Finding Text
CFDA Number: 11.307
CFDA Title: Economic Adjustment Assistance Program
Federal Agency: U.S. Department of Commerce Economic Development Administration
Award Number: 04-79-07293
Type of Finding: Noncompliance
Compliance Requirements: Reporting
Criteria: The regulations in 2 CFR section 200.501 (a) requires a single or program-specific audit for any
year in which an entity expends $750,000 or more in federal awards. Per 2 CFR Section 200.501 (c), a
program specific audit may be elected when an entity expends federal awards under only one federal
program and the Program does not require a financial statement audit. In addition, in accordance with 2
CFR Section 200.507 for Program Specific Audits , the audit must be submitted within the earlier of 30
calendar days after receipt of the auditor's reports or 9 months after the end of the audit period.
Condition: The Foundation expended greater than $750,000 under one federal program for the year
ended December 31, 2020 but did not have a program-specific audit performed.
Cause: The Foundation was not aware of the audit requirement since it does not receive federal funds on
a recurring basis.
Effect or Potential Effect: The Foundation's ability to obtain future funding for their projects could be
impacted by not complying with the reporting requirements referred to above.
Questioned Costs: None
Context: The occurrence of not complying with the reporting requirements referred to above appears to be
an isolated instance.
Repeat Finding from Prior Year: No Recommendation: The Foundation should take appropriate action to ensure that all reporting
requirements are known in the future and met on all of its potential future federal programs.
Views of Responsible Officials and Corrective Action Planned: Management of the Foundation concurs
with the audit finding. When management discovered the requirement had not been met, they
immediately contacted an independent auditor to perform the program-specific audit to satisfy the
reporting requirements.