Audit 24945

FY End
2022-06-30
Total Expended
$1.14M
Findings
8
Programs
10
Year: 2022 Accepted: 2023-01-11
Auditor: Wipfli LLP

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
22319 2022-001 Significant Deficiency Yes P
22320 2022-002 Significant Deficiency - P
22321 2022-003 Significant Deficiency Yes B
22322 2022-004 Significant Deficiency - B
598761 2022-001 Significant Deficiency Yes P
598762 2022-002 Significant Deficiency - P
598763 2022-003 Significant Deficiency Yes B
598764 2022-004 Significant Deficiency - B

Contacts

Name Title Type
QBL1NLSB4U51 Kathy Beebe Auditee
6034364107 Sheila McNeil Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying Schedule of Federal Awards presents the federal grant expenditures of HAVEN. The information in this schedule is presented in accordance with the compliance requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the basic financial statements. Expenditures reported are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, Cost Principles for Non-profit Organizations, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Financial Statement Finding 2022-001 Repeat Audit Finding: Audit Finding #2021-001 Criteria ? Management is responsible for establishing and maintaining internal controls and for the fair presentation of the financial statements including the related disclosures, in conformity with generally accepted accounting principles. Condition ? HAVEN does not have an internal control policy in place over annual financial reporting that would enable management to prepare its annual financial statements and ensure related footnote disclosures are complete and presented in accordance with generally accepted accounting principles. Cause ? HAVEN relies on the audit firm to prepare the annual financial statements and related footnote disclosures. However, they have reviewed and approved the annual financial statements and the related footnote disclosures. Effects or Potential Effects ? The completeness of the financial statement disclosures and the accuracy of the overall financial presentation is negatively impacted as external auditors do not have the same comprehensive understanding of HAVEN as its internal staff. Auditor?s Recommendation ? Management should continue to review and approve the annual financial statements and the related footnote disclosures. View of Responsible Officials ? HAVEN agrees with the finding and will investigate if this can be addressed internally by the new Finance Director.
Financial Statement Finding 2022-002 Criteria ? Employee records were not consistently maintained, or records were not filed appropriately. Condition ? Four approved wage rate forms could not be located. Our testing included 40 payroll selections and for four of the 40 selections an approved wage rate form for the selected time period could not be located by the Office Manager. The sample was not intended to be, and was not, a statistically valid sample. Cause ? Ineffective design of internal control. Effects or Potential Effects ? Wage rates could not be confirmed to documentation approved by the Executive Director and the employee. Auditor?s Recommendation ? We recommend that wage rate forms be properly approved by the Executive Director and the employee and maintained in the employee's file. View of responsible officials ? HAVEN agrees with the finding and the Office Manager will review and ensure all employee files are complete.
Federal Award Finding 2022-003 US Department of Justice Crime Victims Assistance AL No. 16.575 Pass-Through Grantor New Hampshire Coalition Against Domestic and Sexual Violence Repeat Audit Finding: Audit Finding #2021-002 Questioned costs ? $0 Criteria ? HAVEN utilizes QuickBooks to track expenditures applied to the grants. The control in place is designed to ensure that the Executive Director can see the expenditures applied to the award and request reimbursement for only those expenditures deemed qualified. Additionally, this control assists in ensuring an expenditure is not charged to more than one grant. Condition ? In four instances it was noted that the QuickBooks report did not agree to the reimbursement request for the grant. Our testing included obtaining the Profit and Loss by Customer from QuickBooks and comparing it to the Schedule of Expenditures of Federal Awards. The total expenditures for four grants did not agree to the Schedule of Expenditures of Federal Awards. The additional charges made to the Federal awards were in compliance so there are no questioned costs but the coding in QuickBooks did not agree. The sample was not intended to be, and was not, a statistically valid sample. Cause ? Human error in coding the expenditures and not adjusting QuickBooks for reclassifications. Effects or Potential Effects ? Expenses could be billed to the wrong grant, double billed or unallowable under the grant. Auditor?s Recommendation ? We recommend that a report is run from QuickBooks to support the grant reimbursement request and that the report is reviewed by the Executive Director for agreement. QuickBooks should be updated if changes are made. To ensure changes are being properly reflected, a report for the year-to-date period should be generated to ensure the figures agree to the reimbursement requests to date. View of Responsible Officials ? HAVEN agrees with the finding and the new Finance Director is performing the proper reconciliations now.
Federal Award Finding 2022-004 US Department of Justice Crime Victims Assistance AL No. 16.575 Pass-Through Grantor New Hampshire Coalition Against Domestic and Sexual Violence Questioned costs ? $0 Criteria ? The time sheets are developed based on a preliminary understanding of the grant budgets and not updated. The time sheets combined with the job description provide support for the allocation of time to the grants, but it is not clear and concise. Condition ? Time sheets are detailed out by program but not by grant thus it is not straightforward to ensure that the amounts charged to the grant were allowable. Our testing included obtaining 40 time sheets and agreeing the time allocated to the grants per the approved timesheets. In 13 instances the amount charged to the grant did not agree to the time sheet. The time allocated to the grants was researched and concluded as allowable thus there are no questioned costs. The sample was not intended to be, and was not, a statistically valid sample. Cause ? Ineffective time sheet design Effects or Potential Effects ? Determining whether a charge of payroll is allowable under the grant is difficult. Auditor?s Recommendation ? We recommend that time sheets support the time allocated to the grant and that a second review be performed and documented for allowable charges to the grants. View of Responsible Officials ? HAVEN agrees with the finding and the Office Manager will review all time sheets and document any required changes to support the payroll charged to the grants.
