Finding 392484 (2022-001)

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Requirement
L
Questioned Costs
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Year
2022
Accepted
2024-04-08
Audit: 302810
Organization: City of Oswego (NY)

AI Summary

  • Core Issue: The Single Audit reporting package was filed late, violating the deadline set by Uniform Guidance.
  • Impacted Requirements: Compliance with §200.512 of the Uniform Guidance was not achieved due to delays in financial reporting.
  • Recommended Follow-Up: Ensure timely availability of audit information to meet future filing deadlines and maintain compliance.

Finding Text

Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Federal Agency: Not applicable. Federal Program: Not applicable. Assistance Listing Number: Not applicable. Pass-Through Agency: Not applicable. Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Condition: This deadline was not met on a timely basis for the year ended December 31, 2021. Cause: Numerous audit adjustments to the Community Development Special Grant Fund were required, causing a delay in financial reporting. Effect or Potential Effect: The City was not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Context: The 2021 Single Audit reporting package was filed on October 11, 2022, 11 days after the required filing date. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: Management agrees with this finding. There has been significant turnover in key positions of the Community Development Department. It is the City's goal to provide all information required for future audits on a timely basis in order to complete financial statements for submission deadlines outlined in Uniform Guidance, §200.512.

Corrective Action Plan

Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Numerous audit adjustments to the Community Development Special Grant Fund were required, causing a delay in financial reporting. The required deadline was not met on a timely basis for the year ended December 31, 2021. Effect: The City was not incompliance with §200.512 of the Uniform Guidance. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Questioned Costs: None. Context: The 2021 Single Audit reporting package was filed on October 11, 2022, 11 days after the required filing date. Response: Management agrees with this finding. There has been significant turnover in key positions of the Community Development Department. It is the City's goal to provide all information required for future audits on a timely basis in order to complete financial statements for submission deadlines outlined in Uniform Guidance, §200.512. Corrective Action Plan: Management will direct the Community Development Department to ensure a monthly review and reconciliation of general ledger balances be performed and reviewed by a responsible official. Differences will be investigated and adjustments made on a timely basis to ensure accurate and timely financial reporting. Additionally, training will be provided to those individuals charged with recording the financial activities of the Community Development Special Grant Fund, and serious consideration will be given to hiring an outside accounting consultant. Anticipated Completed Date: April 15, 2024.

Categories

Allowable Costs / Cost Principles Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $2.92M
21.027 Coronavirus State and Local Fiscal Recovery Funds $708,078
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $380,061
14.896 Family Self-Sufficiency Program $54,000
97.044 Assistance to Firefighters Grant $52,325
16.607 Bulletproof Vest Partnership Program $3,129