FAC Explorer

Audit 299997

FY End
2023-06-30
Total Expended
$4.19M
Findings
10
Programs
7
Organization: Four Square Community Action, Inc. (NC)
Year: 2023 Accepted: 2024-03-28
Auditor: Sheila Gahagan CPA

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
388228 2023-009 Material Weakness - P
388229 2023-010 - - AN
388230 2023-011 - - N
388231 2023-009 Material Weakness - P
388232 2023-010 - - AN
964670 2023-009 Material Weakness - P
964671 2023-010 - - AN
964672 2023-011 - - N
964673 2023-009 Material Weakness - P
964674 2023-010 - - AN

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $1.77M - 0
93.600 Head Start $189,447 Yes 2
10.558 Child and Adult Care Food Program $172,272 - 0
81.042 Weatherization Assistance for Low-Income Persons $143,837 - 0
93.568 Low-Income Home Energy Assistance $81,372 - 0
14.239 Home Investment Partnerships Program $72,411 - 0
93.569 Community Services Block Grant $45,642 Yes 0

Contacts

Name Title Type
NEVAMDMM7DB5 Sue Ledford Auditee
8283213656 Sheila Gahagan Auditor
No contacts on file

Notes to SEFA

Title: 1. Basis of Presentation Accounting Policies: See Note 2. Summary of Significant Accounting Policies De Minimis Rate Used: N Rate Explanation: Four Square has elected to not use the 10 percent de minimis indirect cost rate The accompanying schedule of expenditures of federal awards includes the federal award activity of Four Square Community Action Inc. (Four Square), under programs for the year ended June 30, 2023 in accordance with the requirements of Title 2 US Code of Federal Regulations 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 Four Square, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Four Square Community Action, Inc.
Title: 2. Summary of Accounting Policies Accounting Policies: See Note 2. Summary of Significant Accounting Policies De Minimis Rate Used: N Rate Explanation: Four Square has elected to not use the 10 percent de minimis indirect cost rate 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 allowed or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Four Square has elected to not use the 10 percent de minimum indirect cost rate as allowed under Uniform Guidance.

Finding Details

Finding 2023-009
Condition: Several instances found where required approvals by Executive Director or Board were not obtained or were obtained after the fact. Bonuses for Head Start employees paid before Board approved, financial reports and most amendments to original application and budget submitted to DHHS without approval of Executive Director or Board, or approval obtained after submission. Documentation was lacking for several items tested; some COVID expenditures did not clearly explain how expenditures related to COVID, receipts for meals coded as training did not document who attended and the operational purpose of the expense and Head Start failed to document proper quotes obtained (notes about companies that cannot provide a quote does not constitute a quote received).
Finding 2023-010
Condition: Head Start did not document efforts to obtain other funding sources to pay for professional medical and oral health services. Four Square failed to establish policies defining major financial expenditures that would require the Board’s approval before procurement.
Finding 2023-011
Condition: The fixed asset records for Head Start does not include identification numbers for equipment, the federal percentage used to acquire the property, the location or condition of property. A physical inventory was not performed during the last two years.
Finding 2023-009
Condition: Several instances found where required approvals by Executive Director or Board were not obtained or were obtained after the fact. Bonuses for Head Start employees paid before Board approved, financial reports and most amendments to original application and budget submitted to DHHS without approval of Executive Director or Board, or approval obtained after submission. Documentation was lacking for several items tested; some COVID expenditures did not clearly explain how expenditures related to COVID, receipts for meals coded as training did not document who attended and the operational purpose of the expense and Head Start failed to document proper quotes obtained (notes about companies that cannot provide a quote does not constitute a quote received).
Finding 2023-010
Condition: Head Start did not document efforts to obtain other funding sources to pay for professional medical and oral health services. Four Square failed to establish policies defining major financial expenditures that would require the Board’s approval before procurement.
Finding 2023-009
Condition: Several instances found where required approvals by Executive Director or Board were not obtained or were obtained after the fact. Bonuses for Head Start employees paid before Board approved, financial reports and most amendments to original application and budget submitted to DHHS without approval of Executive Director or Board, or approval obtained after submission. Documentation was lacking for several items tested; some COVID expenditures did not clearly explain how expenditures related to COVID, receipts for meals coded as training did not document who attended and the operational purpose of the expense and Head Start failed to document proper quotes obtained (notes about companies that cannot provide a quote does not constitute a quote received).
Finding 2023-010
Condition: Head Start did not document efforts to obtain other funding sources to pay for professional medical and oral health services. Four Square failed to establish policies defining major financial expenditures that would require the Board’s approval before procurement.
Finding 2023-011
Condition: The fixed asset records for Head Start does not include identification numbers for equipment, the federal percentage used to acquire the property, the location or condition of property. A physical inventory was not performed during the last two years.
Finding 2023-009
Condition: Several instances found where required approvals by Executive Director or Board were not obtained or were obtained after the fact. Bonuses for Head Start employees paid before Board approved, financial reports and most amendments to original application and budget submitted to DHHS without approval of Executive Director or Board, or approval obtained after submission. Documentation was lacking for several items tested; some COVID expenditures did not clearly explain how expenditures related to COVID, receipts for meals coded as training did not document who attended and the operational purpose of the expense and Head Start failed to document proper quotes obtained (notes about companies that cannot provide a quote does not constitute a quote received).
Finding 2023-010
Condition: Head Start did not document efforts to obtain other funding sources to pay for professional medical and oral health services. Four Square failed to establish policies defining major financial expenditures that would require the Board’s approval before procurement.