FAC Explorer

Audit 299646

FY End
2023-06-30
Total Expended
$1.69M
Findings
2
Programs
6
Organization: Washington Drama Society, Inc. (DC)
Year: 2023 Accepted: 2024-03-28
Auditor: Bormel Grice & Huyett P A

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
387476 2023-001 Significant Deficiency - L
963918 2023-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
59.075 Shuttered Venue Operators Grant Program $1.07M Yes 1
99.U99 National Capital Arts and Cultural Affairs $199,794 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $195,363 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $142,477 - 0
19.040 Public Diplomacy Programs $52,484 - 0
45.024 Promotion of the Arts_grants to Organizations and Individuals $25,000 - 0

Contacts

Name Title Type
Z99DEDK6DKB3 Joseph Berardelli Auditee
2026004003 Larry P. Bormel, CPA Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying schedule of expenditures of federal awards (SEFA) includes the federal grant activity of Washington Drama Society, Inc. and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Expenditures reported on the SEFA 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 SEFA, if any represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Management has elected not to use the 10% de minimus indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: No documentation is required using the de minimis cost rate.

Finding Details

Finding 2023-001
The Organization did not submit accurate information on its closeout report to SBA in 2023. A duplicate invoice was recorded in the accounting software for an expenditure after it was realized that the payee on the original check was incorrect. A second check was issued to the correct payee. The original physical check was properly voided, but the adjusting entry to reverse the original expenditure did not occur at that time. The error was discovered and corrected during the Organization’s preparation for their annual audit, subsequent to submitting the closeout report to SBA.
Finding 2023-001
The Organization did not submit accurate information on its closeout report to SBA in 2023. A duplicate invoice was recorded in the accounting software for an expenditure after it was realized that the payee on the original check was incorrect. A second check was issued to the correct payee. The original physical check was properly voided, but the adjusting entry to reverse the original expenditure did not occur at that time. The error was discovered and corrected during the Organization’s preparation for their annual audit, subsequent to submitting the closeout report to SBA.