Finding Text
Federal Award Findings Required to be Reported in Accordance with Uniform Guidance
2023-001 Failure to Submit the Data Collection Form and Single Audit Reporting Package by the Due Date
Condition: The data collection form and Single Audit reporting package were not submitted to the Federal Auditing Clearinghouse by the nine-month due date.
Criteria: Timely filing of the data collection form and Single Audit reporting package is required by the Office of Management and Budget.
Cause: The delay in filing statements was due to two significant events:
1. Center for Human Services, Inc. merged with another organization which required integration of financial data and processes from both entities. The integration involved aligning data to ensure the accuracy of combined financial information.
2. Center for Human Services, Inc. was transitioning to a new accounting software to better support expanded operations post-merger. This conversion involved large volumes of data and training staff on the new software. The transition period required additional time to ensure the accuracy of financial data and reporting.
Effect: The financial statements for the year ended June 30, 2023 were not available, timely. Consequently, the audit could not be completed and financial reporting submitted to the Federal Audit Clearinghouse within nine months after the end of the audit period.
Recommendation: We recommend developing strategies to help with staffing issues such as offering incentives to attract candidates and making the most of the current workforce.
Management’s Response/Corrective Action Plan: Management agrees. See Corrective Action Plan.
Auditor’s Conclusion: The new accounting software has been implemented, and a new staff accountant has been hired. The corrective action plan appears likely to correct the concern.