FAC Explorer

Audit 307669

FY End
2023-06-30
Total Expended
$1.15M
Findings
4
Programs
4
Organization: Wallowa Valley Center for Wellness (OR)
Year: 2023 Accepted: 2024-05-30
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
399052 2023-003 Material Weakness - I
399053 2023-004 Significant Deficiency - L
975494 2023-003 Material Weakness - I
975495 2023-004 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.829 Demonstration Programs to Improve Community Mental Health Services $889,870 Yes 2
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $171,000 - 0
93.958 Block Grants for Community Mental Health Services $69,633 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $20,953 - 0

Contacts

Name Title Type
KM8WBEFJ48A5 Johna Alford Auditee
5414264524 Barry Weber Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - BASIS OF PRESENTATION Accounting Policies: Expenditures reported in the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimus cost rate. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of the Wallowa Valley Center for Wellness (the Organization) under programs of the federal government for the year ended June 30, 2023. The information 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 Wallowa Valley Center for Wellness, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the organization.
Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported in the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimus cost rate. Expenditures reported in the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient.
Title: NOTE 3 - INDIRECT COST RATE Accounting Policies: Expenditures reported in the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimus cost rate. The Organization does not draw for indirect administrative expenses and has not elected to use the 10% de minimus cost rate.

Finding Details

Finding 2023-003
U.S. Department of Health and Human Services Section 223 Demonstration Programs to Improve Community Mental Health Services, Assistance Listing #93.829 Procurement and Suspension and Debarment Material Weakness in Internal Control over Compliance and Material Non‐Compliance - Grant Award Number 6H79SM083045‐01M004 Criteria - The OMB Compliance Supplement requires that entities receiving federal funding have a documented policy for procurement and for assessing suspension and debarment. Condition - Wallowa Valley Center for Wellness does not have a formally documented procurement policy nor does the organization have written procedures for assessing suspension and debarment. Cause - Wallowa Valley Center for Wellness did not have adequate internal controls to ensure a formally documented procurement policy with provisions for assessing suspension and debarment existed. Effect - There are not stated processes and policies for ensuring compliance with procurement and suspension and debarment. Questioned Costs - None Repeat Finding from Prior Year - No Recommendation - We recommend Wallowa Valley Center for Wellness formalize a procurement policy that contains provisions for purchasing thresholds and for assessing suspension and debarment as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Views of Responsible Officials - Management agrees with the finding.
Finding 2023-004
U.S. Department of Health and Human Services Section 223 Demonstration Programs to Improve Community Mental Health Services, Assistance Listing #93.829 Reporting Significant Deficiency in Internal Control over Compliance Grant Award Number - 6H79SM083045‐01M004 Criteria - The OMB Compliance Supplement requires that reports submitted to the federal awarding agency include all activity of the reporting period, are supported by applicable accounting or performance records, and are fairly presented in accordance with governing requirements. Wallowa Valley Center for Wellness must submit annual Federal Financial Report that contain costs incurred during the covered period. Certain critical information includes: *cash receipts *Cash disbursements *Total federal funds authorized *Federal share of expenditures *Total federal share Condition - Obligation information was reported inaccurately and after the required submission date. Cause - Wallowa Valley Center for Wellness did not have adequate internal controls to ensure the annual Federal Financial Report was prepared in accordance with governing requirements as payroll expenditures that occurred after the report cutoff were submitted and the report was submitted after the required submission date. Effect - Inaccurate and untimely information was reported to the federal awarding agency. Questioned Costs - None Context/Sampling - This was the sole financial report submitted during the period. As such, the reporting inaccuracy is isolated and immaterial. Repeat Finding from Prior Year - No. Recommendation - We recommend Wallowa Valley Center for Wellness enhance internal controls to ensure Federal Financial Reports are prepared in accordance with governing requirements through using actual obligations, rather than estimated, and that they are submitted by the reporting deadline. Views of Responsible Officials - Management agrees with the finding.
Finding 2023-003
U.S. Department of Health and Human Services Section 223 Demonstration Programs to Improve Community Mental Health Services, Assistance Listing #93.829 Procurement and Suspension and Debarment Material Weakness in Internal Control over Compliance and Material Non‐Compliance - Grant Award Number 6H79SM083045‐01M004 Criteria - The OMB Compliance Supplement requires that entities receiving federal funding have a documented policy for procurement and for assessing suspension and debarment. Condition - Wallowa Valley Center for Wellness does not have a formally documented procurement policy nor does the organization have written procedures for assessing suspension and debarment. Cause - Wallowa Valley Center for Wellness did not have adequate internal controls to ensure a formally documented procurement policy with provisions for assessing suspension and debarment existed. Effect - There are not stated processes and policies for ensuring compliance with procurement and suspension and debarment. Questioned Costs - None Repeat Finding from Prior Year - No Recommendation - We recommend Wallowa Valley Center for Wellness formalize a procurement policy that contains provisions for purchasing thresholds and for assessing suspension and debarment as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Views of Responsible Officials - Management agrees with the finding.
Finding 2023-004
U.S. Department of Health and Human Services Section 223 Demonstration Programs to Improve Community Mental Health Services, Assistance Listing #93.829 Reporting Significant Deficiency in Internal Control over Compliance Grant Award Number - 6H79SM083045‐01M004 Criteria - The OMB Compliance Supplement requires that reports submitted to the federal awarding agency include all activity of the reporting period, are supported by applicable accounting or performance records, and are fairly presented in accordance with governing requirements. Wallowa Valley Center for Wellness must submit annual Federal Financial Report that contain costs incurred during the covered period. Certain critical information includes: *cash receipts *Cash disbursements *Total federal funds authorized *Federal share of expenditures *Total federal share Condition - Obligation information was reported inaccurately and after the required submission date. Cause - Wallowa Valley Center for Wellness did not have adequate internal controls to ensure the annual Federal Financial Report was prepared in accordance with governing requirements as payroll expenditures that occurred after the report cutoff were submitted and the report was submitted after the required submission date. Effect - Inaccurate and untimely information was reported to the federal awarding agency. Questioned Costs - None Context/Sampling - This was the sole financial report submitted during the period. As such, the reporting inaccuracy is isolated and immaterial. Repeat Finding from Prior Year - No. Recommendation - We recommend Wallowa Valley Center for Wellness enhance internal controls to ensure Federal Financial Reports are prepared in accordance with governing requirements through using actual obligations, rather than estimated, and that they are submitted by the reporting deadline. Views of Responsible Officials - Management agrees with the finding.