Finding 972642 (2023-001)

Material Weakness
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-05-09
Audit: 305837
Organization: Washington Maritime Blue (WA)

AI Summary

  • Core Issue: The Organization missed the deadline to submit its audit report to the Federal Audit Clearinghouse by March 31, 2024.
  • Impacted Requirements: This failure means non-compliance with the single audit submission deadline as outlined in 2 CFR 200.
  • Recommended Follow-Up: The Organization should establish a process to secure an auditor well before or immediately after year-end to ensure timely completion of future audits.

Finding Text

Criteria: The Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards 2 CFR 200 (Uniform Guidance), requires auditees to submit their audit report to the Federal Audit Clearinghouse within the earlier of 30 days of the audit report date or within nine months of the auditee’s year end. Condition: The Organization did not submit its audit report to the Federal Audit Clearinghouse by the March 31, 2024 deadline. Effect: The Organization did not comply with the single audit submission deadline. Cause: The June 30, 2023 year end was the first year in which the Organization received federal awards exceeding the threshold requiring a single audit and the first year in which a financial audit was conducted. The search for and engagement of an auditor to conduct the required audits took a considerable amount of time, which resulted in a late start to the audit process. Despite significant effort, there was not enough time to properly conduct, complete, and submit the single audit. Recommendation: The Organization should implement processes to ensure that the annual audits are completed timely by identifying and engaging an auditor either prior to or shortly after year end to allow for the conduct and completion of the audit in the allowed time.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 396200 2023-001
    Material Weakness
  • 396201 2023-002
    Material Weakness
  • 396202 2023-001
    Material Weakness
  • 396203 2023-002
    Material Weakness
  • 972643 2023-002
    Material Weakness
  • 972644 2023-001
    Material Weakness
  • 972645 2023-002
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $200,000
11.020 Cluster Grants $168,212
66.456 National Estuary Program $98,572
17.259 Wia Youth Activities $87,153
11.454 Unallied Management Projects $49,968
11.307 Economic Adjustment Assistance $25,000
93.262 Occupational Safety and Health Program $11,781