FAC Explorer

Finding 525595 (2023-003)

Significant Deficiency Repeat Finding
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2025-03-04
Audit: 344694
Organization: Child Start, Inc. (MT)
Auditor: Jccs PC

AI Summary

  • Issue: The audit for 2023 was not submitted on time, missing the deadline set by federal regulations.
  • Requirements Impacted: Lack of internal controls led to delays, risking the organization's low-risk auditee status.
  • Follow-Up: Implement procedures to ensure timely finalization of accounting records for future audits.

Finding Text

2023-003: Delinquent Audit Report Condition and Criteria: The audit for the current year ended December 31, 2023 was not submitted to the Federal Audit Clearinghouse within the statutory deadline of the earlier of nine months after the end of the fiscal year or thirty days after the date of the auditors' report. Internal controls should be in place to provide reasonable assurance that accounting records and information pertaining to the audit process are finalized and made available to allow adequate time to complete the audit prior to the statutory deadline. Cause: There is not a process in place to provide reasonable assurance that the accounting records and information pertaining to the audit process are finalized and made available to the auditors to allow adequate time to complete the audit and reporting prior to the statutory deadline. Effect or Potential Effect: Submission of the audited financial statements and auditors' reports to the Federal Audit Clearinghouse may be delinquent resulting in the Organization not qualifying as a low-risk auditee and being subject to more stringent audit requirements. Recommendation: We recommend the Organization implement procedures to ensure the accounting records and information pertaining to the audit process are finalized and made available to the auditors to allow adequate time to complete the audit prior to the statutory deadline.

Corrective Action Plan

Recommendation: We recommend the Organization implement procedures to ensure the accounting records and information pertaining to the audit process are finalized and made available to the auditors to allow adequate time to complete the audit prior to the statutory deadline. Management’s Response: We concur with the recommendation, and the corrective action will be implemented as of January 31, 2025.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 525590 2023-002
    Material Weakness Repeat
  • 525591 2023-004
    Material Weakness Repeat
  • 525592 2023-005
    Material Weakness
  • 525593 2023-006
    Material Weakness
  • 525594 2023-001
    Material Weakness Repeat
  • 1102032 2023-002
    Material Weakness Repeat
  • 1102033 2023-004
    Material Weakness Repeat
  • 1102034 2023-005
    Material Weakness
  • 1102035 2023-006
    Material Weakness
  • 1102036 2023-001
    Material Weakness Repeat
  • 1102037 2023-003
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $3.63M
10.558 Child and Adult Care Food Program $107,249
93.575 Child Care and Development Block Grant $16,252