FAC Explorer

Audit 301539

FY End
2023-06-30
Total Expended
$2.43M
Findings
2
Programs
4
Organization: Valdese Economic Development Investment Corporation (NC)
Year: 2023 Accepted: 2024-04-01
Auditor: Boggs Crump & Brown PA

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
390822 2023-002 - Yes P
967264 2023-002 - Yes P

Programs

ALN Program Spent Major Findings
10.767 Intermediary Relending Program $200,000 Yes 0
23.002 Appalachian Area Development $144,701 - 0
10.769 Rural Business Enterprise Grants $131,138 - 0
10.870 Rural Microentrepreneur Assistance Program $26,878 - 0

Contacts

Name Title Type
MSWTLAXK1PE5 Kerri Poteat Auditee
8288746731 Daniel Boggs 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. De Minimis Rate Used: N Rate Explanation: Valdese Economic Development Investment Corporation 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 award activity of Valdese Economic Development Investment Corporation under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is present 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). Because the Schedule presents only a selected portion of the operations of Valdese Economic Development Investment Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Valdese Economic Development Investment Corporation.
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. De Minimis Rate Used: N Rate Explanation: Valdese Economic Development Investment Corporation 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, Cost Principles for Non-profit Organizations wherein certain types of expenditures are not allowable as to reimbursement. Valdese Economic Development Investment Corporation has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Finding 2023-002
2023-002 Criteria: The United States Department of Agriculture reporting requirements of the Intermediary Relending Program requires that the audit report be completed within 90 days after year end. Condition: The audit report was not completed within 90 days after year end. Effect: Noncompliance with the reporting requirements. Cause: The audit firm did not complete the audit within 90 days. Generally, federal submission audit requirements for federal funds are within nine months of year end. Recommendation: The audit engagement letter will stipulate the 90-day requirement for audit submission. Views of responsible officials and planned corrective action: The Board of Directors agree with this finding.
Finding 2023-002
2023-002 Criteria: The United States Department of Agriculture reporting requirements of the Intermediary Relending Program requires that the audit report be completed within 90 days after year end. Condition: The audit report was not completed within 90 days after year end. Effect: Noncompliance with the reporting requirements. Cause: The audit firm did not complete the audit within 90 days. Generally, federal submission audit requirements for federal funds are within nine months of year end. Recommendation: The audit engagement letter will stipulate the 90-day requirement for audit submission. Views of responsible officials and planned corrective action: The Board of Directors agree with this finding.