L.A.\u2019s main homeless services agency is at risk of blowing a federal deadline to turn in a required audit of its financial records after executives were far behind schedule in providing necessary documents, according to the lead outside auditor.<\/p>\n
The federally-required review \u2014 known as a single audit \u2014 is one of the most important oversight checks of the L.A. Homeless Services Authority. Every year, LAHSA must hire an outside firm to determine whether the agency is accurately tracking and reporting what happens with taxpayer funds it manages. Turning it in late, or having significant negative findings, can jeopardize an organization\u2019s federal funding.<\/p>\n
The audit of LAHSA\u2019s last fiscal year is due March 31, nine months after the fiscal year ended.<\/p>\n
While government clients on that fiscal calendar would typically turn over their records to auditors by last December, LAHSA staff had failed to do so until March, lead auditor Justin Measley told LAHSA\u2019s audit committee last Wednesday.<\/p>\n
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He said the timeline for reviewing the documents was now unusually compressed, and that the firm was doing everything it can to try to meet the deadline.<\/p>\n
\u201cIt is possible that [LAHSA\u2019s audit] will not meet the March 31st deadline,\u201d Measley told the audit committee. \u201c\u200aIt’s been a few years of this sort of delay with LAHSA.”<\/p>\n
On Friday, however, LAHSA executives said the audit is on track to meet the March 31 deadline.<\/p>\n
\u201cWe have submitted all required documentation\u201d to the auditors and \u201cthe field work has been completed,\u201d Janine Lim, LAHSA\u2019s deputy CFO, told the commission\u2019s finance committee. \u201cAt this time, we do not anticipate any issues with meeting that timeline or allowing sufficient time for review.”<\/p>\n
Lim has been stepping into her boss\u2019 role as the top finance official for the last several weeks, while CFO Janine Trejo has been on an extended leave. The reasons for her leave have not been made public, nor has the timing of how long she\u2019s been out.<\/p>\n
Even after Lim\u2019s presentation, LAHSA Commissioner Amy Perkins said she doubts the audit will be done by the deadline.<\/p>\n
\u201cBased on everything I know and have seen, this is very unlikely,\u201d she said in a statement Friday.<\/p>\n
In response to a request to LAHSA CEO Gita O\u2019Neill for comment, LAHSA spokesperson provided a statement<\/a> Thursday that the audit is \u201con track\u201d to meet the deadline.<\/p>\n