Finding Text
Finding Number 2022-01
Federal programs:
All Major programs
Category:
Internal control / Compliance
Condition:
Data Collection Form and Single Audit reporting package corresponding to year ended June 30, 2021, were not submitted within the established due date. The report was due by September 30, 2022, as extended by OMB Memorandum M-21-20.
A similar finding was reported last year as item 2021-01.
Criteria:
2 CFR section 200.512 (a)(1) establishes that the audit must be completed and the reporting required by paragraph (b) (1) of this section submitted within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Unless restricted by Federal law or regulation, the auditee must make report copies available for public inspection. Auditees and auditors must ensure that their respective parts of the reporting package do not include protected personally identifiable information.
Cause:
Information required to timely complete the financial statements audit was not available.
Effect:
Data Collection Form and Single Audit reporting package were not submitted in a timely manner as required by the Uniform Guidance.
Questioned Costs:
None.
Recommendation:
Data Collection Form and Single Audit reporting package shall be submitted by the established due date.
Management’s Response:
The Authority did not receive in a timely manner the information from the Employee Retirement System of the Commonwealth of Puerto Rico to properly recognize the pension liability, delaying the issuance of the financial statements. The Central Government, throughout the Department of Treasury has established a task force in order to maximize the efforts to timely issue the actuarial valuation report from the Employee Retire System and the Audited Financial Statements of the Commonwealth of Puerto Rico, which will provide to the Authority with the corresponding information in a timely manner. Additionally, the Authority is not exempt of the lack of resources resulting in delays in the process. The Authority expects to issue and submit the 2023 financial statements and single audit reports by June 2024. For subsequent fiscal years the Authority expect to issue its financial statements and single audit reports, within the established due date.