FAC Explorer

Audit 16173

FY End
2022-06-30
Total Expended
$818,346
Findings
2
Programs
1
Organization: Associated Production Services, INC (PA)
Year: 2022 Accepted: 2023-02-13
Auditor: Friedman LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
12123 2022-001 Significant Deficiency - L
588565 2022-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $818,346 Yes 1

Contacts

Name Title Type
Y6JMK84BZ5H9 Deborah Roth Auditee
2153540211 Marie Decicco Auditor
No contacts on file

Notes to SEFA

Accounting Policies: - BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards (the Schedule) presents the activities in thefederal financial assistance programs of Associated Production Services, Inc. for the year ended June 30,2022. All governmental financial assistance received directly from federal agencies as well as financialgovernmental assistance passed through other state and local agencies is included on the Schedule. All of theawards were used to fund payroll and related costs. The information in the Schedule is presented inaccordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Because theSchedule presents only a selected portion of the operations of Associated Production Services, Inc., it is notintended to and does not present the financial position, changes in net assets or cash flows of AssociatedProduction Services, Inc.2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES(1) The accompanying schedule of expenditures of federal awards is presented using the accrual basis ofaccounting. Such expenditures are recognized following the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.(2) Federal assistance expenditures are reported on the statements of activities and changes in net assets asgrants and contributions and included in the total agency expenditures. In certain programs, theexpenditures reported in the basic financial statements may differ from the expenditures reported in theschedule of expenditures of federal awards due to program expenditures exceeding grant or contractbudget limitations that are not included as federal financial assistance.(3) Associated Production Services, Inc. did not elect to use the 10 percent de minimis indirect cost rate asallowed under the Uniform Guidance De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
Finding 2022-001 - Reporting Federal Awards: 93.498 Criteria: Controls should be in place to ensure grant reports are submitted accurately. Condition: The Organization inadvertently claimed unallowable other Provider Relief Fund (?PRF?) expenses for reimbursement on the PRF reporting portal. The Organization should have reported $0 as other PRF expenses and claimed only lost revenues for reimbursement. The Organization?s lost revenues for the grant period exceeded their PRF funding received. Cause: Error was caused due to the PRF program being new and the Organization?s lack of experience with grant reporting. The Organization?s management believed PRF expenses were required to be reported but should have reported $0. Potential Effect: There is no effect on the use of the grant funds in accordance with the grant?s terms and conditions, as the Organization had sufficient lost revenue in the period to support the entire amount of the grant. Recommendations: The Organization should develop formal policies and procedures to review the terms and conditions of new grants and approve the submission of required reports to ensure the accuracy of the reports and avoid potential noncompliance with grant?s terms and conditions.
Finding 2022-001
Finding 2022-001 - Reporting Federal Awards: 93.498 Criteria: Controls should be in place to ensure grant reports are submitted accurately. Condition: The Organization inadvertently claimed unallowable other Provider Relief Fund (?PRF?) expenses for reimbursement on the PRF reporting portal. The Organization should have reported $0 as other PRF expenses and claimed only lost revenues for reimbursement. The Organization?s lost revenues for the grant period exceeded their PRF funding received. Cause: Error was caused due to the PRF program being new and the Organization?s lack of experience with grant reporting. The Organization?s management believed PRF expenses were required to be reported but should have reported $0. Potential Effect: There is no effect on the use of the grant funds in accordance with the grant?s terms and conditions, as the Organization had sufficient lost revenue in the period to support the entire amount of the grant. Recommendations: The Organization should develop formal policies and procedures to review the terms and conditions of new grants and approve the submission of required reports to ensure the accuracy of the reports and avoid potential noncompliance with grant?s terms and conditions.