Finding 480114 (2023-008)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-08-01

AI Summary

  • Core Issue: The organization failed to submit the data collection form by the required deadline of March 31, 2024.
  • Impacted Requirements: This violates the Uniform Guidance §200.512, which mandates timely submission of audit reports and related documentation.
  • Recommended Follow-Up: Establish a robust internal control system to ensure timely preparation and submission of required forms to avoid future delays.

Finding Text

Finding Number: 2023-008 Information on the Federal Program: Federal Agency: United States Department of Veteran Affairs Program Name: SSVF CFDA: 64.033 Federal Award Identification Number: 14-MA-209 Federal Award Year: 2023 Specific Requirement: In accordance with the Uniform Guidance §200.512, Report Submission, the audit must be completed, and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s reports, or nine months after the end of the audit period. Condition Found: The Organization did not submit the data collection form prior to the 9 month extended deadline of March 31, 2024. Context: The late report submission is a condition identified per examination of the audit report date, in comparison to the required submission deadline date of the data collection form and reporting package. Questioned Costs: N/A Cause and Effect: Uniform Guidance audit was not completed by the reporting deadline due to issues with staffing. This presented delays in scheduling and other data gathering that likely could have been avoided or reduced had there been adequate staffing. Identification as a Repeat Finding, if Applicable: Not applicable Recommendation: We recommend that staff organize an internal control structure that can facilitate timely preparation of the data collection form and the related reconciliations for the completion of the audit and submission of the data collection form before the submission deadline. Views of a Responsible Official and Corrective Action Plan: Management agrees with the finding and the recommendation. See Corrective Action Plan attached.

Corrective Action Plan

Findings 2023-001 through 2023-008 Since 2020, the Organization had gone through a significant amount of turnover at the management level and in the Finance department. These changes have resulted in the identification of a significant lack of internal controls as well as a lack of resources. The Organization has gone through a process of hiring new Finance positions and engaging outside consultants as needed. With a change in leadership and an increase in resources, the Organization is in the process of implementing a system of internal controls that will focus on segregation of duties related to all significant transaction cycles (including monthly close procedures), increasing communication and transparency of transactions within the Organization, and a heightened sense of documentation to support all transactions, including grant funded activity. The goal of implementing this system of controls is to mitigate the risk of any wrongdoing, intentional or unintentional, at the Organization and to allow for proper compliance with restrictions set forth by government agencies. Responsible party: Bill Kelly; Executive Director; (978) 853-7013 Anticipated completion date: December 31, 2024

Categories

Reporting

Other Findings in this Audit

  • 480111 2023-005
    Material Weakness Repeat
  • 480112 2023-006
    Material Weakness Repeat
  • 480113 2023-007
    Material Weakness Repeat
  • 1056553 2023-005
    Material Weakness Repeat
  • 1056554 2023-006
    Material Weakness Repeat
  • 1056555 2023-007
    Material Weakness Repeat
  • 1056556 2023-008
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
64.033 Va Supportive Services for Veteran Families Program $1.94M
14.267 Continuum of Care Program $420,000
14.239 Home Investment Partnerships Program $307,230
64.024 Va Homeless Providers Grant and Per Diem Program $288,521
14.235 Supportive Housing Program $78,638