Type of Finding: ? Material Weakness in Internal Control over Financial Reporting Condition: During the course of our audit, CliftonLarsonAllen LLP prepared the financial statements. Criteria or specific requirement: A well-designed system of internal control should include policies and procedures to provide management with reasonable assurance year-end reporting of financial information and related disclosures is accurate and in according with accounting principles generally accepted in the United States of America. Effect: The lack of staffing with sufficient knowledge indicates the possibility of the omission of necessary footnote disclosures consistent with generally accepted accounting principles. Cause: CliftonLarsonAllen LLP prepared the financial statements. Repeat Finding: This is not a repeat finding. Recommendation: The financial statement preparation process should be part of the internal control system, although the Inner Voice may be financially limited in the hiring of personnel with an up-to-date understanding of accounting preannouncements, proper mitigating factors should be reflected including oversight by management. Views of responsible officials and planned corrective actions: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work.
Type of Finding: ? Significant Deficiency in Internal Control over Financial Reporting Condition: During the course of our audit, misstatements in the accounting records was detected as a result of audit procedures performed. Adjustments were posted by management to correct the misstatements. The corrected misstatements impacted expense, accrued vacation, revenue, accounts receivable and increased the change in net assets by $5,371. Criteria or specific requirement: A well-designed system of internal control should include policies and procedures to provide management with reasonable assurance year-end reporting of financial information and related disclosures is accurate and in according with accounting principles generally accepted in the United States of America. Effect: Inaccurate financial reporting could adversely affect the decision making process for the management of the Inner Voice. Cause: Accounting principles generally accepted in the United States of America were not followed over the accounting of a grant that was unconditional and vacation earned according to the Inner Voice?s vacation policy. Repeat Finding: This is not a repeat finding. Recommendation: We recommend that management review policies and procedures over year-end transactions to ensure that all necessary adjustments are being posted on a timely basis, in the appropriate period, and in accordance with generally accepted accounting principles. Views of responsible officials and planned corrective actions: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work.
Federal Agency: Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: INNV143-1419-537-PD-21; INNV143-1620-537-TP-21; INNV143-1075-537-CM20; INNV143-2290-537-CM-22 Award Period: 10/1/20-9/30/21; 10/1/21-9/30/22; 10/1/20-9/30/23 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Under allowable cost/cost principles, an organization in receipt of federal funding is required to have a system of controls in place to safeguard assets and ensure that only allowable costs are charged to federal programs. 2 CFR Part 200 states that charges to awards for salaries and wages are to be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable and properly allocated. Condition: During the course of our audit, we noted a salaried employee included no salary included with the employment agreement to support their salary. Questioned costs: None. Context: The Inner Voice requires the CEO to have an agreement issued by the board chair that includes the position title, salary, and date of employment. Cause: The signed agreement available included no salary listed. Effect: No salary included in the available employment agreements leads to an unsubstantiated salary paid to an existing employee. Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Inner Voice maintain accurate and current information in all employee personnel files to be in compliance with 2 CFR Part 200. Views of responsible officials: In response to the finding raised that Inner Voice required the CEO to have an agreement issued by the Board Chair that not only includes the position title and date of employment but should also have mentioned salary. Moving forward Inner Voice?s Board Chair should provide a letter to the HR for the appointment and/or pay increase with the effective date which will also include name and salary.
Federal Agency: Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: INNV143-1419-537-PD-21; INNV143-1620-537-TP-21; INNV143-1075-537-CM20; INNV143-2290-537-CM-22 Award Period: 10/1/20-9/30/21; 10/1/21-9/30/22; 10/1/20-9/30/23 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Inner Voice is required to have documented procurement policies and procedures which comply with the compliance requirement UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement to be followed. Condition: The Inner Voice does not have formal policies and procedures over procurement. Questioned costs: None. Context: The Inner Voice does not have formal policies and procedures over procurement to ensure requirements are met and properly documented. Cause: The current policy was not updated to comply with compliance requirement UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement. Effect: Possible payment of federal funds to vendors that did not properly go through the required procurement steps in accordance with Uniform Guidance. Repeat Finding: This is not a repeat finding. Recommendation: The Inner Voice should implement a procurement policy and procedure that includes the selection and documentation of procurement rationale, controls and oversight. This policy should be followed for all procurement transactions and include compliance requirements UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement. Views of responsible officials: Procurement policy is drafted and under discussion before bring this to the Board for a formal approval and its implementation.
