FAC Explorer

Audit 18603

FY End
2022-06-30
Total Expended
$9.71M
Findings
2
Programs
17
Organization: District 7 Human Resources Development Council (MT)
Year: 2022 Accepted: 2023-01-02
Auditor: Carver Florek & James Cpa's

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
20079 2022-001 Significant Deficiency - B
596521 2022-001 Significant Deficiency - B

Programs

ALN Program Spent Major Findings
93.575 Child Care and Development Block Grant $2.22M - 0
93.568 Low-Income Home Energy Assistance $2.10M - 0
93.558 Temporary Assistance for Needy Families $1.62M Yes 1
14.231 Emergency Solutions Grant Program $813,671 - 0
93.569 Community Services Block Grant $763,011 - 0
10.558 Child and Adult Care Food Program $350,665 Yes 0
17.259 Wia Youth Activities $291,872 - 0
81.042 Weatherization Assistance for Low-Income Persons $280,511 - 0
14.241 Housing Opportunities for Persons with Aids $269,009 - 0
93.550 Transitional Living for Homeless Youth $234,966 - 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $125,773 - 0
21.023 Emergency Rental Assistance Program $106,223 - 0
10.567 Food Distribution Program on Indian Reservations $99,030 - 0
14.276 Youth Homelessness Demonstration Program $92,194 - 0
93.499 Low Income Household Water Assistance Program $60,544 - 0
14.169 Housing Counseling Assistance Program $58,809 - 0
97.024 Emergency Food and Shelter National Board Program $4,529 - 0

Contacts

Name Title Type
CXR3JHWLM587 Denise Jordan Auditee
4062474710 Angel Sharp Auditor
No contacts on file

Notes to SEFA

Accounting Policies: NOTE 1. BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards includes the federal award activity of the District under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position, changes in net assets, or cash flows of District 7. NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
2022 ? 001 INSURANCE COVERAGE - ALLOWABLE COSTS PRINCIPLES Criteria: 2 CFR ? 200.447 explains that costs which should have been covered by permissible insurance are unallowable. Condition: During our testing of the TANF program we found the District incurred a cost in the amount of $7,905 for hail damage that would have been covered by insurance if the damage had been reported to the insurance company in a timely manner. Cause: The District did not have a process in place to inspect vehicles on a regular basis nor were they aware that these costs were not allowable under the grant. Effect: Reimbursement for an unallowable cost under the grant was received. Questioned Cost: Less than $25,000, actual known cost of $7,905. Recommendation: We recommend that management develop a process to inspect vehicles on a regular basis. Furthermore, management should continue striving to more clearly understand federal cost principles.
Finding 2022-001
2022 ? 001 INSURANCE COVERAGE - ALLOWABLE COSTS PRINCIPLES Criteria: 2 CFR ? 200.447 explains that costs which should have been covered by permissible insurance are unallowable. Condition: During our testing of the TANF program we found the District incurred a cost in the amount of $7,905 for hail damage that would have been covered by insurance if the damage had been reported to the insurance company in a timely manner. Cause: The District did not have a process in place to inspect vehicles on a regular basis nor were they aware that these costs were not allowable under the grant. Effect: Reimbursement for an unallowable cost under the grant was received. Questioned Cost: Less than $25,000, actual known cost of $7,905. Recommendation: We recommend that management develop a process to inspect vehicles on a regular basis. Furthermore, management should continue striving to more clearly understand federal cost principles.