Finding Text
Finding 2022-002 – Reporting (Significant Deficiency in Internal Control Over Compliance) - (See chart on section III of audit findings page) Criteria – In accordance with the Uniform Guidance (2 CFR Part 200) and applicable federal regulations,
recipients of federal awards are mandated to submit required financial reports within specified deadlines.
Furthermore, recipients are required to maintain adequate documentation that serves as verifiable proof
of submission for all required reports, as outlined in the compliance supplement. In accordance with
Uniform Guidance, the Agency is required to maintain a structure of internal control to ensure compliance
with applicable reporting requirements.
Condition/Context – For the reports selected for testing, the Agency did not retain verifiable
documentation evidencing the timely submission of required financial reports. Additionally, the single
audit was conducted after the established data collection form reporting deadline. Effect – It appears that not all reports were filed timely and the related data collection form is late.
Cause – The primary cause of this finding is attributed to turnover, which resulted in a breakdown of
established processes, oversight and communication protocols related to the timely submission of
required grant compliance reports.
Repeat Finding – This is not a repeat finding.
Recommendation – We recommend that the Agency establish and implement a comprehensive
documentation and tracking system for all required grant compliance reports. This system should include
a checklist of reporting requirements, corresponding deadlines, and a mechanism for retaining verifiable
proof of submission.
Views of Responsible Officials – The responsible officials acknowledge the finding and concur with the
recommendation.