Federal Agency: Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: INNV143-1419-537-PD-21; INNV143-1620-537-TP-21; INNV143-1075-537-CM20; INNV143-2290-537-CM-22 Award Period: 10/1/20-9/30/21; 10/1/21-9/30/22; 10/1/20-9/30/23 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Costs incurred federal award programs are to be recorded in the correct award period. Condition: A cost recorded and charged to the grant period was performed after the grant period. Questioned costs: There are no questioned costs. Context: For one of 18 disbursements selected for testing, the disbursement was incurred after the grant period for which the cost was applied. Cause: The Inner Voice was not aware of the need for authorization of the federal awarding agency in these instances. Effect: General disbursements that are not monitored for cut off at the end of an award period will result in the expense recorded in the incorrect award period. Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Inner Voice review its policies and procedures at the conclusion of an award period and obtain authorization from the federal awarding agency for costs incurred after the award period. Views of responsible officials: Inner voice has approached VA Authority on this issue and they have no issue as this cost is immaterial. However, moving forward Inner voice will not allocate cost to the program and grant unless work is completed or approved by the funder in instances where the work cannot be completed during the program year.
Federal Agency: Department of the Treasury Federal Program Name: American Rescue Plan Act Assistance Listing Number: 21.027 Federal Award Identification Number and Year: 2022ARPA-2022 Pass-Through Agency: Illinois Department of Human Services Pass-Through Number: FCSAH06332 Award Period: February 15, 2022 through June 30, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Inner Voice must provide the Schedule of Expenditures of Federal Awards (SEFA). The schedule must be complete and accurate to provide for the basis of testing by the auditors as well as for accurate financial reporting to primary and secondary funders. Condition: During the course of our audit, Inner Voice identified $55,000 in payments originally classified as a nonfederal award until audit inquiries were raised and a confirmation was made with the funder. A change to the SEFA was required to adjust the amounts reflected as federal awards. Questioned costs: None. Context: The initial SEFA provided omitted $55,000 of federal funds passed through the Illinois Department of Human Services. Cause: A lack of review of passed through grant agreement for federal funds identified and no verification performed with funder in preparation of SEFA. Effect: The lack of review of grant agreements for federal funds results in an amount inaccurately omitted on the SEFA. Repeat Finding: This is not a repeat finding. Recommendation: We recommend Inner Voice establish controls to evaluate grant agreements to capture funds identified as federal. Upon preparation of the SEFA, verification with funders should be performed as needed. Views of responsible officials: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work.
Type of Finding: ? Material Weakness in Internal Control over Financial Reporting Condition: During the course of our audit, CliftonLarsonAllen LLP prepared the financial statements. Criteria or specific requirement: A well-designed system of internal control should include policies and procedures to provide management with reasonable assurance year-end reporting of financial information and related disclosures is accurate and in according with accounting principles generally accepted in the United States of America. Effect: The lack of staffing with sufficient knowledge indicates the possibility of the omission of necessary footnote disclosures consistent with generally accepted accounting principles. Cause: CliftonLarsonAllen LLP prepared the financial statements. Repeat Finding: This is not a repeat finding. Recommendation: The financial statement preparation process should be part of the internal control system, although the Inner Voice may be financially limited in the hiring of personnel with an up-to-date understanding of accounting preannouncements, proper mitigating factors should be reflected including oversight by management. Views of responsible officials and planned corrective actions: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work.
Type of Finding: ? Significant Deficiency in Internal Control over Financial Reporting Condition: During the course of our audit, misstatements in the accounting records was detected as a result of audit procedures performed. Adjustments were posted by management to correct the misstatements. The corrected misstatements impacted expense, accrued vacation, revenue, accounts receivable and increased the change in net assets by $5,371. Criteria or specific requirement: A well-designed system of internal control should include policies and procedures to provide management with reasonable assurance year-end reporting of financial information and related disclosures is accurate and in according with accounting principles generally accepted in the United States of America. Effect: Inaccurate financial reporting could adversely affect the decision making process for the management of the Inner Voice. Cause: Accounting principles generally accepted in the United States of America were not followed over the accounting of a grant that was unconditional and vacation earned according to the Inner Voice?s vacation policy. Repeat Finding: This is not a repeat finding. Recommendation: We recommend that management review policies and procedures over year-end transactions to ensure that all necessary adjustments are being posted on a timely basis, in the appropriate period, and in accordance with generally accepted accounting principles. Views of responsible officials and planned corrective actions: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work.
