Finding Text
Aging Cluster ? Assistance Listing #94.044, #93.045, #93.053 #2022-001 ? Significant Deficiency in Internal Controls over Reporting, and Compliance Finding: Grant and Contract Management; Reporting This is a repeat of prior year finding 2021-001 Conditions/Cause ? The Agency has a documented system in place to track the numerous reporting requirements and deadlines. However, the system was not followed. As a result, the Agency was late in filing required reports. The third of the quarterly CARES Act Financial Status Reports for the Aging Cluster was submitted late. The report was due on July 15, 2022 and was submitted August 3, 2022. Criteria ? Reports are required to be filed by the deadlines provided in the grant agreements. Controls surrounding reporting responsibilities should follow written policies that establish procedures for periodic monitoring, verification and timely reporting. A tracking system should be in place to promote compliance with reporting deadlines. Context/Effect ? The CARES FFCRA report for the period ended June 30, 2022, was submitted on August 3, 2022. The report is due 15 days after the period end. The funding agency reached out to management after the due date to inquire of the status. No extension was requested until after the due date. Recommendations: ? We recommend the Agency utilizes its documented tracking system for reports according to the deadlines provided by the funding entity. In the event an extension is necessary, that extension should be requested prior to the due date and should be documented. SCHEDULE OF FINDINGS AND QUESTIONED COSTS (CONTINUED) Year Ended September 30, 2022 Views of Responsible Officials and Planned Corrective Actions Management concurs with the observations of the auditors. Reports are to be reviewed and submitted prior to each deadline. The Agency has a tracking system to support compliance with reporting deadlines.