FAC Explorer

Audit 21457

FY End
2022-12-31
Total Expended
$2.45M
Findings
2
Programs
2
Organization: Vantage West Credit Union (AZ)
Year: 2022 Accepted: 2023-09-26
Auditor: Doeren Mayhew

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
25487 2022-001 Significant Deficiency - EG
601929 2022-001 Significant Deficiency - EG

Programs

ALN Program Spent Major Findings
21.024 Community Development Financial Institutions Rapid Response Program (cdfi Rrp) $1.83M Yes 1
21.020 Community Development Financial Institutions Program $625,000 - 0

Contacts

Name Title Type
CAPEZNKZFH99 Jon Bruflat Auditee
5209176275 Jeanine Labarbera Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Vantage West Credit Union (the Credit Union) under programs of the federal government for the year ended December 31, 2022. The information in the Schedule is presented in accordance with the requirements of Title 2 U.S. 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 Credit Union, it is not intended to and does not present the income, changes in members equity, or cash flows of the Credit Union. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
Condition: The Credit Union has contracted with a third-party vendor named CU Strategic Planning for CDFI reporting purposes. According to CU Strategic Planning?s reporting, the Credit Union met the total financial products (loans) deployed in the designated target market (TM) requirement as reported on the Annual Performance Report. From our testing, we were also able to support the Credit Union satisfied the requirements. However, during our testing of eligible loans, we found several loans in our sample that did not meet the eligibility requirements. Criteria: Eligible loans meeting an established threshold (performance goal) as outlined in the Grant Assistance Agreement are to be deployed within the TM. Questioned Costs: None Context: Eligible loan deployment as reported in the Annual Performance Reports were unable to be supported on an individual basis outside of CU Strategic Planning?s reporting at this time. Effect: Performance goals as stipulated in the Grant Assistance Agreement may not be met or reported inaccurately. Cause: A deficiency in internal controls to identify and track eligible loans deployed during the RRP grant performance period. Recommendation: Complete established procedures to identify and track eligible loans deployed during the RRP grant performance period and reconcile the totals to the underlying loan data. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and will ensure we are able to identify eligible loans deployed in the TM in the future.
Finding 2022-001
Condition: The Credit Union has contracted with a third-party vendor named CU Strategic Planning for CDFI reporting purposes. According to CU Strategic Planning?s reporting, the Credit Union met the total financial products (loans) deployed in the designated target market (TM) requirement as reported on the Annual Performance Report. From our testing, we were also able to support the Credit Union satisfied the requirements. However, during our testing of eligible loans, we found several loans in our sample that did not meet the eligibility requirements. Criteria: Eligible loans meeting an established threshold (performance goal) as outlined in the Grant Assistance Agreement are to be deployed within the TM. Questioned Costs: None Context: Eligible loan deployment as reported in the Annual Performance Reports were unable to be supported on an individual basis outside of CU Strategic Planning?s reporting at this time. Effect: Performance goals as stipulated in the Grant Assistance Agreement may not be met or reported inaccurately. Cause: A deficiency in internal controls to identify and track eligible loans deployed during the RRP grant performance period. Recommendation: Complete established procedures to identify and track eligible loans deployed during the RRP grant performance period and reconcile the totals to the underlying loan data. Views of Responsible Officials and Planned Corrective Actions: Management agrees with the finding and will ensure we are able to identify eligible loans deployed in the TM in the future.