Finding Text
Finding No. 2023-001
SFA Cluster and ESF Funds
Compliance Requirement: Reporting
Criteria
In accordance with 34 C.F.R. § 668.23, an institution must at least annually have an independent auditor conduct a compliance audit of its administration of the Title IV, HEA program(s) in which it participates and an audit of the institution's general purpose financial statements. These audits must, among other requirements, be conducted in accordance with Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR part 200) and must be submitted to the Department no later than nine months after the last day of the institution's fiscal year. Condition
The Institution submitted the Single Audit Reporting Package on July 9, 2024, nine days past the
established required date.
Effect
Annual submissions occurring after the expiration of the extended due date may cause the Department to
determine that the institution is in violation of the past performance provisions set forth at 34 C.F.R. §
668.174(a)(3), resulting in, among other things, provisional certification, the posting of a letter of credit
(except for public institutions), and placement on a heightened cash monitoring payment method.
Cause
There were several unforeseen situations that delayed the audit and it was completed after the required
deadline.
Questioned Cost $ -0-
Recommendation
The Institution must diligently work with their auditor to submit a complete and acceptable audit as
quickly as possible and moving forward, your institutions audits are due before June 30th of every year
and you should be working with your auditor well in advance of that deadline to submit.
Management Response
The institution’s management agrees with the auditor. See corrective action plan