The Organization concurs with this finding, and management has
developed and implemented policies and procedures to correct the audit deficiency. The Organization’s work has increased rapidly due to the humanitarian crisis presenting in California’s unhoused population. Although additional staff was hired last year, management has concluded further increase in staffing is necessary. As such, management has committed to increasing accounting department staffing to meet the organization’s expanded capacity, as well as increasing the audit-specific staffing allocation to ensure adequate support for the preparation and gathering of records for the auditors in a timely manner. Furthermore, circumstances required management to find a new 3rd Party audit firm that could commit to multiple years of engagement. Maintaining the same audit firm will provide continuity and preparedness for the organization, thereby improving completion time. Management is committed to additional hiring by March 15, 2025, to be ready to assist the next year’s audit process and its timely submittal.