K9S FOR WARRIORS, INC.Non-Profit

Finding Number 2021-001 - Reporting Federal Program: Uniformed Services University Medical Research Projects; Assistance Listing No. 12.750 Criteria: The Code of Federal Regulations Section 200.328 states that an organization must monitor its activities to ensure compliance with applicable Federal reporting requirements. SF-425 is required on a semi-annual and annual basis and the Organization is required to maintain adequate internal controls over reporting requirements. Condition: The Organization was not able to provide documentation to support the timely filing of the Interim SF-425 report for the period ending December 31, 2020. Cause: The change in personnel responsibilities and staff turnover coupled with lack of formal procedures resulted in compliance failure and a significant deficiency with the reporting requirement. Questioned Costs: None Context: During our testing, we identified 1 of the 4 samples selected was not in compliance. The Organization was required to prepare and submit the reports noted above. However, whether or not the reports were prepared or submitted, they could not be provided to the auditor. Effect or Potential Effect: We were unable to confirm that the required report was submitted timely. Recommendation: We recommend the Organization implement controls to ensure appropriate staff are educated with program requirements, reports are filed timely, and documents are retained. Views of Responsible Officials: On May 19, 2022, Zach Rossley, CFO, communicated that the organization agrees with the recommendation. During 2021, the organization replaced the grants manager and implemented more formal process for grant reporting and management. The organization has also gone back and filed the SF-425.