Habitat for Humanity Central Arizona

Type of Finding – Significant Deficiency in Internal Control Over Compliance Condition/Context – Internal control procedures over reporting requirements did not ensure compliance with federal awards. The reports prepared by the Director of Grant Compliance and Procurement are not reviewed and approved before being submitted. Criteria – In accordance with Uniform Guidance, 2 CFR 200.328(i) requires that an entity implements control over the performance and financial reporting. 2 CFR 200.303(a) requires an entity to establish and maintain effective internal control over the Federal awards that provides reasonable assurance that the entity is managing the award in compliance with Federal statutes. Cause – Clerical oversight. Effect – Noncompliance with the Compliance Supplement and Uniform Guidance. Repeat Finding – No Questioned Costs – None Recommendation – The Organization implements a review and approval process over the performance and financial reports. View of Responsible Officials - There is no disagreement with the audit findings.

Type of Finding – Significant Deficiency in Internal Control Over Compliance Condition/Context – Internal Control procedures over reporting requirements did not ensure compliance with federal awards. The reports prepared by the Director of Grant Compliance and Procurement are not reviewed and approved before being submitted. Corrective Action Plan – Management has reviewed and revised procedures to review and approve all reports prepared in connection with federal awards prior to being submitted. Anticipated Completion Date and Person Responsible – As of December 1, 2023, all reports will be reviewed and approved prior to submission and all reports submitted prior to November 30, 2023, have been reviewed to detect if there were any material errors or adjustments needed.