SENATE OF THE COMMONWEALTH OF PUERTO RICOLocal Government

Condition: The audit, data collection form, and reporting package, as defined and required in 2 CRF 200.512 for fiscal year ended June 30, 2022, was not submitted timely. Context: Despite the Senate’s best efforts to provide, on a timely basis, the information needed to complete the audit, data collection form and reporting package according to 2 CRF 200.512, the audit, data collection form and reporting package for the fiscal year ended June 30, 2022 was submitted to the Federal Audit Clearinghouse on June 20, 2023. Views of Responsible officials and corrective actions: For the fiscal year ended June 30, 2022, the Senate of Puerto Rico was able to complete and issue the Single Audit report. The delay in the issuance of the 2022 Single Audit was mostly due to classification of expenditures in our accounting system that required some adjustments and later submission of the Employees Retirement System information. For the Single Audit of June 30, 2023, we contracted the services for the Single Audit on time and a coordination was made with the accounting staff for the submission of the information required by the auditors. We plan to complete the auditing procedures and expect to comply with the submission of or before March 31, 2024. Criteria: As per 2 CRF 200.512, the audit, data collection form, and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report, or nine months after the end of the audit period. Cause: The Senate was not able to provide on a timely basis, the information needed to complete the audit for the year ended on June 30, 2022. This situation prevented the submission of the data collection form and reporting package by the due date of March 31, 2023. Effect: Because of the situation described above, the Senate did not comply with the report submission requirement, since the audit was not submitted within nine months after their fiscal period end date. Auditor’s recommendation: Management should continue to fulfill their auditee responsibilities as stated in 2 CRF 200.508 which among other things, require management to prepare appropriate financial statements and provide the auditor with access to personnel, accounts, books, records, supporting documentation, and other information as needed for the auditor to perform the audit and to ensure that subsequent financial reporting packages are submitted timely.