Finding 969596 (2022-003)

Finding 2022-003 Type of Finding: Noncompliance and Significant Deficiency in Internal Control over Compliance - Reporting. Criteria: The Organization is required to complete financial and other reports on specified dates according to the grant agreement with the funder. Condition: The Organization did not file the required reports timely. Additionally, one of the reports in several instances did not agree to supporting documentation from the accounting system. Context and Cause: The Organization experienced turnover in key personnel responsible for preparing and filing federal reports. The reports were eventually filed late, but supporting documentation from the accounting system was not maintained in a fixed format in a centralized location, and could not be recreated after the fact. Questioned Costs: None. Effect: Reporting compliance requirements were not performed adequately. Recommendation: We recommend management implement procedures to ensure the Uniform Grant Guidance and the Compliance Supplement requirements for Reporting are performed on a timely basis, and fixed format backup documentation maintained in a centralized location. Views of responsible official: Management concurs with the audit findings.