Finding 579875 (2022-002)

Criteria: In accordance with federal regulations (Uniform Guidance 2 CFR 200), recipients of federal awards are required to submit their single audit within the stipulated timeframe, usually nine months after the end of the fiscal year. Condition: During the 2022 audit, it was identified that the Council failed to submit its single audit report for the fiscal year ended September 30, 2022 within the required timeframe, which is a violation of the Uniform Guidance requirements. Effect: The late submission of the single audit report has resulted in a breach of compliance with federal regulations. This non-compliance has the potential to disallow funding from federal agencies. Cause: The delay in submitting the single audit report was primarily attributed to a change in key personnel. Recommendation: We recommend the Council develop a system of monitoring grant requirements and establish a timeline for meeting deadlines related to reporting in compliance with the Uniform Guidance. Views of responsible official and planned corrective actions: The Council has employed a CPA with extensive knowledge of grant management and accounting to reconcile and monitor grant awards and ensure proper financial reporting. The Council will reconcile grant receivables and ensure accurate grant accounting on an ongoing basis, particularly at fiscal yearend. As a result, the Council will be prepared to complete their single audit in a timely manner and in accordance with federal guidelines.