DATE: March 4, 2021
SUBJECT: Approval of Fiscal Year 2020 Audit
FROM: FINANCE AND ADMINISTRATION
ACTION ITEM: YES
BACKGROUND: The University is currently awaiting the FY2020 audit of the KSU Foundation to issue the FY2020 audit.
The Foundation’s audit is about 50% complete. The Foundation auditor has states that it is considering withdrawing from the engagement because it has been unable to secure the records necessary to complete the audit.
The University has consulted with its external auditor who has indicated that if the University is unable to get the Foundation’s completed audit soon, the University will be unable to meet the June 1, 2021 deadline to complete the A-133, a government reporting requirement. This has been a continuing problem as shown in the table below.
| Fiscal Year | FOUNDATION AUDIT | UNIVERISTY AUDIT | Due to the Commonwealth | Timely Submission |
|---|---|---|---|---|
| 6/30/2012 | 10/5/2012 | 11/1/2012 | 11/5/2012 | Yes |
| 6/30/2013 | 12/2/2013 | 12/17/2013 | 11/4/2013 | No |
| 6/30/2014 | 10/2/2014 | 10/16/2014 | 11/3/2014 | Yes |
| 6/30/2015 | 11/20/2015 | 12/4/2015 | 11/4/2015 | No |
| 6/30/2016 | 12/29/2016 | 1/11/2017 | 11/3/2016 | No |
| 6/30/2017 | 2/9/2018 | 6/22/2018 | 11/6/2017 | No |
| 6/30/2018 | 9/24/2018 | 10/2/2018 | 11/2/2018 | Yes |
| 6/30/2019 | 10/17/2019 | 11/1/2019 | 11/4/2019 | Yes |
| 6/30/2020 | Pending | 12/5/2020 (Short form draft) | 12/7/2020 | No |
Should the University not meet this reporting requirement, the University risks being placed on HCM2.