Audit 290973

FY End
2020-12-31
Total Expended
$6.18M
Findings
4
Programs
2
Organization: Excelth Inc. (LA)
Year: 2020 Accepted: 2024-02-16

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
369609 2020-001 Material Weakness - L
369610 2020-001 Material Weakness - L
946051 2020-001 Material Weakness - L
946052 2020-001 Material Weakness - L

Contacts

Name Title Type
H3M3XA3TK3L1 Conchetta Morse Auditee
5043524691 Sean M Bruno Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of EXCELTH, Inc. and is presented on the accrual basis of accounting. The information in this schedule is presented as required by Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: EXCELth Inc. has not elected to use the ten percent (10%) indirect cost rate allowed under the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of EXCELTH, Inc. and is presented on the accrual basis of accounting. The information in this schedule is presented as required by Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
Title: NOTE 2 Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of EXCELTH, Inc. and is presented on the accrual basis of accounting. The information in this schedule is presented as required by Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: EXCELth Inc. has not elected to use the ten percent (10%) indirect cost rate allowed under the Uniform Guidance. EXCELth Inc. has not elected to use the ten percent (10%) indirect cost rate allowed under the Uniform Guidance.

Finding Details

INTERNAL CONTROL OVER COMPLIANCE AND COMPLIANCE Audit Finding Reference Number 2020 – 001 – Late Submission of Audit Report Federal Program and Specific Federal Award Identification CFDA Title and Number 93.224 Head Start Program Cluster: Health Center Program (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) 93.527 Affordable Care Act (ACA) Grants for new and expanded services under the Health Care Program Federal Award Year December 31, 2020 Federal Agency U.S. Department of Health and Human Services Pass-Through Entity Not Applicable Criteria Pursuant to the requirement of Uniform Guidance 2 CFR Part 200.512(a), Single audits are required to be completed and the data collection form and reporting package submitted within the earlier of thirty (30) days after receipt of the auditor’s report, or nine (9) months after the end of the audit period. If the due date falls on a Saturday, Sunday, or federal Holiday, the reporting package is due the next business day. Conditions and Contexts The December 31, 2020 audit report was not submitted within the prescribed time frame required by federal regulations. The audit report was outstanding beyond the nine (9) months after the entity’s fiscal year pursuant to the federal requirements. Cause Management failed to ensure the audit report was issued within the prescribed time frame. Questioned Costs For purposes of this condition, I have no questioned cost. Effect Excelth, Inc. has not complied with the audit requirement of Uniform Guidance 2 CFR Part 200.512(a). Repeat Finding No. Recommendation I recommend that the management of Excelth, Inc. take steps to ensure that the Single Audit is submitted within the prescribed deadlines. Management Response The EXCELth Finance Department was delayed in providing timely financial information to your audit firm and provide the financial statements by the filing deadline due to the COVID pandemic and subsequent problems this caused in difficulties hiring and maintaining qualified individuals in the department. To prevent recurrence of the late filing of financial statements, we have contracted with a temporary staffing agency, Robert Half, for additional qualified accountants to provide the following services: to assist with preparing timely monthly financial information for presentation to the governing board; timely reconciliation of all bank statements to the general ledger each month; timely reconciliation of receivable and payables subsidiary ledgers to the general ledger each month; preparation any necessary adjusting entries for posting; attend the monthly board meeting when financial information is presented; and provide the necessary assistance to prepare audit financial statements on a timely basis.
INTERNAL CONTROL OVER COMPLIANCE AND COMPLIANCE Audit Finding Reference Number 2020 – 001 – Late Submission of Audit Report Federal Program and Specific Federal Award Identification CFDA Title and Number 93.224 Head Start Program Cluster: Health Center Program (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) 93.527 Affordable Care Act (ACA) Grants for new and expanded services under the Health Care Program Federal Award Year December 31, 2020 Federal Agency U.S. Department of Health and Human Services Pass-Through Entity Not Applicable Criteria Pursuant to the requirement of Uniform Guidance 2 CFR Part 200.512(a), Single audits are required to be completed and the data collection form and reporting package submitted within the earlier of thirty (30) days after receipt of the auditor’s report, or nine (9) months after the end of the audit period. If the due date falls on a Saturday, Sunday, or federal Holiday, the reporting package is due the next business day. Conditions and Contexts The December 31, 2020 audit report was not submitted within the prescribed time frame required by federal regulations. The audit report was outstanding beyond the nine (9) months after the entity’s fiscal year pursuant to the federal requirements. Cause Management failed to ensure the audit report was issued within the prescribed time frame. Questioned Costs For purposes of this condition, I have no questioned cost. Effect Excelth, Inc. has not complied with the audit requirement of Uniform Guidance 2 CFR Part 200.512(a). Repeat Finding No. Recommendation I recommend that the management of Excelth, Inc. take steps to ensure that the Single Audit is submitted within the prescribed deadlines. Management Response The EXCELth Finance Department was delayed in providing timely financial information to your audit firm and provide the financial statements by the filing deadline due to the COVID pandemic and subsequent problems this caused in difficulties hiring and maintaining qualified individuals in the department. To prevent recurrence of the late filing of financial statements, we have contracted with a temporary staffing agency, Robert Half, for additional qualified accountants to provide the following services: to assist with preparing timely monthly financial information for presentation to the governing board; timely reconciliation of all bank statements to the general ledger each month; timely reconciliation of receivable and payables subsidiary ledgers to the general ledger each month; preparation any necessary adjusting entries for posting; attend the monthly board meeting when financial information is presented; and provide the necessary assistance to prepare audit financial statements on a timely basis.
