Finding 554968 (2022-001)

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Requirement
L
Questioned Costs
-
Year
2022
Accepted
2025-04-14

AI Summary

  • Core Issue: The Organization failed to submit the required data collection form and reporting package on time for 2021.
  • Impacted Requirements: This late filing violates federal award requirements for timely reporting.
  • Recommended Follow-Up: Establish a formal process to ensure timely tracking and submission of future data collection forms.

Finding Text

Community Development Financial Institutions Fund – Assistance Listing No. 21.020 and Capital Magnet – Assistance Listing No. 21.011, Late Filing of Prior Year Data Collection Form Criteria and Condition: The data collection form and reporting package is required to be submitted to the Federal Audit Clearinghouse within 30 days after receipt of the auditor's report or 9 months after the end of the fiscal year, whichever comes first. Context: The Organization did not submit the data collection form and reporting package for 2021 within the required due dates.Cause: A formal process to track the filing of the data collection form and reporting package does not exist. Effect: By not filing the data collection form and reporting package by the due date, one of the federal award requirements was not met. Recommendation: We recommend that the Organization develop a process to track the filing of the data collection form and reporting package. Views of Responsible Officials and Planned Corrective Actions: We agree with the finding and have established a process to track the filing of the data collection form and reporting package.

Corrective Action Plan

Locus and Subsidiaries respectfully submits the following corrective action plan for the year ended December 31, 2022. Name and address of independent public accounting firm: Brown, Edwards & Company, L.L.P. 105 Arbor Drive, 3rd Floor Christiansburg, VA 24073 Audit period: December 31, 2022 The findings from the December 31, 2022 Schedule of Findings and Questioned Costs (the “Schedule”) are discussed below. The findings are numbered consistently with the number assigned in the Schedule. FINDINGS – FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARD PROGRAMS AUDIT 2022-001: Community Development Financial Institutions Fund Assistance Listing No. 21.020 and Capital Magnet Assistance Listing No. 21.011. Criteria and Condition: Data collection forms must be filed annually on time. Context: The data collection form and reporting package was not filed by the due date. Cause: A formal process to track the filing of the data collection form and reporting package does not exist. Effect: By not filing the data collection form and reporting package by the due date, one of the federal award requirements was not met. Recommendation: We recommend that the Organization develop a process to track the filing of the data collection form and reporting package. Views of Responsible Officials and Planned Corrective Actions: We agree with the finding and have established a process to track the filing of the data collection form and reporting package. The Financial Reporting Manager and Executive Director of Finance will add tracking of the data collection form and reporting package to their formal task lists to ensure filing is complete and timely. Name of Contact Person: Ashley Coleman, Executive Director of Finance Signature of Contact Person:

Categories

Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
21.011 Capital Magnet Fund $2.57M
21.020 Community Development Financial Institutions Program $625,000
21.024 Community Development Financial Institutions Rapid Response Program (cdfi Rrp) $586,061
59.037 Small Business Development Centers $175,439
21.021 Bank Enterprise Award Program $170,699
23.002 Appalachian Area Development $105,632