FAC Explorer

Audit 265973

FY End
2022-12-31
Total Expended
$11.82M
Findings
4
Programs
27
Organization: Cap Services, Inc. and Subsidiaries (WI)
Year: 2022 Accepted: 2023-07-05
Auditor: Wipfli LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
279108 2022-001 - - N
279109 2022-001 - - N
855550 2022-001 - - N
855551 2022-001 - - N

Programs

ALN Program Spent Major Findings
16.575 Crime Victim Assistance $949,465 - 0
21.024 Community Development Financial Institutions Rapid Response Program (cdfi Rrp) $741,395 - 0
10.415 Rural Rental Housing Loans $670,141 - 0
93.568 Low-Income Home Energy Assistance $501,550 Yes 0
93.569 Community Services Block Grant $377,104 Yes 1
81.042 Weatherization Assistance for Low-Income Persons $369,396 Yes 0
14.239 Home Investment Partnerships Program $339,648 - 0
93.600 Head Start $311,521 Yes 0
21.023 Emergency Rental Assistance Program $244,307 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $233,512 - 0
14.856 Lower Income Housing Assistance Program_section 8 Moderate Rehabilitation $226,755 - 0
10.558 Child and Adult Care Food Program $222,381 - 0
59.046 Microloan Program $220,668 - 0
20.509 Formula Grants for Rural Areas and Tribal Transit Program $120,552 - 0
93.268 Immunization Cooperative Agreements $92,405 - 0
10.427 Rural Rental Assistance Payments $86,430 - 0
10.870 Rural Microentrepreneur Assistance Program $72,130 - 0
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $45,451 - 0
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $39,105 - 0
93.623 Basic Center Grant $36,850 - 0
93.557 Education and Prevention Grants to Reduce Sexual Abuse of Runaway, Homeless and Street Youth $32,612 - 0
21.025 Small Dollar Loan Program $30,719 - 0
93.645 Stephanie Tubbs Jones Child Welfare Services Program $22,500 - 0
14.252 Section 4 Capacity Building for Community Development and Affordable Housing $19,020 - 0
14.218 Community Development Block Grants/entitlement Grants $10,441 - 0
93.556 Promoting Safe and Stable Families $8,550 - 0
97.024 Emergency Food and Shelter National Board Program $3,750 - 0

Contacts

Name Title Type
K2NBW5B43X68 Nicole Harrison Auditee
7153437512 Mike Webber, CPA Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: The accompanying schedule of expenditures of federal and state awards (the Schedule) includes the federal award activity of CAP Services, Inc. under programs of the federal government for the year ended December 31, 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 (Uniform Guidance) and State Single Audit Guidelines issued by WI Department of Administration. Because the Schedule presents only a selected portion of the operations of CAP Services, Inc. it is not intended to and does not present the financial position, changes in net assets or cash flows of CAP Services, Inc.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. RURAL RENTAL HOUSING LOANS (10.415) - Balances outstanding at the end of the audit period were 652948.
Title: Subrecipients Accounting Policies: The accompanying schedule of expenditures of federal and state awards (the Schedule) includes the federal award activity of CAP Services, Inc. under programs of the federal government for the year ended December 31, 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 (Uniform Guidance) and State Single Audit Guidelines issued by WI Department of Administration. Because the Schedule presents only a selected portion of the operations of CAP Services, Inc. it is not intended to and does not present the financial position, changes in net assets or cash flows of CAP Services, Inc.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. CAP Services, Inc. did not have any subrecipients or subrecipient expenditures during the year ended December 31, 2022.
Title: Balance of Outstanding Loans Accounting Policies: The accompanying schedule of expenditures of federal and state awards (the Schedule) includes the federal award activity of CAP Services, Inc. under programs of the federal government for the year ended December 31, 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 (Uniform Guidance) and State Single Audit Guidelines issued by WI Department of Administration. Because the Schedule presents only a selected portion of the operations of CAP Services, Inc. it is not intended to and does not present the financial position, changes in net assets or cash flows of CAP Services, Inc.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. The loan programs listed subsequently are administered directly by CAP Services, Inc., and balances and transactions relating to these programs are included in CAP Services, Inc.'s basic financial statements. Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding at December 31, 2022, consists of:See the Notes to the SEFA for chart/table.

