Finding 559174 (2023-002)

Significant Deficiency Repeat Finding
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2025-05-02

AI Summary

  • Core Issue: The annual financial statement for 2023 was submitted late to the Federal Audit Clearing House.
  • Impacted Requirements: Compliance with federal regulations requiring timely submission of financial statements for federal awards over $750,000.
  • Recommended Follow-Up: Ensure future submissions are made on time to avoid non-compliance with federal guidelines.

Finding Text

Finding – Item 2023-02SP    Compliance and Reporting Major Federal Award Program Audit      Department of Health and Human Services Assistance Listing  93.600 Head Start and Early Head Start Statement of Condition: The required annual financial statement submission to the Federal Audit Clearing House for the year ended December 31, 2023 was made after the extended submission deadline. Criteria: The U. S. Department of Health and Human Services has implemented the Uniform Guidance at 45 CFR § 75. According to the Subpart F-Audits 45 CFR §75.501(a) non-federal entities that expend $750,000 or more during the non-Federal entity's fiscal year in federal awards must have a single or program-specific audit conducted for that year in accordance with the provisions of this part. Guidance on determining Federal awards expended is provided in 45CFR § 75.502. The regulation obligates organizations expending federal grant funds over $750,000 to submit their required annual financial statement information within nine months of their year end to the Federal Audit Clearing House electronically via the Internet.Effect of Condition: The Agency was temporarily out of compliance with federal requirements and guidelines. Cause of Condition: The Agency did not complete its annual audit timely.Recommendation: We recommend that the required annual financial statement submission to the Federal Audit Clearing House be made on a timely basis for all future required submissions.Reporting View of Responsible Officials: We agree with the finding and the Agency will submit the required annual financial statement submission to the Federal Audit Clearing House for the fiscal year ended December 31, 2024  before the extended due date.

Corrective Action Plan

Management is actively working on retaining and recruiting knowledgeable personnel in the finance and account department to enhance the department's effectiveness and efficiency. OCAB has established agreements with account professionals to improve the training and efficiency of staff in the fiscal office, focusing on areas such as financial compliance, daily fiscal responsibilities month end closing and budget analysis. OCAB as slso hired 2 fiscal personnel in this department. We believe significant progress has been made since the last reorting period. A wage and benefits was completed and utilized in the process. OCAB believes that the measures taken will ensure compliance with all department of Health & Human Services regulations.

Categories

Reporting Matching / Level of Effort / Earmarking Special Tests & Provisions

Other Findings in this Audit

  • 559175 2023-002
    Significant Deficiency
  • 559176 2023-002
    Significant Deficiency
  • 559177 2023-002
    Significant Deficiency
  • 559178 2023-002
    Significant Deficiency
  • 1135616 2023-002
    Significant Deficiency Repeat
  • 1135617 2023-002
    Significant Deficiency
  • 1135618 2023-002
    Significant Deficiency
  • 1135619 2023-002
    Significant Deficiency
  • 1135620 2023-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $6.05M
93.568 Low-Income Home Energy Assistance $3.25M
94.016 Americorps Seniors Senior Companion Program (scp) 94.016 $501,084
93.569 Community Services Block Grant $393,664
10.558 Child and Adult Care Food Program $174,501