Finding 627037 (2022-002)

Finding 2022-002: Reporting ? Compliance Finding and Significant Deficiency in Internal Control Over Compliance Agency U.S. Department of Treasury pass-through from District of Columbia ALN 21.027 Federal Award Identification Number 2022-DASH-03 Condition The Organization submitted certain financial and performance reports late. The Organization was also unable to provide documentation of review and approval of performance reports by someone other than the report preparer. Context One of the four financial reports tested was submitted late. One of the two performance reports was submitted late and neither of the performance reports had documented evidence of review and approval. Criteria The Organization is required to adhere to reporting deadlines. Reports submitted to the federal government should be reviewed and approved. Cause The Organization was aware of the reporting requirements. Financial reports were delayed due to vacancies and turnover within the Finance department. Performance reports were delayed due to reported workload and resourcing. Effect This resulted in financial and performance reports submitted late and performance reports submitted without documented approvals. Questioned Cost None. Recommendations to Prevent Future Occurrences of the Deficiency Identified in the Audit Finding We recommend management review policies and procedures over reporting to ensure a review and approval process that allows for timely submission and documented approval of performance reports.