Audit 306889

FY End

2023-02-28

Total Expended

$1.23M

Findings

2

Programs

3

Organization: Chicago Humanities Festival (IL)

Year: 2023 Accepted: 2024-05-22

Auditor: Benford Brown & Associates LLC

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
398180	2023-001	Significant Deficiency	-	P
974622	2023-001	Significant Deficiency	-	P

ALN	Program	Spent	Major	Findings
59.075	Shuttered Venue Operators Grant Program	$1.01M	Yes	1
45.164	Promotion of the Humanities_public Programs	$200,000	-	0
45.025	Promotion of the Arts_partnership Agreements	$18,900	-	0

Contacts

Name	Title	Type
XRNLNJW5KF17	Sharon Bechdolt	Auditee
7738994337	Timothy S. Watson	Auditor
No contacts on file

Notes to SEFA

Title: Schedule of Expenditures of Federal Awards Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of the Chicago Humanities Festival (the Festival). 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 the Festival, it is not intended to and does not present the financial position, changes in nest assets, or cash flows of the Festival. The Schedule includes federal funded projects received directly from federal agencies and the federal amount of passthrough awards received by the Festival through non-federal entities. BASIS OF ACCOUNTING The Festival’s summary of significant accounting policies is presented in note 2 in the Festival’s basic financial statements. Amounts reported in the Schedule are recognized following, as applicable, the cost principles in Office of Management and Budget (OMB) A-122 or the cost principles contained in the Uniform Guidance, or other regulatory guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: Y Rate Explanation: The Festival elected to use the 10% de minimis cost rate during fiscal year 2023. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of the Chicago Humanities Festival (the Festival). 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 the Festival, it is not intended to and does not present the financial position, changes in nest assets, or cash flows of the Festival. The Schedule includes federal funded projects received directly from federal agencies and the federal amount of passthrough awards received by the Festival through non-federal entities.BASIS OF ACCOUNTING The Festival’s summary of significant accounting policies is presented in note 2 in the Festival’s basic financial statements. Amounts reported in the Schedule are recognized following, as applicable, the cost principles in Office of Management and Budget (OMB) A-122 or the cost principles contained in the Uniform Guidance, or other regulatory guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement

Finding Details

Finding 2023-001

Compliance Findings Finding 2023-01 Noncompliance with Federal Reporting Requirements Assistance Listing Numbers 59.075 Shuttered Venue Operators Grant Program Federal Agency U.S. Small Business Administration Passthrough Agency Not applicable Award Number/Year 2023 Criteria The Festival has grant agreements from several federal agencies with terms requiring compliance with financial reporting requirements in accordance with Uniform Guidance. As such, for the year ended February 28, 2023, the Festival is required to submit audited financial statements, a schedule of expenditures of federal awards (SEFA) and single audit reports to the Federal Audit Clearinghouse. The due date for submission of the audit package to the Federal Audit Clearinghouse is nine (9) months after the Festival’s fiscal year-end. Condition The Festival did not submit its audited financial statements and SEFA to the Federal Audit Clearinghouse within nine (9) months after February 28, 2023. Cause This condition was due to the Festival experiencing turnover of its Director of Finance position resulting in the oversight of the due date for the single audit for fiscal year 2023. Effect The effect is noncompliance with financial reporting deadlines could cause funding sources for the Festival to suspend funding until compliance is achieved.

Finding 2023-001

Compliance Findings Finding 2023-01 Noncompliance with Federal Reporting Requirements Assistance Listing Numbers 59.075 Shuttered Venue Operators Grant Program Federal Agency U.S. Small Business Administration Passthrough Agency Not applicable Award Number/Year 2023 Criteria The Festival has grant agreements from several federal agencies with terms requiring compliance with financial reporting requirements in accordance with Uniform Guidance. As such, for the year ended February 28, 2023, the Festival is required to submit audited financial statements, a schedule of expenditures of federal awards (SEFA) and single audit reports to the Federal Audit Clearinghouse. The due date for submission of the audit package to the Federal Audit Clearinghouse is nine (9) months after the Festival’s fiscal year-end. Condition The Festival did not submit its audited financial statements and SEFA to the Federal Audit Clearinghouse within nine (9) months after February 28, 2023. Cause This condition was due to the Festival experiencing turnover of its Director of Finance position resulting in the oversight of the due date for the single audit for fiscal year 2023. Effect The effect is noncompliance with financial reporting deadlines could cause funding sources for the Festival to suspend funding until compliance is achieved.