Finding 518329 (2023-002)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2025-01-08
Audit: 336686
Organization: Community Action Team, Inc. (OR)

AI Summary

  • Core Issue: The Organization submitted the Real Property Status Report SF-429 late and without prior review, despite the information being accurate.
  • Impacted Requirements: Annual reporting is mandatory for all grantees under federal program AL number 93.600, with a submission deadline of July 30th.
  • Recommended Follow-Up: Establish written policies and procedures for timely reporting and implement controls to ensure compliance and accuracy before submission.

Finding Text

2023-002 Finding – Federal Award Type: Special Reporting – Real Property Status Report SF-429 – Non-Compliance and Significant Deficiency in Internal Control Over Compliance Identification of Federal Program: AL Number: 93.600 Head Start Cluster Criteria / Requirement: Annual reporting of Real Property is required for all grantees through the Real Property Status Report form SF-429, regardless of whether or not they hold reportable property that was paid for using federal funds under AL number 93.600. For non-federal entities with a budget period beginning July 1st, the SF-429 report is due July 30th following the end of the year. Condition / Context: The Organization filed the SF-429, however the report was filed after the required date. Additionally, the report was not reviewed prior to submission, though the information contained in the SF-429 was accurate. Cause: Procedures were not in place to ensure that the Organization filed the report timely, and there were no procedures in place to ensure the report submitted was accurate. Effect: Failure to maintain sufficient internal controls over special reporting may result in non-compliance and or inaccurate reporting. Questioned Costs: None. Recommendation: The Organization should establish written policies and procedures regarding special reporting such as Real Property Status Reporting form SF-429 as well as establish organizational controls to ensure that such policies and procedures are being followed. Management’s Response: We have identified gaps in our reporting processes and worked to implement changes to ensure compliance with special reporting requirements. Policies and procedures will be updated regarding special reporting requirements and ensure controls are in place for additional review of such reports prior to filing. Tracking procedures will be implemented to ensure reports are filed timely. The above identified corrective action was implemented in July 2024. Stacey Wilson, Fiscal Director, has implemented a tracking system for Real Property Reporting form SF-429.

Corrective Action Plan

2023-002 – Federal Award Special Reporting – Real Property Status Report SF-429 0 Non-Compliance and Significant Deficiency in Internal Control Recommendation: The Organization should establish written policies and procedures regarding special reporting such as Real Property Status Reporting form SF-429 as well as establish organizational controls to ensure that such policies and procedures are being followed. Action Taken: We have identified gaps in our reporting processes and worked to implement changes to ensure compliance with special reporting requirements. Policies and procedures will be updated regarding special reporting requirements and ensure controls are in place for additional review of such reports prior to filing. Tracking procedures will be implemented to ensure reports are filed timely. The above identified corrective action was implemented in July 2024. Stacey Wilson, Fiscal Director, has implemented a tracking system for Real Property Reporting form SF-429.

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties Equipment & Real Property Management Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 518327 2023-003
    Material Weakness
  • 518328 2023-004
    Material Weakness
  • 1094769 2023-003
    Material Weakness
  • 1094770 2023-004
    Material Weakness
  • 1094771 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $2.74M
93.568 Low-Income Home Energy Assistance $924,262
14.267 Continuum of Care Program $911,889
64.033 Va Supportive Services for Veteran Families Program $852,336
10.415 Rural Rental Housing Loans $439,298
81.U01 Bonneville Power Administration Weatherization $207,659
21.023 Emergency Rental Assistance Program $176,813
10.558 Child and Adult Care Food Program $159,710
93.870 Maternal, Infant and Early Childhood Homevisiting Grant Program $137,987
14.247 Self-Help Homeownership Opportunity Program $135,000
93.569 Community Services Block Grant $120,522
81.042 Weatherization Assistance for Low-Income Persons $96,438
93.499 Low Income Household Water Assistance Program $96,222
93.052 National Family Caregiver Support, Title Iii, Part E $90,825
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $81,918
21.019 Coronavirus Relief Fund $59,133
93.558 Temporary Assistance for Needy Families $55,237
10.420 Rural Self-Help Housing Technical Assistance $49,328
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $47,382
93.053 Nutrition Services Incentive Program $42,167
14.169 Housing Counseling Assistance Program $40,642
10.559 Summer Food Service Program for Children $18,305
14.231 Emergency Solutions Grant Program $7,094
93.043 Special Programs for the Aging, Title Iii, Part D, Disease Prevention and Health Promotion Services $1,703
93.041 Special Programs for the Aging, Title Vii, Chapter 3, Programs for Prevention of Elder Abuse, Neglect, and Exploitation $712
10.433 Rural Housing Preservation Grants $288