Financial Statement Finding 2022-001 Repeat Audit Finding: Audit Finding #2021-001 Criteria ? Management is responsible for establishing and maintaining internal controls and for the fair presentation of the financial statements including the related disclosures, in conformity with generally accepted accounting principles. Condition ? HAVEN does not have an internal control policy in place over annual financial reporting that would enable management to prepare its annual financial statements and ensure related footnote disclosures are complete and presented in accordance with generally accepted accounting principles. Cause ? HAVEN relies on the audit firm to prepare the annual financial statements and related footnote disclosures. However, they have reviewed and approved the annual financial statements and the related footnote disclosures. Effects or Potential Effects ? The completeness of the financial statement disclosures and the accuracy of the overall financial presentation is negatively impacted as external auditors do not have the same comprehensive understanding of HAVEN as its internal staff. Auditor?s Recommendation ? Management should continue to review and approve the annual financial statements and the related footnote disclosures. View of Responsible Officials ? HAVEN agrees with the finding and will investigate if this can be addressed internally by the new Finance Director.
Financial Statement Finding 2022-002 Criteria ? Employee records were not consistently maintained, or records were not filed appropriately. Condition ? Four approved wage rate forms could not be located. Our testing included 40 payroll selections and for four of the 40 selections an approved wage rate form for the selected time period could not be located by the Office Manager. The sample was not intended to be, and was not, a statistically valid sample. Cause ? Ineffective design of internal control. Effects or Potential Effects ? Wage rates could not be confirmed to documentation approved by the Executive Director and the employee. Auditor?s Recommendation ? We recommend that wage rate forms be properly approved by the Executive Director and the employee and maintained in the employee's file. View of responsible officials ? HAVEN agrees with the finding and the Office Manager will review and ensure all employee files are complete.
Federal Award Finding 2022-003 US Department of Justice Crime Victims Assistance AL No. 16.575 Pass-Through Grantor New Hampshire Coalition Against Domestic and Sexual Violence Repeat Audit Finding: Audit Finding #2021-002 Questioned costs ? $0 Criteria ? HAVEN utilizes QuickBooks to track expenditures applied to the grants. The control in place is designed to ensure that the Executive Director can see the expenditures applied to the award and request reimbursement for only those expenditures deemed qualified. Additionally, this control assists in ensuring an expenditure is not charged to more than one grant. Condition ? In four instances it was noted that the QuickBooks report did not agree to the reimbursement request for the grant. Our testing included obtaining the Profit and Loss by Customer from QuickBooks and comparing it to the Schedule of Expenditures of Federal Awards. The total expenditures for four grants did not agree to the Schedule of Expenditures of Federal Awards. The additional charges made to the Federal awards were in compliance so there are no questioned costs but the coding in QuickBooks did not agree. The sample was not intended to be, and was not, a statistically valid sample. Cause ? Human error in coding the expenditures and not adjusting QuickBooks for reclassifications. Effects or Potential Effects ? Expenses could be billed to the wrong grant, double billed or unallowable under the grant. Auditor?s Recommendation ? We recommend that a report is run from QuickBooks to support the grant reimbursement request and that the report is reviewed by the Executive Director for agreement. QuickBooks should be updated if changes are made. To ensure changes are being properly reflected, a report for the year-to-date period should be generated to ensure the figures agree to the reimbursement requests to date. View of Responsible Officials ? HAVEN agrees with the finding and the new Finance Director is performing the proper reconciliations now.
Federal Award Finding 2022-004 US Department of Justice Crime Victims Assistance AL No. 16.575 Pass-Through Grantor New Hampshire Coalition Against Domestic and Sexual Violence Questioned costs ? $0 Criteria ? The time sheets are developed based on a preliminary understanding of the grant budgets and not updated. The time sheets combined with the job description provide support for the allocation of time to the grants, but it is not clear and concise. Condition ? Time sheets are detailed out by program but not by grant thus it is not straightforward to ensure that the amounts charged to the grant were allowable. Our testing included obtaining 40 time sheets and agreeing the time allocated to the grants per the approved timesheets. In 13 instances the amount charged to the grant did not agree to the time sheet. The time allocated to the grants was researched and concluded as allowable thus there are no questioned costs. The sample was not intended to be, and was not, a statistically valid sample. Cause ? Ineffective time sheet design Effects or Potential Effects ? Determining whether a charge of payroll is allowable under the grant is difficult. Auditor?s Recommendation ? We recommend that time sheets support the time allocated to the grant and that a second review be performed and documented for allowable charges to the grants. View of Responsible Officials ? HAVEN agrees with the finding and the Office Manager will review all time sheets and document any required changes to support the payroll charged to the grants.