FAC Explorer

Audit 29790

FY End
2022-12-31
Total Expended
$1.03M
Findings
2
Programs
5
Organization: Village Exchange Center (CO)
Year: 2022 Accepted: 2023-08-27
Auditor: Watson Coon Ryan LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
33029 2022-003 Significant Deficiency - I
609471 2022-003 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $168,884 - 0
97.008 Non-Profit Security Program $56,009 - 0
10.225 Community Food Projects $38,284 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $30,850 Yes 0
14.218 Community Development Block Grants/entitlement Grants $22,811 - 0

Contacts

Name Title Type
RFJBL58NSGA3 Amanda Blaurock Auditee
7206689968 Kelly Watson Auditor
No contacts on file

Notes to SEFA

Title: Other Notes Accounting Policies: 1. BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal awardactivity of Village Exchange Center under programs of the federal government for the year endedDecember 31, 2022. The information in this Schedule is presented in accordance with the requirements ofTitle 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles,and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only aselected portion of the operations of Village Exchange Center, it is not intended to and does not present thefinancial position, changes in net assets, or cash flows of Village Exchange Center2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on an accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Negative amounts shown on theSchedule represents adjustments or credits made in the normal course of business to amounts reported asexpenditures in prior years. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. 3. SUBRECIPIENTS No federal awards were passed through to subrecipients for the year-ended December 31, 2022. 4. NONCASH PROGRAM ACTIVITY There was no noncash assistance included in the Schedule of Federal Expenditures for the year ended December 31, 2022.

Finding Details

Finding 2022-003
Finding 2022-003 ? Procurement Information on the Federal Program: Assistance Listing Number 21.027 - COVID-19: American Rescue Plan Act of 2021 - Coronavirus State and Local Fiscal Recovery Funds, Pass through Entity ? Arapahoe County. Compliance requirements: Procurement Type of Finding: Significant deficiency in Internal Control over Compliance, Non compliance Criteria: The Organization is required to have documented procurement policies and procedures which comply with the compliance requirement: UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement to be followed. Condition: The Organization does not have formal policies and procedures over procurement to ensure controls and oversight are in place to ensure procurement compliance requirements are met. Cause: Lack of a formal policy and procedure over procurement. Effect: Possible payment of federal funds to vendors that did not properly go through the required procurement steps in accordance with Uniform Guidance. Questioned Costs: $25,000 Context: The Organization had one purchase of equipment that fell under the procurement guidelines, this purchase did not comply with procurement requirements. Recommendation: The Organization should implement a procurement policy and procedure that includes the selection and documentation of procurement rationale and controls and oversight. This policy should be followed for all procurement transactions. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with this finding. The Organization agrees with the recommendations of the auditors and has already prepared a draft procurement policy.
Finding 2022-003
Finding 2022-003 ? Procurement Information on the Federal Program: Assistance Listing Number 21.027 - COVID-19: American Rescue Plan Act of 2021 - Coronavirus State and Local Fiscal Recovery Funds, Pass through Entity ? Arapahoe County. Compliance requirements: Procurement Type of Finding: Significant deficiency in Internal Control over Compliance, Non compliance Criteria: The Organization is required to have documented procurement policies and procedures which comply with the compliance requirement: UG ?200.318 general procurement standards, UG ?200.319 competition, and ?200.320 methods of procurement to be followed. Condition: The Organization does not have formal policies and procedures over procurement to ensure controls and oversight are in place to ensure procurement compliance requirements are met. Cause: Lack of a formal policy and procedure over procurement. Effect: Possible payment of federal funds to vendors that did not properly go through the required procurement steps in accordance with Uniform Guidance. Questioned Costs: $25,000 Context: The Organization had one purchase of equipment that fell under the procurement guidelines, this purchase did not comply with procurement requirements. Recommendation: The Organization should implement a procurement policy and procedure that includes the selection and documentation of procurement rationale and controls and oversight. This policy should be followed for all procurement transactions. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with this finding. The Organization agrees with the recommendations of the auditors and has already prepared a draft procurement policy.