Federal Agency: Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: INNV143-1419-537-PD-21; INNV143-1620-537-TP-21; INNV143-1075-537-CM20; INNV143-2290-537-CM-22 Award Period: 10/1/20-9/30/21; 10/1/21-9/30/22; 10/1/20-9/30/23 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Under allowable cost/cost principles, an organization in receipt of federal funding is required to have a system of controls in place to safeguard assets and ensure that only allowable costs are charged to federal programs. 2 CFR Part 200 states that charges to awards for salaries and wages are to be supported by a system of internal control which provides reasonable assurance that the charges are accurate, allowable and properly allocated. Condition: During the course of our audit, we noted a salaried employee included no salary included with the employment agreement to support their salary. Questioned costs: None. Context: The Inner Voice requires the CEO to have an agreement issued by the board chair that includes the position title, salary, and date of employment. Cause: The signed agreement available included no salary listed. Effect: No salary included in the available employment agreements leads to an unsubstantiated salary paid to an existing employee. Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Inner Voice maintain accurate and current information in all employee personnel files to be in compliance with 2 CFR Part 200. Views of responsible officials: In response to the finding raised that Inner Voice required the CEO to have an agreement issued by the Board Chair that not only includes the position title and date of employment but should also have mentioned salary. Moving forward Inner Voice?s Board Chair should provide a letter to the HR for the appointment and/or pay increase with the effective date which will also include name and salary.
Federal Agency: Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: INNV143-1419-537-PD-21; INNV143-1620-537-TP-21; INNV143-1075-537-CM20; INNV143-2290-537-CM-22 Award Period: 10/1/20-9/30/21; 10/1/21-9/30/22; 10/1/20-9/30/23 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Inner Voice is required to have documented procurement policies and procedures which comply with the compliance requirement UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement to be followed. Condition: The Inner Voice does not have formal policies and procedures over procurement. Questioned costs: None. Context: The Inner Voice does not have formal policies and procedures over procurement to ensure requirements are met and properly documented. Cause: The current policy was not updated to comply with compliance requirement UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement. Effect: Possible payment of federal funds to vendors that did not properly go through the required procurement steps in accordance with Uniform Guidance. Repeat Finding: This is not a repeat finding. Recommendation: The Inner Voice should implement a procurement policy and procedure that includes the selection and documentation of procurement rationale, controls and oversight. This policy should be followed for all procurement transactions and include compliance requirements UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement. Views of responsible officials: Procurement policy is drafted and under discussion before bring this to the Board for a formal approval and its implementation.
Federal Agency: Department of Veterans Affairs Federal Program Name: VA Homeless Providers Grant and Per Diem Program Assistance Listing Number: 64.024 Federal Award Identification Number and Year: INNV143-1419-537-PD-21; INNV143-1620-537-TP-21; INNV143-1075-537-CM20; INNV143-2290-537-CM-22 Award Period: 10/1/20-9/30/21; 10/1/21-9/30/22; 10/1/20-9/30/23 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Costs incurred federal award programs are to be recorded in the correct award period. Condition: A cost recorded and charged to the grant period was performed after the grant period. Questioned costs: There are no questioned costs. Context: For one of 18 disbursements selected for testing, the disbursement was incurred after the grant period for which the cost was applied. Cause: The Inner Voice was not aware of the need for authorization of the federal awarding agency in these instances. Effect: General disbursements that are not monitored for cut off at the end of an award period will result in the expense recorded in the incorrect award period. Repeat Finding: This is not a repeat finding. Recommendation: We recommend the Inner Voice review its policies and procedures at the conclusion of an award period and obtain authorization from the federal awarding agency for costs incurred after the award period. Views of responsible officials: Inner voice has approached VA Authority on this issue and they have no issue as this cost is immaterial. However, moving forward Inner voice will not allocate cost to the program and grant unless work is completed or approved by the funder in instances where the work cannot be completed during the program year.
Federal Agency: Department of the Treasury Federal Program Name: American Rescue Plan Act Assistance Listing Number: 21.027 Federal Award Identification Number and Year: 2022ARPA-2022 Pass-Through Agency: Illinois Department of Human Services Pass-Through Number: FCSAH06332 Award Period: February 15, 2022 through June 30, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Inner Voice must provide the Schedule of Expenditures of Federal Awards (SEFA). The schedule must be complete and accurate to provide for the basis of testing by the auditors as well as for accurate financial reporting to primary and secondary funders. Condition: During the course of our audit, Inner Voice identified $55,000 in payments originally classified as a nonfederal award until audit inquiries were raised and a confirmation was made with the funder. A change to the SEFA was required to adjust the amounts reflected as federal awards. Questioned costs: None. Context: The initial SEFA provided omitted $55,000 of federal funds passed through the Illinois Department of Human Services. Cause: A lack of review of passed through grant agreement for federal funds identified and no verification performed with funder in preparation of SEFA. Effect: The lack of review of grant agreements for federal funds results in an amount inaccurately omitted on the SEFA. Repeat Finding: This is not a repeat finding. Recommendation: We recommend Inner Voice establish controls to evaluate grant agreements to capture funds identified as federal. Upon preparation of the SEFA, verification with funders should be performed as needed. Views of responsible officials: We are in the process of discussing with the Board for hiring of a finance person to prepare the reports so that CFO can review and approve his/her work.