Audit 296002

FY End

2022-06-30

Total Expended

$798,771

Findings

2

Programs

1

Organization: Addiction Recovery, Inc. (MD)

Year: 2022 Accepted: 2024-03-20

Auditor: Bd & Company INC

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
382296	2022-001	Significant Deficiency	-	L
958738	2022-001	Significant Deficiency	-	L

ALN	Program	Spent	Major	Findings
93.498	Provider Relief Fund	$798,771	Yes	1

Contacts

Name	Title	Type
M1F2J6F82477	Carrie Fronczek	Auditee
4109236700	Michael Buher	Auditor
No contacts on file

Notes to SEFA

Title: Summary of Significant Accounting Policies Accounting Policies: 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, where in 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: No indirect costs. 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, where in certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.

Finding Details

Finding 2022-001

Section III – Federal Award Findings and Questioned Costs Significant Deficiency Finding 2022-001 – Late Submission of the Audit Report to the Federal Audit Clearinghouse for the audit ending June 30, 2022 Criteria: Based on the principles contained within the Code of Federal Regulations and Government Auditing Standards management is responsible for the timely submission of the data collection form to the Federal Audit Clearinghouse no later than 30 calendar days after receipt of the auditors’ report(s), or nine-months after the end of the audit period. Condition: During the Single Audit process, we noted that the nine-month period had passed prior to the completion of the audit. Therefore, resulting in a late data collection form submission to the Federal Audit Clearinghouse. Cause: Management notes they lacked an understanding of Federal funding requirements, as this is their first experience with significant Federal Awards, and has never before been subject to Single Audit requirements. Effect: The error did not have a material, nor overall financial effect, on the Statement of Federal Expenditures, receipt of Federal Funding, nor the overall Financial Statements. Recommendation: We recommend management have a designated individual responsible for submitting the data collection form subsequent to audit completion. Views of responsible individuals: Management agrees with the finding and recommendation. See corrective action plan for further information.

Finding 2022-001

Section III – Federal Award Findings and Questioned Costs Significant Deficiency Finding 2022-001 – Late Submission of the Audit Report to the Federal Audit Clearinghouse for the audit ending June 30, 2022 Criteria: Based on the principles contained within the Code of Federal Regulations and Government Auditing Standards management is responsible for the timely submission of the data collection form to the Federal Audit Clearinghouse no later than 30 calendar days after receipt of the auditors’ report(s), or nine-months after the end of the audit period. Condition: During the Single Audit process, we noted that the nine-month period had passed prior to the completion of the audit. Therefore, resulting in a late data collection form submission to the Federal Audit Clearinghouse. Cause: Management notes they lacked an understanding of Federal funding requirements, as this is their first experience with significant Federal Awards, and has never before been subject to Single Audit requirements. Effect: The error did not have a material, nor overall financial effect, on the Statement of Federal Expenditures, receipt of Federal Funding, nor the overall Financial Statements. Recommendation: We recommend management have a designated individual responsible for submitting the data collection form subsequent to audit completion. Views of responsible individuals: Management agrees with the finding and recommendation. See corrective action plan for further information.