Finding Text
2022-003 - Filing of Single Audit Report (MW, NC)
Criteria: Pursuant to the Office of Management and Budget (OMB) 2 CFR section 200.512(a) Report
submission... "The audit must be completed and the data collection form... must be submitted within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit
period. If the due date falls on a Saturday, Sunday, or Federal holiday, the reporting package is due the next business day..."
Condition: The City did not timely submit the Single Audit Reporting Package for the fiscal years ended
June 30, 2017, 2018, 2019, 2020, 2021 and 2022 within nine months after the end of audit period.
Cause: The City had been severely behind on its recording and reconciliations for financial transactions
for the fiscal years ended June 30, 2017, 2018, 2019, 2020, 2021 and 2022 due to lack of qualified staff
within the Finance Department.
Effect or Potential Effect: Failure to submit the required Single Audit Reporting Package timely
automatically results in the City not qualifying for low-risk auditee status for the following year's single
audit. In addition, failure to file the required Single Audit Reporting Package timely could result in the loss
of Federal funding.
Questioned Cost: None
Context: The Single Audit Reporting Package for the past six years has not been submitted within the
due dates established by the Office of Management and Budget. The FY 2017 package was submitted
6 months after the due date; the FY 2018 package was submitted 11 months after the due date; the FY
2019 package was submitted 19 months after the due date; the FY 2020 package was submitted 23
months after the due date; the FY 2021 package was submitted 18 months after it was due.
The City's FY 2022 Single Audit Reporting Package was due on March 31, 2023.
Statistical Sampling Validity: Not applicable. Sampling was not performed in relation to this finding.
Repeat of a Prior-Year Finding: Yes, 2019-013, 2021-005
Recommendation: We recommend the City bring its accounting records up to date and have financial
statement and Single Audits prepared timely. We also recommend the City develop, document, and
implement policies and procedures for timely submission of the Single Audit Reporting Package.
Management Response and Corrective Action Plan
City's Response: The City concurs with the recommendation
Corrective Action Plan: The Finance Department continues to bring its accounting records and
account reconciliations up to date and is working on having the financial statements and Single
Audits prepared in a timely manner. The City is also working on developing, documenting, and
implementing policies and procedures for timely submission of the Single Audit Reporting Package.
As of March 2024, the City has had all audits through FY 2022 completed and is completing the FY
2022 single audit in April 2024.
Planned Implementation Date: June 30, 2024
Responsible Person: Director of Finance