Audit 303562

FY End
2023-06-30
Total Expended
$2.41M
Findings
2
Programs
9
Organization: Trinity Services, Inc. (IL)
Year: 2023 Accepted: 2024-04-15

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
393276 2023-001 Significant Deficiency - L
969718 2023-001 Significant Deficiency - L

Contacts

Name Title Type
GBMFWYPRBEX5 Bob Taylor Auditee
8153207190 Tom Gols Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - GENERAL 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: Y Rate Explanation: The auditee used the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Trinity Services, Inc. under programs of the federal government for the year ended June 30, 2023. 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). Because the Schedule presents only a selected portion of the operations of Trinity Services, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Trinity Services, Inc.
Title: NOTE 2 - 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: Y Rate Explanation: The auditee used the de minimis 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 allowable or are limited as to reimbursement.
Title: NOTE 3 – INDIRECT COST RATE 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: Y Rate Explanation: The auditee used the de minimis cost rate. Trinity Services, Inc. has elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE 4 – NON-CASH ASSISTANCE 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: Y Rate Explanation: The auditee used the de minimis cost rate. None of the Federal awards were expended in the form of non-cash assistance.
Title: NOTE 5 - LOANS AND LOAN GUARANTEES 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: Y Rate Explanation: The auditee used the de minimis cost rate. There were no loans or loan guarantees outstanding at June 30, 2023.
Title: NOTE 6 - SUBRECIPIENT PASS-THROUGH FUNDS 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: Y Rate Explanation: The auditee used the de minimis cost rate. The Organization did not pass-through any funds to subrecipients.
Title: NOTE 7 – PROGRAM COST/MATCHING CONTRIBUTIONS 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: Y Rate Explanation: The auditee used the de minimis cost rate. The amounts shown as current year expenses represent only the federal/state/local grant portion of the program costs. Entire program costs, including the Organization’s portion, may be more than shown.

Finding Details

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Provider Relief Funds Assistance Listing Number: 93.498 Federal Award Number: N/A Compliance Requirements: Activities Allowed or Unallowed, Allowable Costs/Cost Principles, Reporting Type of Finding: Incorrectly Submitted Records Criteria: Uniform Guidance 200.403 requires federally funded organizations spend federal dollars on allowable costs. Condition: For the year ended June 30, 2023, we reviewed the Payroll Support file and noted that three employees had duplicate payment requests. Cause: Program staff used incorrect amounts from the payroll register reports. The staff appeared to use duplicate amounts for regular and overtime pay calculations. Effect or Potential Effect: Resulted in the Organization charging three employees’ salaries in excess of their actual amounts. Questioned Costs: $13,000 Context: 97 of 164 payroll transactions selected for testing (Of the $413,058 reported as payroll expense, $13,000 represented duplicate expenditures). Repeat Finding: No Recommendation: The Organization’s program staff and management should ensure that the amounts expended are correctly stated and reviewed before submission of expenditures. Views of Responsible Official: Management of Trinity Services Inc. concurs with the audit finding. The individual preparing the Payroll Support file this year made clerical errors.
Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Provider Relief Funds Assistance Listing Number: 93.498 Federal Award Number: N/A Compliance Requirements: Activities Allowed or Unallowed, Allowable Costs/Cost Principles, Reporting Type of Finding: Incorrectly Submitted Records Criteria: Uniform Guidance 200.403 requires federally funded organizations spend federal dollars on allowable costs. Condition: For the year ended June 30, 2023, we reviewed the Payroll Support file and noted that three employees had duplicate payment requests. Cause: Program staff used incorrect amounts from the payroll register reports. The staff appeared to use duplicate amounts for regular and overtime pay calculations. Effect or Potential Effect: Resulted in the Organization charging three employees’ salaries in excess of their actual amounts. Questioned Costs: $13,000 Context: 97 of 164 payroll transactions selected for testing (Of the $413,058 reported as payroll expense, $13,000 represented duplicate expenditures). Repeat Finding: No Recommendation: The Organization’s program staff and management should ensure that the amounts expended are correctly stated and reviewed before submission of expenditures. Views of Responsible Official: Management of Trinity Services Inc. concurs with the audit finding. The individual preparing the Payroll Support file this year made clerical errors.