FAC Explorer

Finding 516600 (2023-002)

Significant Deficiency
Requirement
AB
Questioned Costs
-
Year
2023
Accepted
2024-12-23
Audit: 334558
Organization: Southwestern Wisconsin Community Action Program, Inc. (WI)
Auditor: Wipfli LLP

AI Summary

  • Core Issue: SWCAP submitted the audit and reporting package late, violating federal regulations.
  • Impacted Requirements: Compliance with 2 CFR section 200.512(a) regarding timely audit submissions.
  • Recommended Follow-Up: Ensure financial records are ready well in advance and coordinate with the auditing firm for a clear audit plan.

Finding Text

Finding 2023-002: Late Audit Submission Questioned Costs: None Criteria or Specific Requirement: 2 CFR section 200.512(a) requires the reporting package and data collection form be submitted to the Federal Audit Clearinghouse the earlier of 30 calendar days after the reports are received from the auditors or nine months after the end of the audit period. Condition: The December 31, 2023 audit and reporting package is being submitted after the required due date. Effect: SWCAP is not in compliance with federal regulations regarding audit timing and represents a significant deficiency in internal control over financial reporting. Cause: During 2023, SWCAP's Finance Director resigned. Due to the difficulties in finding an experienced replacement in the area, SWCAP contracted with an accounting firm to provide financial oversite duties. As part of this transition, SWCAP made a change in accounting software as well. Both of these transitions required a significant time commitment from the contracted accounting firm causing delays in providing financial information in a timely manner for the audit. Further, the audit documentation previously provided by the Finance Director was not provided by or was in a significantly different format from the contracted accountant. For example, Wipfli had to make adjustments to the financial information for a housing subsidiary and had to assist with consolidating housing subsidiaries, along with preparing substantially all of the notes to the consolidated financial statements and substantially preparing supplementary schedules. Finally, Wipfli had some staffing challenges that partially contributed to the delay. Repeat: No Auditor's Recommendations: SWCAP should take steps to ensure that its financial records are available in a timely manner to allow the audit to begin sufficiently before the audit due date. SWCAP also should work with their auditing firm to agree upon information that will and will not be prepared by SWCAP so that a proper audit plan can be developed for timely completion. View of Responsible Officials: Management agrees with the finding and has developed a written corrective action plan.

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 516586 2023-001
    Material Weakness
  • 516587 2023-002
    Significant Deficiency
  • 516588 2023-001
    Material Weakness
  • 516589 2023-002
    Significant Deficiency
  • 516590 2023-001
    Material Weakness
  • 516591 2023-002
    Significant Deficiency
  • 516592 2023-001
    Material Weakness
  • 516593 2023-002
    Significant Deficiency
  • 516594 2023-001
    Material Weakness
  • 516595 2023-002
    Significant Deficiency
  • 516596 2023-001
    Material Weakness
  • 516597 2023-002
    Significant Deficiency
  • 516598 2023-003
    Significant Deficiency
  • 516599 2023-001
    Material Weakness
  • 1093028 2023-001
    Material Weakness
  • 1093029 2023-002
    Significant Deficiency
  • 1093030 2023-001
    Material Weakness
  • 1093031 2023-002
    Significant Deficiency
  • 1093032 2023-001
    Material Weakness
  • 1093033 2023-002
    Significant Deficiency
  • 1093034 2023-001
    Material Weakness
  • 1093035 2023-002
    Significant Deficiency
  • 1093036 2023-001
    Material Weakness
  • 1093037 2023-002
    Significant Deficiency
  • 1093038 2023-001
    Material Weakness
  • 1093039 2023-002
    Significant Deficiency
  • 1093040 2023-003
    Significant Deficiency
  • 1093041 2023-001
    Material Weakness
  • 1093042 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $3.66M
10.766 Community Facilities Loans and Grants $1.62M
20.509 Formula Grants for Rural Areas and Tribal Transit Program $673,729
20.513 Enhanced Mobility of Seniors and Individuals with Disabilities $653,032
93.568 Low-Income Home Energy Assistance $458,047
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $448,442
10.569 Emergency Food Assistance Program (food Commodities) $431,993
81.042 Weatherization Assistance for Low-Income Persons $370,798
93.575 Child Care and Development Block Grant $324,677
93.217 Family Planning_services $295,975
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $276,544
93.600 Covid-19 Head Start $213,706
93.569 Community Services Block Grant $209,774
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $171,004
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $164,423
93.276 Drug-Free Communities Support Program Grants $155,229
93.558 Temporary Assistance for Needy Families $144,137
93.432 Acl Centers for Independent Living $120,000
10.558 Child and Adult Care Food Program $119,916
21.023 Covid-19 Emergency Rental Assistance Program $110,640
94.011 Foster Grandparent Program $87,851
93.495 Community Health Workers for Public Health Response and Resilient $86,902
21.027 Covid-19 Coronavirus State and Local Fiscal Recovery Funds $79,877
10.568 Emergency Food Assistance Program (administrative Costs) $75,210
93.767 Children's Health Insurance Program $53,871
93.435 Innovative State and Local Public Health Strategies to Prevent and Manage Diabetes and Heart Disease and Stroke- $53,508
14.231 Emergency Solutions Grant Program $50,111
93.799 Cara Act – Comprehensive Addiction and Recovery Act of 2016 $49,607
14.252 Section 4 Capacity Building for Community Development and Affordable Housing $40,512
17.259 Wia Youth Activities $36,000
93.558 Covid-19 Temporary Assistance for Needy Families $34,842
14.267 Continuum of Care Program $26,046
93.268 Immunization Cooperative Agreements $22,260
93.994 Maternal and Child Health Services Block Grant to the States $22,184
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $9,047
97.024 Emergency Food and Shelter National Board Program $2,739
14.900 Lead-Based Paint Hazard Control in Privately-Owned Housing $2,321
14.239 Home Investment Partnerships Program $47