INTERNAL CONTROL OVER COMPLIANCE AND COMPLIANCE Audit Finding Reference Number 2020 – 001 – Late Submission of Audit Report Federal Program and Specific Federal Award Identification CFDA Title and Number 93.224 Head Start Program Cluster: Health Center Program (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) 93.527 Affordable Care Act (ACA) Grants for new and expanded services under the Health Care Program Federal Award Year December 31, 2020 Federal Agency U.S. Department of Health and Human Services Pass-Through Entity Not Applicable Criteria Pursuant to the requirement of Uniform Guidance 2 CFR Part 200.512(a), Single audits are required to be completed and the data collection form and reporting package submitted within the earlier of thirty (30) days after receipt of the auditor’s report, or nine (9) months after the end of the audit period. If the due date falls on a Saturday, Sunday, or federal Holiday, the reporting package is due the next business day. Conditions and Contexts The December 31, 2020 audit report was not submitted within the prescribed time frame required by federal regulations. The audit report was outstanding beyond the nine (9) months after the entity’s fiscal year pursuant to the federal requirements. Cause Management failed to ensure the audit report was issued within the prescribed time frame. Questioned Costs For purposes of this condition, I have no questioned cost. Effect Excelth, Inc. has not complied with the audit requirement of Uniform Guidance 2 CFR Part 200.512(a). Repeat Finding No. Recommendation I recommend that the management of Excelth, Inc. take steps to ensure that the Single Audit is submitted within the prescribed deadlines. Management Response The EXCELth Finance Department was delayed in providing timely financial information to your audit firm and provide the financial statements by the filing deadline due to the COVID pandemic and subsequent problems this caused in difficulties hiring and maintaining qualified individuals in the department. To prevent recurrence of the late filing of financial statements, we have contracted with a temporary staffing agency, Robert Half, for additional qualified accountants to provide the following services: to assist with preparing timely monthly financial information for presentation to the governing board; timely reconciliation of all bank statements to the general ledger each month; timely reconciliation of receivable and payables subsidiary ledgers to the general ledger each month; preparation any necessary adjusting entries for posting; attend the monthly board meeting when financial information is presented; and provide the necessary assistance to prepare audit financial statements on a timely basis.
INTERNAL CONTROL OVER COMPLIANCE AND COMPLIANCE Audit Finding Reference Number 2020 – 001 – Late Submission of Audit Report Federal Program and Specific Federal Award Identification CFDA Title and Number 93.224 Head Start Program Cluster: Health Center Program (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) 93.527 Affordable Care Act (ACA) Grants for new and expanded services under the Health Care Program Federal Award Year December 31, 2020 Federal Agency U.S. Department of Health and Human Services Pass-Through Entity Not Applicable Criteria Pursuant to the requirement of Uniform Guidance 2 CFR Part 200.512(a), Single audits are required to be completed and the data collection form and reporting package submitted within the earlier of thirty (30) days after receipt of the auditor’s report, or nine (9) months after the end of the audit period. If the due date falls on a Saturday, Sunday, or federal Holiday, the reporting package is due the next business day. Conditions and Contexts The December 31, 2020 audit report was not submitted within the prescribed time frame required by federal regulations. The audit report was outstanding beyond the nine (9) months after the entity’s fiscal year pursuant to the federal requirements. Cause Management failed to ensure the audit report was issued within the prescribed time frame. Questioned Costs For purposes of this condition, I have no questioned cost. Effect Excelth, Inc. has not complied with the audit requirement of Uniform Guidance 2 CFR Part 200.512(a). Repeat Finding No. Recommendation I recommend that the management of Excelth, Inc. take steps to ensure that the Single Audit is submitted within the prescribed deadlines. Management Response The EXCELth Finance Department was delayed in providing timely financial information to your audit firm and provide the financial statements by the filing deadline due to the COVID pandemic and subsequent problems this caused in difficulties hiring and maintaining qualified individuals in the department. To prevent recurrence of the late filing of financial statements, we have contracted with a temporary staffing agency, Robert Half, for additional qualified accountants to provide the following services: to assist with preparing timely monthly financial information for presentation to the governing board; timely reconciliation of all bank statements to the general ledger each month; timely reconciliation of receivable and payables subsidiary ledgers to the general ledger each month; preparation any necessary adjusting entries for posting; attend the monthly board meeting when financial information is presented; and provide the necessary assistance to prepare audit financial statements on a timely basis.