Finding Text
Section II Findings – Financial Statement Audit: No findings were noted for the year ended June 30, 2024. Section III Findings and Questioned Costs – Major Federal Award Programs Audit: 2024-001 Significant Deficiency in Internal Control over compliance related to reporting the Federal Audit Clearinghouse Data Collection Form (FAC). Federal Program: US Department of Justice, passed through the Commonwealth of Massachusetts Office for Victim Assistance. Contract No. 2019-V2-GX-0027 AL Number 16.575. Criteria: 2 CFR 200.512 (a) requires recipients expending $750,000 or more in Federal awards during the fiscal year to submit the FAC and reporting package within the earlier of 30 calendar days after the receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition: The Federal Audit Clearinghouse Data Collection form was not filed for the fiscal year ended June 30, 2023 within the time period described above in accordance with 2 CFR 200.512 (a). Cause: The FAC Data Collection filing website was subject to significant changes which were unfamiliar to the Organization. In particular, the website used to notify the Organization and the auditee via email that signatures were required. This procedure has ceased. It is now incumbent on the auditor to notify the auditee of the auditor certification. The responsibility for the final filing then transfers to the auditee. Effect: Noncompliance with 2 CFR 200.512 (a), could impair future funding. The Organization did not comply with the timeliness component of the reporting requirements as a result of the change in the filing procedures. Repeat: This is not a repeat finding. Recommendation: Once the Organization was clear on the newly updated procedures for filing, they were enacted. Our recommendation is to document the process in the accounting policy and procedure manual. Views of Responsible Officials: Management agrees and has incorporated this procedure into the accounting manual. Corrective Action Plan: (unaudited): We agree with the recommendation and have updated the accounting manual. It should also be noted that the Organization has never filed late and has only had this happen once in the history of the Organization which is concurrent with the change in the FAC website update. Summarized Schedule of Prior Year Findings: Section II Findings – Financial Statement Audit: No findings were noted for the year ended June 30, 2023. Section III Findings and Questioned Costs – Major Federal Award Programs Audit: No findings were noted for the year ended June 30, 2023.