Finding 392602 (2021-001)

Significant Deficiency

Requirement

Questioned Costs

Year

2021

Accepted

2024-04-08

Audit: 302903

Organization: Mentasta Traditional Council (AK)

Auditor: Altman Rogers & CO

AI Summary

Core Issue: The Council failed to submit the Form SF-SAC on time for the fiscal year ending September 30, 2021.
Impacted Requirements: The Council must file the single audit report and Form SF-SAC within nine months of the fiscal year end.
Recommended Follow-Up: Implement internal controls to ensure timely hiring of a CPA firm for future audits.

Finding Text

: Significant Deficiency in Internal Control over Compliance, Noncompliance – Reporting Identification of the federal program Award Year Agency and Pass-through Entity Grant Title Grant Number Assistance Listing Number 2021 U.S. Department of the Treasury COVID-19 Relief Fund SLT0632 21.019 2021 U.S. Department of Housing and Urban Development Indian Community Development Block Grant B-19-SR-02-1004 14.862 Criteria or Specific Requirements The Council is required to submit the single audit report and Form SF-SAC within nine months of the fiscal year end or by any Office of Management and Budget extended deadlines. Condition The Form SF-SAC for the fiscal year ended September 30,2021 was not filed on time Cause The audit was not completed in time to file the form, due to a delay in contracting with an accountant to perform the audit. Effect or Potential Effect The Council was not able to file the Form SF-SAC by the required time. Questioned Costs None Context The Form SF-SAC is due nine months after the fiscal year end. The form for the fiscal year ended September 30, 2021 was filed late. Identification as a repeat finding This is not a repeat finding. Recommendation We recommend the Council implement internal control procedures to ensure timely hiring of a CPA firm to complete audit. Views of Responsible Officials Management concurs with the findings. See correction action plan for more information.

Corrective Action Plan

Significant Deficiency in Internal Control over Compliance, Noncompliance – Reporting Name of Contact Person: Anita Andrews, Tribal Administrator Corrective Action Plan: As we continue to recover from the many set-backs over the past few years related to COVID-19 we will strive to ensure that our future audits are completed in time to file the form SF-SAC within the required nine months of our fiscal year end (9/30). Our corrective action plan includes: - Closing the fiscal year books within 90 days after our fiscal year end (excluding any required adjusting journal entries that may be necessary). - Scheduling our audit to occur within 100 days after our fiscal year end. - Obtaining a final audit report prior to the end of June following our fiscal year end. Proposed Completion Date: We are anticipating that the completion date of the above corrective action plan will be for Fiscal Year 2023.

Other Findings in this Audit

392603 2021-001

Significant Deficiency
392604 2021-001

Significant Deficiency
969044 2021-001

Significant Deficiency
969045 2021-001

Significant Deficiency
969046 2021-001

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
14.862	Indian Community Development Block Grant Program	$800,000
21.019	Coronavirus Relief Fund	$352,735
15.020	Aid to Tribal Governments	$124,504
21.027	Coronavirus State and Local Fiscal Recovery Funds	$107,566
10.674	Wood Utilization Assistance	$100,000
93.391	Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises	$95,201
66.926	Indian Environmental General Assistance Program (gap)	$85,927
93.912	Rural Health Care Services Outreach, Rural Health Network Development and Small Health Care Provider Quality Improvement	$84,214
90.100	Denali Commission Program	$70,459
15.024	Indian Self-Determination Contract Support	$66,006
15.144	Indian Child Welfare Act_title II Grants	$16,317
15.021	Consolidated Tribal Government Program	$7,239
20.205	Highway Planning and Construction	$3,473