Finding Text
FINDING NO. 2022-04 – Submission of Audited Financial Statements
Type of Finding:
Material Weakness in Internal Control over Major Programs
Federal Agency: U.S. Department of Health and Human Services
Assistance Listing Number: 93.569
Pass-Through Agency: New Jersey Department of Community Affairs
Program Titles: Community Services Block Grant (CSBG) and Community Services Block Grant (CSBG) – COVID 19 CARES Act CSBG ND 2020
Pass-Through Number(s): 2021-05235-0083-03, 2022-05235-0198-03, 2020-05205- 0330-01
Criteria: Per the Uniform Guidance and 15-08-OMB Policy manual: audits generally must be completed and submitted by the recipient within 9 months after the end of the recipient's fiscal year audit period. Shorter submission periods may be designated by a state funding agency.
Statement of Condition: The Organization submission of the audited financial statements is late.
Cause: Significant delay in closing the books, scheduling for an audit and providing information for the audit process.
Effect: This might result in the cognizant agency withholding funds and delay funding.
Questioned Costs: N/A
Repeat Finding: 2021-005
Recommendation: The Organization should attempt to close their books and aim for audit completion within 9 months after year end to meet the federal audit clearing house reporting requirements.
Views of Responsible Officials: The Organization agrees with this finding and has in place an accounting firm to facilitate the updating of accounting records and the preparation of information for the fiscal year ended September 2023 and 2024 audits. The accounting information for the fiscal year ended September 2023 is ready for the audit. The preparation of the accounting records for the September 2024 audit is in progress and will be ready for the auditors review shortly.