Audit 305796

FY End
2023-06-30
Total Expended
$1.19M
Findings
2
Programs
6
Organization: Brenda Thibeault (CT)
Year: 2023 Accepted: 2024-05-08

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
396170 2023-001 Significant Deficiency - ABCL
972612 2023-001 Significant Deficiency - ABCL

Contacts

Name Title Type
T4AMGKLWF7L4 Angela Duhaime Auditee
8608482800 Stacey Gualtieri Auditor
No contacts on file

Notes to SEFA

Title: ACCOUNTING BASIS - BASIC FINANCIAL STATEMENTS Accounting Policies: THE ACCOUNTING POLICIES CONFORM TO ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA AS APPLICABLE TO NONPROFIT ORGANIZATIONS De Minimis Rate Used: N Rate Explanation: SOUTHEASTERN REGIONAL ACTION COUNCIL, INC. HAS ELECTED NOT TO USE THE 10 PERCENT DE MINIMUS INDIRECT COST RATE ALLOWED UNDER THE UNIFORM GUIDANCE. The accounting policies of Southeastern Regional Action Council, Inc. conform to accounting principles generally accepted in the United States of America as applicable to nonprofit organizations.
Title: ACCOUNTING BASIS - SCHEDULE OF FEDERAL AWARDS Accounting Policies: THE ACCOUNTING POLICIES CONFORM TO ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA AS APPLICABLE TO NONPROFIT ORGANIZATIONS De Minimis Rate Used: N Rate Explanation: SOUTHEASTERN REGIONAL ACTION COUNCIL, INC. HAS ELECTED NOT TO USE THE 10 PERCENT DE MINIMUS INDIRECT COST RATE ALLOWED UNDER THE UNIFORM GUIDANCE. The accompanying schedule of expenditures of federal awards has been prepared on the accrual basis consistent with the preparation of the financial statements. Information included in the schedule of expenditures of federal awards is presented in accordance with the requirements of the Uniform Guidance. For cost reimbursement awards, revenues are recognized to the extent of expenditures. Expenditures have been recognized to the extent the related obligation was incurred within the applicable grant period and liquidated within 90 days after the end of the grant period. For performance-based awards, revenues are recognized to the extent of performance achieved during the grant period.
Title: ACCOUNTING BASIS - COST ALLOCATION PRINCIPLES Accounting Policies: THE ACCOUNTING POLICIES CONFORM TO ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA AS APPLICABLE TO NONPROFIT ORGANIZATIONS De Minimis Rate Used: N Rate Explanation: SOUTHEASTERN REGIONAL ACTION COUNCIL, INC. HAS ELECTED NOT TO USE THE 10 PERCENT DE MINIMUS INDIRECT COST RATE ALLOWED UNDER THE UNIFORM GUIDANCE. Southeastern Regional Action Council, Inc. has elected not to use the 10 percent de minimus indirect cost rate allowed under the Uniform Guidance.
Title: OTHER FEDERAL ASSISTANCE Accounting Policies: THE ACCOUNTING POLICIES CONFORM TO ACCOUNTING PRINCIPLES GENERALLY ACCEPTED IN THE UNITED STATES OF AMERICA AS APPLICABLE TO NONPROFIT ORGANIZATIONS De Minimis Rate Used: N Rate Explanation: SOUTHEASTERN REGIONAL ACTION COUNCIL, INC. HAS ELECTED NOT TO USE THE 10 PERCENT DE MINIMUS INDIRECT COST RATE ALLOWED UNDER THE UNIFORM GUIDANCE. Southeastern Regional Action Council, Inc. did not receive other federal assistance in the form of insurance, loans, or loan guarantees.

Finding Details

Criteria: Non-federal agencies must minimize the time elapsing between the transfer of funds from the US Treasury and disbursement by the non-federal entity for direct program and the proportionate share of allowable indirect costs. Condition: The organization was drawing funding every quarter based on the funding percentage for the quarter without regard for the disbursement of funds. Cause: Finance personnel were not aware of this requirement and drew down funding quarterly on a pro-rata basis. Effect: The funds were held in an account with a nominal amount of interest earned. Interest earnings on the account were $16. Questioned costs: There were no questioned costs. Recommendation: The finance personnel become familiar with the federal compliance supplement as it relates to cash management and only initiate a draw down when federal funds are expended.
Criteria: Non-federal agencies must minimize the time elapsing between the transfer of funds from the US Treasury and disbursement by the non-federal entity for direct program and the proportionate share of allowable indirect costs. Condition: The organization was drawing funding every quarter based on the funding percentage for the quarter without regard for the disbursement of funds. Cause: Finance personnel were not aware of this requirement and drew down funding quarterly on a pro-rata basis. Effect: The funds were held in an account with a nominal amount of interest earned. Interest earnings on the account were $16. Questioned costs: There were no questioned costs. Recommendation: The finance personnel become familiar with the federal compliance supplement as it relates to cash management and only initiate a draw down when federal funds are expended.