FAC Explorer

Audit 299152

FY End
2023-06-30
Total Expended
$1.13M
Findings
2
Programs
2
Organization: Cumberland Pediatric Foundation (TN)
Year: 2023 Accepted: 2024-03-28
Auditor: Kraftcpas PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
386832 2023-001 Significant Deficiency - B
963274 2023-001 Significant Deficiency - B

Programs

ALN Program Spent Major Findings
93.268 Immunization Cooperative Agreements $1.11M Yes 1
93.898 Cancer Prevention and Control Programs $16,000 - 0

Contacts

Name Title Type
R81TNHZ365U9 Lora Harnack Auditee
6159366053 Kenneth Youngstead Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of the Organization under programs of the federal government for the year ended June 30, 2023. The information in the Schedule of Expenditures of Federal Awards is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. 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. The Organization has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Finding 2023-001
Criteria: Management is responsible for only charging allowable costs to the federal award. In accordance with allowable costs requirements for cost-reimbursed contracts, the Organization is required to request reimbursement for actual, reasonable, and necessary costs based upon the grant budget. Condition: In fiscal year 2023, the Organization submitted monthly invoices for payroll expenses related to the grant. These payroll expenses were calculated based on budgeted pay for the fiscal year and not what employees were actually paid. This caused the Organization to be reimbursed more or less for certain employees than the employees were paid. Cause: Payroll is not handled by Cumberland Pediatric Foundation and thus salary amounts for all employees are not easily attainable on a regular basis. Recommendation: We recommend that management obtain documentation on each employee’s pay to use in the calculation of monthly reimbursement requests for the grant. Additionally, we recommend management distribute and maintain documentation on each employee’s pay rate and any pay changes that occur. Views of responsible officers: Management acknowledges this finding and will address remediation in the accompanying management’s corrective action plan.
Finding 2023-001
Criteria: Management is responsible for only charging allowable costs to the federal award. In accordance with allowable costs requirements for cost-reimbursed contracts, the Organization is required to request reimbursement for actual, reasonable, and necessary costs based upon the grant budget. Condition: In fiscal year 2023, the Organization submitted monthly invoices for payroll expenses related to the grant. These payroll expenses were calculated based on budgeted pay for the fiscal year and not what employees were actually paid. This caused the Organization to be reimbursed more or less for certain employees than the employees were paid. Cause: Payroll is not handled by Cumberland Pediatric Foundation and thus salary amounts for all employees are not easily attainable on a regular basis. Recommendation: We recommend that management obtain documentation on each employee’s pay to use in the calculation of monthly reimbursement requests for the grant. Additionally, we recommend management distribute and maintain documentation on each employee’s pay rate and any pay changes that occur. Views of responsible officers: Management acknowledges this finding and will address remediation in the accompanying management’s corrective action plan.