Finding Text
2024-001 Late Filing of Federal Financial Reports
Federal Department: Department of Justice, Office on Violence Against Women
Assistance Listing #: 16.526
Compliance and Internal Controls Significant Deficiency
Category of Finding – Reporting
Criteria – Esperanza is required to submit quarterly FFR (financial) reports with 30 days of period end.
Condition – The March 31, 2024 FFR report for 15JOVW-23-GK-05153-MUMU and 15JOVW-23-GK-05137-CSSP were submitted on May 20, 2024. The December 31, 2023 FFR report for 2016-TA-AX-K040 was submitted on July 1, 2024.
Cause – The organization went through turnover of key staff during the fiscal year. The individuals who were responsible for submitting the reports left the organization during the fiscal year.
Effect – Failure to submit reports within the required period may result in Esperanza’s status to be delinquent and not be able to draw down funds on the award.
Recommendation – We recommend that management implement a formal process that clearly defines who is responsible for preparing and a separate individual responsible for reviewing these report, and make sure they are aware of the filing requirements to ensure that federal reports are prepared, reviewed, and submitted timely. Having two individuals responsible for this process will help mitigate the risk of missing a filing deadline due to turnover.
Management’s Response and Corrective Action – Esperanza has assigned the contract accountant to be responsible for preparing these reports and implemented processes to ensure these reports are submitted on time.
Responsible party for corrective action – Vivian Huelgo, President and CEO
Repeat finding – No