FAC Explorer

Audit 25822

FY End
2022-06-30
Total Expended
$26.09M
Findings
10
Programs
8
Organization: Neighbor to Neighbor, Inc. and Subsidaries (CO)
Year: 2022 Accepted: 2023-04-22
Auditor: Rubinbrown LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
35794 2022-001 Material Weakness - P
35795 2022-001 Material Weakness - P
35796 2022-001 Material Weakness - P
35797 2022-001 Material Weakness - P
35798 2022-001 Material Weakness - P
612236 2022-001 Material Weakness - P
612237 2022-001 Material Weakness - P
612238 2022-001 Material Weakness - P
612239 2022-001 Material Weakness - P
612240 2022-001 Material Weakness - P

Programs

ALN Program Spent Major Findings
21.023 Emergency Rental Assistance Program $2.94M Yes 1
21.026 Homeowner Assistance Fund $1.68M Yes 1
14.181 Supportive Housing for Persons with Disabilities $948,600 - 0
14.195 Section 8 Housing Assistance Payments Program $696,838 - 0
21.000 Neighbor Works America $290,183 - 0
14.218 Community Development Block Grants/entitlement Grants $100,000 - 0
14.879 Mainstream Vouchers $51,789 - 0
97.024 Emergency Food and Shelter National Board Program $35,000 - 0

Contacts

Name Title Type
KRRNZJFMQV14 Jenny Maeda Auditee
9704882361 Becky Knezevich Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) presents the activity of all federal award programs of Neighbor to Neighbor, Inc. and its Subsidiaries (the Organization) for the year ended June 30, 2022. The information in this 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 (the Uniform Guidance). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the consolidated financial statements. Expenditures reported on the Schedule are reported on the accrual basis of accounting as described in Note 2 to the consolidated financial statements. 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. De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, Section 414.

Finding Details

Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.
Finding 2022-001
Criteria: Management is responsible for establishing controls over the reconciliation of gran revenue accounts to allow for proper reporting during the fiscal year. Condition: During the current year, we noted that grant revenue required extensive reconciliation and outside corroboration to ensure financial statements that are reliable. The Organization?s grant revenue accounts required significant audit adjustments to reconcile ending balances to underlying support and schedules. Cause: Audit procedures revealed that there is no systematic method of ensuring that proper accounting for grant revenues are taking place. Effect: Material journal entries were required during the audit to correct recognition of grant revenue. Recommendation: Proper accounting for grant revenue plays a key role in proving the accuracy of the financial information provided to users to make informed business decisions. An understanding of accounting principles related to accounting for gran revenue should be put into place to ensure accurate and timely financial reporting. Views Of Responsible Officials: The management agrees with the finding and has put together a correction action plan for finding. See corrective action plan included in this report.