Finding 3442 (2022-003)

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Requirement
L
Questioned Costs
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Year
2022
Accepted
2023-12-05

AI Summary

  • Issue: Bossier Office of Community Services, Inc. failed to submit accurate and timely Federal Financial Reports (SF-425) in FY 22.
  • Requirements Impacted: This violates 45 CFR section 75.303(b), which mandates compliance with federal regulations and award conditions.
  • Follow-Up: Management needs to create and enforce procedures for timely and accurate preparation and submission of financial reports.

Finding Text

Federal Financial Reporting Fiscal year finding initially occurred: 2022 CONDITION: Bossier Office of Community Services, Inc. did not provide accurate and timely submissions of its Federal Financial Report (SF-425) during FY 22. CRITERIA: 45 CFR section 75.303(b) – Internal Controls, requires non-Federal agencies to comply with Federal statutes, regulations, and the terms and conditions of all Federal awards. CAUSE: The processing and preparation of Federal Financial Reports (SF-425) was delayed as a result of significant financial management staff turnover during the first quarter of FY 22. EFFECT: By not receiving complete and accurate grant program activity financial reports, the Federal grantor agency may be prevented from making timely, informed decisions about grant program operations. RECOMMENDATION: Management should develop and implement procedures to ensure that complete and accurate Federal Financial Reports are prepared, reviewed, and submitted in a timely manner.

Corrective Action Plan

The cause of SF-425 reports not being filed in a timely manner was that there was a change in the position of finance director and that onboarding for the new person had not been completed by the time the reports were due. The Head Start Regional Office provided training and technical assistance that included instructions on the process for the annual filing of SF-425 reports. The agency developed a corrective action plan that include the Finance Director must provide the Executive Director with the SF-425 reports to review and sign for reverification of submission of the report.

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
93.568 Low-Income Home Energy Assistance $1.36M
93.569 Community Services Block Grant $318,327
10.558 Child and Adult Care Food Program $286,644
93.600 Head Start $267,197
14.218 Community Development Block Grants/entitlement Grants $10,864