Finding 588948 (2022-001)

-
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-03-29

AI Summary

  • Core Issue: The Organization missed the deadline for submitting the financial statement audit report, which was due December 31, 2022, and submitted it a day late on January 1, 2023.
  • Impacted Requirements: Compliance with the mutually agreed upon Reporting Schedule for the CDFI Cluster program.
  • Recommended Follow-up: Ensure all future reports are submitted on time, especially when due dates fall on non-business days, to avoid noncompliance.

Finding Text

Finding Type: Immaterial noncompliance with major program requirements Title and CFDA Number of Federal Program: 21.020 - CDFI Cluster - U.S. Department of Treasury Finding Resolution Status: Resolved Information on Universe and Population Size: All CDFI reports pursuant to the mutually agreed upon Reporting Schedule, which for fiscal year 2022 totaled 17 reports for all CDFI-FA awards. Sample Size Information: A sample of 3 reports for fiscal year 2022 were selected for testing compliance with reporting pursuant to the mutually agreed upon Reporting Schedule. Identification of Repeat Finding and Finding Reference Number: N/A Criteria: The Organization is required to submit the financial statement audit report by December 31, 2022. Statement of Condition: The Organization failed to submit the financial statement audit report by December 31, 2022. The financial statement audit report was filed January 1, 2023. Cause: The due date of December 31, 2022 was a Saturday. The Organization incorrectly concluded that the due date would therefore fall on the next business day, which would be Monday, January 2, 2023. Effect or Potential Effect: The Organization is noncompliant for the performance period ended June 30, 2022 with no sanctions imposed. The Organization submitted the requested report within the 30 day cure period. Auditor Noncompliance Code: L ? Reporting Reporting Views of Responsible Officials: Management agrees with the noncompliance with no sanctions imposed conclusion as communicated by the CDFI Fund. Context: The Organization incorrectly concluded that the due date would therefore fall on the next business day, which would be Monday, January 2, 2023. Upon learning of noncompliance the Organization submitted the requested report on Sunday, January 1, 2023. Recommendation: All requested reports should be submitted in accordance with the mutually agreed upon Reporting Schedule. Auditor?s Summary of the Auditee?s Comments on the Findings and Recommendations: Management should submit all requested reports in accordance with the mutually agreed upon Reporting Schedule, including prior to the due date if the due date falls on a non-business day. Response Indicator: Agree Completion Date: January 1, 2023 Response: Management acknowledges noncompliance in the current fiscal year and has submitted the requested report within the 30 day cure period.

Categories

Period of Performance Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
59.046 Microloan Program $9.60M
21.020 Community Development Financial Institutions Program $2.15M
93.570 Community Services Block Grant_discretionary Awards $1.14M
10.870 Rural Microentrepreneur Assistance Program $664,122
59.043 Women's Business Ownership Assistance $292,829
59.050 Prime Technical Assistance $204,920
20.019 Coronavirus Relief Fund $25,473
14.218 Community Development Block Grants/entitlement Grants $5,375