FAC Explorer

Audit 26249

FY End
2022-06-30
Total Expended
$2.52M
Findings
2
Programs
5
Organization: Straight and Narrow, Inc. Roman Catholic Diocese of Paterson (NJ)
Year: 2022 Accepted: 2023-03-29
Auditor: Cullari Carrico LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
20315 2022-004 Significant Deficiency - L
596757 2022-004 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.959 Block Grants for Prevention and Treatment of Substance Abuse $1.65M Yes 1
14.267 Continuum of Care Program $407,462 - 0
93.778 Medical Assistance Program $240,000 - 0
10.558 Child and Adult Care Food Program $163,511 - 0
93.914 Hiv Emergency Relief Project Grants $60,839 - 0

Contacts

Name Title Type
LG3XHHKMSBB3 Mukesh Saxena Auditee
9733457279 Robert Valas Auditor
No contacts on file

Notes to SEFA

Title: SINGLE AUDIT POLICY Accounting Policies: 1.BASIS OF PRESENTATION The information in this schedule is presented in accordance with the audit 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) and New Jersey 15-08-OMB, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid. Because the schedules present only a selected portion of the operations of Straight and Narrow, Inc., it is not intended to and does not present the financial position, changes in net assets or cash flows of Straight and Narrow, Inc.. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Federal award program titles are reported as presented in the Catalog of Federal Domestic Assistance (CFDA). The accompanying schedule of expenditures of federal awards and state financial assistance present the Federal and State grant activity for Straight and Narrow, Inc. and is presented on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and New Jersey 15-08-OMB, if applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The State of New Jersey requires all organizations that disburse federal grant, state grant or state aid funds to recipients that expend $750,000 or more in federal or state financial assistance within their fiscal year to have annual single audits or program-specific audits performed in accordance with the Uniform Guidance and New Jersey 15-08-OMB.All organizations that disburse federal grant, state grant or state aid funds to recipients that expend less than $750,000 in federal or state financial assistance within their fiscal year, but expend $100,000 or more in state and/or federal financial assistance within their fiscal year must have either a financial statement audit performed in accordance with Government Auditing Standards (Yellow Book) or a program-specific audit performed in accordance the Uniform Guidance and New Jersey 15-08-OMB.

Finding Details

Finding 2022-004
Finding --- Internal controls should be strengthened to ensure proper preparation and reviews of the Schedules of Expenditures of Federal Awards and State Financial Assistance. Criteria --- Management of an entity receiving direct or indirect funding from a federal or state agency is required to prepare accurate and complete Schedules of Expenditures of Federal Awards and State Financial Assistance in accordance with Uniform guidance and New Jersey 15-08-OMB/ the State department?s contract policy manual, respectively. Condition --- Although the Organization prepared the Schedules of Expenditures of Federal Awards and State Financial Assistance, in some instances, the information provided was incomplete or inaccurate. Cause --- A change in upper management at the review level created a gap in internal controls, more specifically, the review of the schedules. Effect --- Improper preparation of the Schedules of Expenditures of Federal Awards and State Financial Assistance can result in incomplete audit coverage. Additionally, omitting grants or otherwise inaccurate reporting of grants reduces financial reporting transparency to government agencies and may be an indication of misappropriation, waste, fraud and/or abuse. Questioned Costs --- None Recommendation --- Management should strengthen controls by providing segregation of duties, in order to ensure reviews over the prepared Schedules of Expenditures of Federal Awards and State Financial Assistance occurs. Training and education should exist for all supervisory members handling contracts and their reporting. Views of Responsible Officials --- Governance agrees with the finding and will institute the recommendation(s).
Finding 2022-004
Finding --- Internal controls should be strengthened to ensure proper preparation and reviews of the Schedules of Expenditures of Federal Awards and State Financial Assistance. Criteria --- Management of an entity receiving direct or indirect funding from a federal or state agency is required to prepare accurate and complete Schedules of Expenditures of Federal Awards and State Financial Assistance in accordance with Uniform guidance and New Jersey 15-08-OMB/ the State department?s contract policy manual, respectively. Condition --- Although the Organization prepared the Schedules of Expenditures of Federal Awards and State Financial Assistance, in some instances, the information provided was incomplete or inaccurate. Cause --- A change in upper management at the review level created a gap in internal controls, more specifically, the review of the schedules. Effect --- Improper preparation of the Schedules of Expenditures of Federal Awards and State Financial Assistance can result in incomplete audit coverage. Additionally, omitting grants or otherwise inaccurate reporting of grants reduces financial reporting transparency to government agencies and may be an indication of misappropriation, waste, fraud and/or abuse. Questioned Costs --- None Recommendation --- Management should strengthen controls by providing segregation of duties, in order to ensure reviews over the prepared Schedules of Expenditures of Federal Awards and State Financial Assistance occurs. Training and education should exist for all supervisory members handling contracts and their reporting. Views of Responsible Officials --- Governance agrees with the finding and will institute the recommendation(s).