FAC Explorer

Audit 303489

FY End
2023-06-30
Total Expended
$1.04M
Findings
10
Programs
2
Organization: City of Holdenville (OK)
Year: 2023 Accepted: 2024-04-15
Auditor: Arledge and Associates PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
393166 2023-002 Material Weakness - L
393167 2023-002 Material Weakness - L
393168 2023-002 Material Weakness - L
393169 2023-002 Material Weakness - L
393170 2023-002 Material Weakness - L
969608 2023-002 Material Weakness - L
969609 2023-002 Material Weakness - L
969610 2023-002 Material Weakness - L
969611 2023-002 Material Weakness - L
969612 2023-002 Material Weakness - L

Programs

ALN Program Spent Major Findings
20.106 Airport Improvement Program $446,058 Yes 1
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $163,600 - 0

Contacts

Name Title Type
X4NYPP8F1D13 Larry Mitchell Auditee
4053793397 Kency Duarte Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the SEFA are reported on the modified cash basis of accounting. Such expenditures are recognized following, as applicable, either 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 City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (SEFA) includes the federal award activity of the City under programs of the federal government for the year ended June 30, 2023. The information in this SEFA 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). Because the SEFA presents only a selected portion of the operations of City, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the City.
Title: Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the SEFA are reported on the modified cash basis of accounting. Such expenditures are recognized following, as applicable, either 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 City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Expenditures reported on the SEFA are reported on the modified cash basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Indirect Cost Rate Accounting Policies: Expenditures reported on the SEFA are reported on the modified cash basis of accounting. Such expenditures are recognized following, as applicable, either 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 City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Subrecipients Accounting Policies: Expenditures reported on the SEFA are reported on the modified cash basis of accounting. Such expenditures are recognized following, as applicable, either 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 City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. During the year end June 30, 2023, the City did not provide federal awards to subrecipients.
Title: Subsequent Events Accounting Policies: Expenditures reported on the SEFA are reported on the modified cash basis of accounting. Such expenditures are recognized following, as applicable, either 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 City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The City has evaluated the effects of all subsequent events from June 30, 2023 through the report date, which is the date the SEFA was available to be issued, for potential recognition or disclosure in this SEFA. No items of significance were determined.

Finding Details

Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.
Finding 2023-002
Finding 2023-002 – SF-425 Financial Reporting Criteria: The code of federal regulations requires that grantees submit accurate, current, and complete disclosure of the financial results of each federal award or program in accordance with the reporting requirements, set forth in § 200.328 and 200.329. Questioned Costs: None Condition: The City's internal controls over required reporting requirements were not accurately monitored and reviewed to prevent, or detect and correct the current year's actual federal spending. Cause and Effect: The City transitioned into a city manager type of government during fiscal year 2023. In connection with the change in political term, a significant change in personnel occurred during the time of transition affecting the City's internal controls. As a result, expenditures reported in the SF-425 financial reports submitted were understated by a total of approximately $209,000. Recommendation: We recommend that the City implement policies and procedures to ensure accurate reports are submitted to its respective agencies. Management Response: The City agrees with the recommendation. Although inaccuracies are mostly due to change in personnel, management will make a greater effort to submit complete and accurate reports.