Finding 369084 (2023-002)

Finding 2023-002: Reportable Finding Considered a Significant Deficiency - Failure to Meet Reporting Requirement Program name: Head Start (Cluster) Assistance Listing: 93.600 Federal awarding agency: United States Department of Health and Human Services Compliance requirement: Reporting Criteria: The grant agreement (03CH012075-02-02) for Head Start requires the submission of the Real Property Status Report (SF-429), as expenditures for leasehold improvements were reimbursed under the award during the year ended August 31, 2023. Condition: The Organization did not submit the SF-429 report due during the year ended August 31, 2023. Context: The year under audit was the first year the Organization was subject to these reporting requirements. Cause: The Organization is aware of the requirement and has requested assistance with the preparation of the report from the Federal agency, but has not received assistance as of the date of the audit report. Effect: The Organization did not meet reporting requirements for the award during the year ended August 31, 2023. Repeat finding: This is not a repeat finding. Questioned costs: There are no questioned costs associated with this finding. Recommendation: We recommend that the Organization follow up with the relevant parties to ensure proper reporting requirements are met on a timely basis. Management’s response and corrective action plan (unaudited): See corrective action plan.