will need to be audited. Questioned Costs Unknown Is the finding a repeat finding Yes Recommendations We recommend that management maintain all applicable supporting documentation to complete the audit prior to the applicable Federal Audit Clearinghouse due date.