INDIANA SYMPHONY SOCIETY, INC.

Criteria: The single audit reporting package is due to the Federal Audit Clearinghouse within nine months after year end. Condition: The single audit reporting package was not submitted within this timeframe. Questioned costs: - $0 - Context: Single audit requirements direct the grant recipient to comply with the filing requisites. Cause: Due to delays in completing the single audit, the reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe. Effect: The single audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe which resulted in an instance of noncompliance. Recommendation: Auditor recommends the Society file the single audit reporting packet with the Federal Audit Clearinghouse.

Management understands the due date requirement for single audit reporting package submission to the Federal Audit Clearinghouse. The delay in completing the single audit, and thus the filing of the single audit reporting package to the Federal Audit Clearinghouse, was due to severe turnover during the pandemic and it being the first time that the Society was subject to a single audit. The Society has filled all open positions that are involved with the single audit and is familiar with the single audit process after going through it the first time. Therefore, management does not foresee any further issues related to this finding and will file the single audit reporting package as soon as possible.

Criteria: The Society is responsible for the preparation of the schedule of expenditures of federal awards (SEFA). Controls should be in place to ensure complete and accurate reporting of information. Condition: Material adjustments were made to the SEFA, which were identified through audit procedures. Questioned costs: - $0 - Context: Under audit, total expenditures reported in the SEFA were decreased by $3,538,317. The adjustments were made to remove expenditures that were not Federally funded. Additionally, details were corrected within the SEFA related to federal agency names, pass through agency designations, federal program titles and Catalog of Federal Domestic Assistance numbers. Cause: Controls surrounding the preparation of SEFA were insufficient to complete an accurate reporting of Federal expenditures. Effect: The unaudited SEFA prepared by the Society was not materially correct. Recommendations: We recommend the procedures surrounding the preparation of the SEFA be enhanced to include steps for identifying expenditures made from Federal grants, determination of contractor vs. subrecipient status for each funding source, and inclusion of all relevant information required about each funding source for disclosure in the SEFA. A final review of the SEFA should be performed to ensure it is complete and accurate.

The insufficient controls in place surrounding the preparation of SEFA were due to severe turnover during the pandemic and it being the first time that the Society was required to complete a SEFA. The Society has filled all open positions that are involved with the preparation of the SEFA and is now familiar with the preparation requirements after going through it the first time. Management will implement and document improved controls to ensure that future SEFAs are complete and accurate.