Finding Text
over Compliance (Reporting)
Federal program information:
Funding agencies: U.S. Department of Treasury, U.S. Department of
Housing and Urban Development
Titles: Community Development Block Grants/Entitlement
Grants Funds,
Emergency Shelter Grants Program,
Coronavirus State and Local Fiscal Recovery
Assistance Listing Number: 14.218, 14.231, 21.027
Award numbers: Multiple
Pass-Through grantors: Multiple
Compliance Requirements: Reporting
Questioned Costs: N/A
Criteria: The terms of the Department’s federally funded grants and contracts and
the Uniform Guidance require the submission of a single audit reporting
package to the Federal Audit Clearinghouse within nine months of the
auditees’ fiscal year.
Condition: The Department’s single audit reporting package for the fiscal year ended
June 30, 2023, was not submitted to the Federal Audit Clearinghouse
within nine months after the organization’s year-end.
Cause and Effect: Due to the turnover in the organization, there were delays in completing
the year-end close of the financial statements and SEFA. The audit firm
was also not able to complete the audit within the short engagement time
frame. The effect is untimely submission of the single audit reporting
package to the Federal Audit Clearinghouse resulting in noncompliance
with federal requirements.
Auditors’
Recommendations: The organization should evaluate its resources necessary to complete the
year-end closing and financial reporting process and consider the need to
devote additional resources to the financial reporting process. Doing so
will improve the timeliness of the organization’s submittal to the Federal
Audit Clearinghouse.