Finding Details

Finding 2022-001
2022-001 ? Tri-Partite Board Composition Department of Health and Human Services AL # 93.569 Community Services Block Grant Federal Grantor/Pass-Through Grantor Grant Number Wisconsin Department of Children & Families 437004-G22-0001953-000-02 Wisconsin Department of Children & Families 437004-G20-0001632-000-02 Questioned Costs: None How were questioned costs computed: Not applicable Condition: At times during the year, less than 1/3 of the members of the board of directors of CAP Services, Inc. were representative of the low-income individuals and families served by the Organization. Criteria: The CSBG Act at 42 USC 9910(b), requires that public organizations administer CSBG through a Tri-Partite board. This board shall have members selected by the organization and shall be composed so as to assure that no less than one-third (1/3) of the members are representative of the individuals and families served by the organization. Cause: CAP Services, Inc. had board vacancies during the year, causing it to not be in compliance with the tripartite board requirement. Effect: Because of the above conditions, CAP Services, Inc. was not in compliance with this compliance requirement. Recommendation: We recommend that CAP Services, Inc. establish procedures to ensure the composition of the members of its board of directors meets this requirement. View of Responsible Officials: Management agrees with the assessment and has committed to a corrective action plan.
Finding 2022-001
2022-001 ? Tri-Partite Board Composition Department of Health and Human Services AL # 93.569 Community Services Block Grant Federal Grantor/Pass-Through Grantor Grant Number Wisconsin Department of Children & Families 437004-G22-0001953-000-02 Wisconsin Department of Children & Families 437004-G20-0001632-000-02 Questioned Costs: None How were questioned costs computed: Not applicable Condition: At times during the year, less than 1/3 of the members of the board of directors of CAP Services, Inc. were representative of the low-income individuals and families served by the Organization. Criteria: The CSBG Act at 42 USC 9910(b), requires that public organizations administer CSBG through a Tri-Partite board. This board shall have members selected by the organization and shall be composed so as to assure that no less than one-third (1/3) of the members are representative of the individuals and families served by the organization. Cause: CAP Services, Inc. had board vacancies during the year, causing it to not be in compliance with the tripartite board requirement. Effect: Because of the above conditions, CAP Services, Inc. was not in compliance with this compliance requirement. Recommendation: We recommend that CAP Services, Inc. establish procedures to ensure the composition of the members of its board of directors meets this requirement. View of Responsible Officials: Management agrees with the assessment and has committed to a corrective action plan.
Finding 2022-001
2022-001 ? Tri-Partite Board Composition Department of Health and Human Services AL # 93.569 Community Services Block Grant Federal Grantor/Pass-Through Grantor Grant Number Wisconsin Department of Children & Families 437004-G22-0001953-000-02 Wisconsin Department of Children & Families 437004-G20-0001632-000-02 Questioned Costs: None How were questioned costs computed: Not applicable Condition: At times during the year, less than 1/3 of the members of the board of directors of CAP Services, Inc. were representative of the low-income individuals and families served by the Organization. Criteria: The CSBG Act at 42 USC 9910(b), requires that public organizations administer CSBG through a Tri-Partite board. This board shall have members selected by the organization and shall be composed so as to assure that no less than one-third (1/3) of the members are representative of the individuals and families served by the organization. Cause: CAP Services, Inc. had board vacancies during the year, causing it to not be in compliance with the tripartite board requirement. Effect: Because of the above conditions, CAP Services, Inc. was not in compliance with this compliance requirement. Recommendation: We recommend that CAP Services, Inc. establish procedures to ensure the composition of the members of its board of directors meets this requirement. View of Responsible Officials: Management agrees with the assessment and has committed to a corrective action plan.
Finding 2022-001
2022-001 ? Tri-Partite Board Composition Department of Health and Human Services AL # 93.569 Community Services Block Grant Federal Grantor/Pass-Through Grantor Grant Number Wisconsin Department of Children & Families 437004-G22-0001953-000-02 Wisconsin Department of Children & Families 437004-G20-0001632-000-02 Questioned Costs: None How were questioned costs computed: Not applicable Condition: At times during the year, less than 1/3 of the members of the board of directors of CAP Services, Inc. were representative of the low-income individuals and families served by the Organization. Criteria: The CSBG Act at 42 USC 9910(b), requires that public organizations administer CSBG through a Tri-Partite board. This board shall have members selected by the organization and shall be composed so as to assure that no less than one-third (1/3) of the members are representative of the individuals and families served by the organization. Cause: CAP Services, Inc. had board vacancies during the year, causing it to not be in compliance with the tripartite board requirement. Effect: Because of the above conditions, CAP Services, Inc. was not in compliance with this compliance requirement. Recommendation: We recommend that CAP Services, Inc. establish procedures to ensure the composition of the members of its board of directors meets this requirement. View of Responsible Officials: Management agrees with the assessment and has committed to a corrective action plan.