Finding Text
Completing Single Audit Within Nine Months of Year End Condition: We noted that the Organization did not track its federal awards to ensure that an audit completion would be completed within nine months of the fiscal year end. Criteria: In accordance with accounting principles generally accepted in the United States of America and Uniform Guidance, organizations are to complete an audit with nine months of fiscal year end when it expends $750,00 in federal expenditures. Cause: Management did not track its federal awards on a schedule to ensure that an audit could be completed within nine months of fiscal year end. Effect: Without management tracking its federal expenditures, it is possible that future periods could go unidentified as well. Recommendation: We recommend that the Organization require formal tracking of federal expenditures to ensure that they can close their books and be able to meet the filing timeline of no later than nine months after year end when expending $750,000 or more in federal funding.