Finding 560497 (2024-002)

Significant Deficiency

Requirement

Questioned Costs

Year

2024

Accepted

2025-05-15

Audit: 356416

Organization: Orange County Head Start, Inc. (CA)

Auditor: Bpm LLP

AI Summary

Issue: The Organization missed the deadline for submitting the Single Audit Report.
Requirement: The audit must be submitted within 9 months after the fiscal year end, specifically by March 31.
Follow-up: Ensure timely submission of future audits to maintain compliance with 2 CFR 200.

Finding Text

The Organization is subject to compliance requirements under Uniform Administrative Requirements Regulation 2 CFR 200 Subpart F - Audit Requirements ("2 CFR 200"). The reporting requirements as defined in the Uniform Administrative Requirements state a specific due date for the annual audit. The compliance audit is due nine months after the Organization's fiscal year end, or March 31. Single Audit Report was not submitted within 9 months after the year end.

Corrective Action Plan

The Organization acknowledges the significance of maintaining adequate staffing in the accounting department to prevent overburdening individuals with excessive responsibilities during the year-end closing process. In light of this, we have taken the following corrective action: (1) we have hired additional accounting staff during the fiscal year ending June 30, 2025 and (2) we have designated a high-level accounting manager to closely monitor and oversee the accounting function.

Other Findings in this Audit

1136939 2024-002

Significant Deficiency

Programs in Audit

ALN	Program Name	Expenditures
93.600	Head Start	$42.21M
10.558	Child and Adult Care Food Program	$1.26M