Finding Text
FINDING 2023-003
Late Submission of Reporting Package and Data Collection Form
FEDERAL PROGRAM
14.218 – Community Development Block Grants/Entitlement Grants
14.267 – Continuum of Care Program
93.778 – Medical Assistance Program
93.958 – Block Grants for Prevention and Treatment of Substance Abuse
FINDING TYPE
Noncompliance of Reporting.
CRITERIA
The Uniform Guidance requires the reporting package and data collection form to be
submitted to the Federal Audit Clearinghouse the earlier of 30 days after the reports are
received from auditors or nine months after the end of the audit period, unless longer period
of time was agreed to in advance by the cognizant or oversight agency for audit. The Federal
Audit Clearinghouse considers the submission requirement complete when it has received
the electronic submission of both the data collection form and the reporting package.
CONDITION AND CONTEXT
The Federal reporting deadline for the Single Audit Reporting Package was March 31, 2024;
however, RHD did not issue its Single Audit Reporting Package on time.
CAUSE
With over 160 different governmental contracts, management has been tasked with
significant reporting and audit requirements. In addition, due to financial conditions
disclosed in note 3 to the financial statements, resources normally committed to the
completion of the audit were utilized for financial analyses and treasury management which
had a direct impact on the financial reporting process which precipitated delinquency in
commencing and completing the fiscal year 2023 audit.
EFFECT OR POTENTIAL EFFECT
The late submission of the reporting package affects all Federal programs administered by
RHD. This finding is a material weakness in internal control over compliance and
noncompliance with the Uniform Guidance.
RECOMMENDATION
We recommend that RHD improve its financial reporting processes, including timely closing
of the general ledger, so that the Single Audit Reporting Package can be submitted to the
Federal Audit Clearinghouse no later than the earlier of 30 days after the reports are received
from auditors or nine months after year-end.