FAC Explorer

Audit 308111

FY End
2023-09-30
Total Expended
$1.21M
Findings
2
Programs
7
Organization: Northfield Healthy Community Initiative (MN)
Year: 2023 Accepted: 2024-06-05
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
399954 2023-002 Significant Deficiency - B
976396 2023-002 Significant Deficiency - B

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $155,375 Yes 0
93.575 Child Care and Development Block Grant $152,255 Yes 1
93.959 Block Grants for Prevention and Treatment of Substance Abuse $56,241 - 0
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $43,704 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $26,609 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $13,661 - 0
93.434 Every Student Succeeds Act/preschool Development Grants $3,277 - 0

Contacts

Name Title Type
MWWLGLEQYSN8 Sandy Malecha Auditee
5076643524 Lindsay Tweeten Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the schedule are reported on the basis of accounting principles generally accepted in the United States of America. 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. Negative amounts shown on the schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: Y Rate Explanation: Northfield Healthy Community Initiative has elected to use the approved de minimis indirect cost rate of 10% under the Friends, Family, Neighbors grant and Ignite grant. The Organization has elected to use the approved indirect cost rate of 8% under the Parent Child+ grant. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of the Organization under programs of the federal government for the year ended September 30, 2023. The information in this schedule is presented in accordance with the requirements of Title 2 US. 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 Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.

Finding Details

Finding 2023-002
2023-002: Indirect Costs Federal Agency: U.S. Department of Health and Human Services Federal Program: Child Care and Development Block Grant Federal Assistance Listing Number: 93.575 Pass-Through Agency: MN Department of Health and Human Services Pass-Through Number(s): None Award Period: March 7, 2022 through September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per Uniform Guidance 200.214 Indirect Costs, the Organization is subject to indirect cost regulations and uses the de minimis cost rate. The Organization’s internal control structure requires approval of calculation of indirect costs prior to submission of reimbursement requests. Condition: There was no documentation of approval of calculation of indirect costs retained. Questioned costs: None Context: For a one out of three indirect cost disbursements tested there was no documentation of approval of reimbursement requests retained. Cause: The process in place for reviewing monthly reports prior to submission was not consistently effective. Effect: Without consistency of procedure in place, there is a heightened risk that drawdowns could be made that are incorrectly calculated, or an erroneous amount not supported by expenditures made by the Organization. Repeat Finding: No Recommendation: We recommend the Organization follow their process to approve reimbursement requests prior to submission and retain documentation of such approval. Views of responsible officials and planned corrective actions: There is no disagreement with the finding.
Finding 2023-002
2023-002: Indirect Costs Federal Agency: U.S. Department of Health and Human Services Federal Program: Child Care and Development Block Grant Federal Assistance Listing Number: 93.575 Pass-Through Agency: MN Department of Health and Human Services Pass-Through Number(s): None Award Period: March 7, 2022 through September 30, 2023 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Per Uniform Guidance 200.214 Indirect Costs, the Organization is subject to indirect cost regulations and uses the de minimis cost rate. The Organization’s internal control structure requires approval of calculation of indirect costs prior to submission of reimbursement requests. Condition: There was no documentation of approval of calculation of indirect costs retained. Questioned costs: None Context: For a one out of three indirect cost disbursements tested there was no documentation of approval of reimbursement requests retained. Cause: The process in place for reviewing monthly reports prior to submission was not consistently effective. Effect: Without consistency of procedure in place, there is a heightened risk that drawdowns could be made that are incorrectly calculated, or an erroneous amount not supported by expenditures made by the Organization. Repeat Finding: No Recommendation: We recommend the Organization follow their process to approve reimbursement requests prior to submission and retain documentation of such approval. Views of responsible officials and planned corrective actions: There is no disagreement with the finding.