FAC Explorer

Audit 12064

FY End
2022-12-31
Total Expended
$1.34M
Findings
4
Programs
2
Organization: Newburg Retirement Center, Inc. (CA)
Year: 2022 Accepted: 2024-01-17
Auditor: Anderson Lucas Somerville & Borges LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
8783 2022-001 Significant Deficiency Yes P
8784 2022-002 Significant Deficiency Yes P
585225 2022-001 Significant Deficiency Yes P
585226 2022-002 Significant Deficiency Yes P

Programs

ALN Program Spent Major Findings
14.157 Supportive Housing for the Elderly $1.11M Yes 1
14.195 Section 8 Housing Assistance Payments Program $236,178 - 1

Contacts

Name Title Type
MFB7LBUPAVN3 Michael Woyak Auditee
7077255923 Keith Borges Auditor
No contacts on file

Notes to SEFA

Accounting Policies: Newburg Retirement Center, Inc (NRC) prepares its financial statements in accordance with generally accepted accounting principles (GAAP). NRC follows non-profit standards for exempt organizations. NRC uses the accrual method of accounting. In preparing the SEFA report, auditor performed the audit under 2 CFR Section 200 – Uniform Guidance using the 2022 Compliance Supplement for federal awards. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimums cost rate.

Finding Details

Finding 2022-001
Lack of Client Expertise in Financial Accounting and Reporting. The organization does not have the ability, either internally or through the use of a qualified outside party, to independently prepare and review the financial statements and the related footnote disclosures. As such, there are no controls to prevent and detect misstatements in this area. These types of items are typical of small entities, where the accounting staff is not large enough to establish sophisticated accounting controls. Newburg Retirement Center, Inc’s internal accounting control is very informal. This can lead to situations where inconsistencies and errors are not detected as part of the regular accounting processes, and require increased work at year-end in the form of additional audit adjusting journal entries.
Finding 2022-002
Lack of Client Expertise in Financial Accounting and Reporting. The organization does not have the ability, either internally or through the use of a qualified outside party, to independently prepare and review the financial statements and the related footnote disclosures. As such, there are no controls to prevent and detect misstatements in this area. These types of items are typical of small entities, where the accounting staff is not large enough to establish sophisticated accounting controls. Newburg Retirement Center, Inc’s internal accounting control is very informal. This can lead to situations where inconsistencies and errors are not detected as part of the regular accounting processes, and require increased work at year-end in the form of additional audit adjusting journal entries.
Finding 2022-001
Lack of Client Expertise in Financial Accounting and Reporting. The organization does not have the ability, either internally or through the use of a qualified outside party, to independently prepare and review the financial statements and the related footnote disclosures. As such, there are no controls to prevent and detect misstatements in this area. These types of items are typical of small entities, where the accounting staff is not large enough to establish sophisticated accounting controls. Newburg Retirement Center, Inc’s internal accounting control is very informal. This can lead to situations where inconsistencies and errors are not detected as part of the regular accounting processes, and require increased work at year-end in the form of additional audit adjusting journal entries.
Finding 2022-002
Lack of Client Expertise in Financial Accounting and Reporting. The organization does not have the ability, either internally or through the use of a qualified outside party, to independently prepare and review the financial statements and the related footnote disclosures. As such, there are no controls to prevent and detect misstatements in this area. These types of items are typical of small entities, where the accounting staff is not large enough to establish sophisticated accounting controls. Newburg Retirement Center, Inc’s internal accounting control is very informal. This can lead to situations where inconsistencies and errors are not detected as part of the regular accounting processes, and require increased work at year-end in the form of additional audit adjusting journal entries.