FAC Explorer

Audit 308504

FY End
2021-12-31
Total Expended
$1.06M
Findings
4
Programs
1
Organization: Recreation & Park Commission for Parish of East Baton Rouge (LA)
Year: 2021 Accepted: 2024-06-10
Auditor: Eisneramper

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
400511 2021-004 Significant Deficiency - A
400512 2021-005 Significant Deficiency - L
976953 2021-004 Significant Deficiency - A
976954 2021-005 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.06M Yes 2

Contacts

Name Title Type
SEW4N6NT34A6 Don Johnson Auditee
2252729200 Rodney Combs Auditor
No contacts on file

Notes to SEFA

Title: Amounts Passed Through to Subrecipients Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Recreation and Park Commission for the Parish of East Baton Rouge (the Commission) and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2021, the Commission did not elect to use the 10% de minimis cost rate as covered in §200.414 of the Uniform Guidance. During the year ended December 31, 2021, the Commission did not pass through any federal funding to subrecipients.
Title: Reconciliation to the Basic Financial Statements Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Recreation and Park Commission for the Parish of East Baton Rouge (the Commission) and is presented on the modified accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2021, the Commission did not elect to use the 10% de minimis cost rate as covered in §200.414 of the Uniform Guidance. The federal grant expenditures are reported within the various expenditure categories of the appropriate funds and are not readily distinguishable to the Schedule of Expenditures of Federal Awards. However, revenue is generally recorded for these grants in an amount equal to allowable costs incurred and therefore the following reconciliation to reported federal grant revenue is provided: Total expenditures per SEFA $ 1,063,309 Plus non-federal grant revenue 101,178 Total grant revenues per financial statements $ 1,164,487

Finding Details

Finding 2021-004
Criteria: The Uniform Guidance requires written policies and procedures documenting how the organization determines the allowable costs eligible for reimbursement with federal funds as well as written policies and procedures documenting how the organization complies with the federal procurement standards. Condition: BREC does not currently maintain written policies and procedures for determining allowable costs and compliance with procurement requirements in accordance with 2 CFR 200.318-326. Questioned Costs: Not applicable. Cause: Written policies and procedures over allowable costs and procurement have not been developed. Effect: Written policies and procedures over allowable costs and procurement are not available to guide staff responsible for federal expenditures. Recommendation: We recommend that BREC develop written policies and procedures for determining allowable costs and for procurement under the Uniform Guidance. Management’s Response & Corrective Plan: (Unaudited) • While BREC currently does not have any federal expenses identified as unallowable costs applicable to this finding, a written SOP will be developed for determining allowable costs and procurement requirements in accordance with the applicable CFR to guide key finance staff with responsibility for federally eligible expenditures. o Anticipated Completion Date: July 31, 2024 o Responsable Contact Person: Rhonda Williams
Finding 2021-005
The Office of Management and Budget (OMB) designated the Census Bureau as the National Clearinghouse (or Federal Audit Clearinghouse (FAC) for the receipt of Single Audit Reports from state and local governments (later to include nonprofit organizations). In this capacity, the Census Bureau serves as the central collection point and repository for audit reports prepared and submitted under provisions of the Single Audit Act of 1984 (amended in 1996), and Uniform Guidance. States, local governments, Indian Tribes or Tribal Organizations, institutions of higher education (IHEs), and nonprofit organizations that annually expend $750,000 or more in federal awards must perform a Single Audit and complete Form SFSAC for every fiscal period during which they meet the reporting dollar threshold. The central collection point for single audit reports is the Federal Audit Clearing House Internet Data Entry System (IDES) website. Without any waivers, the report is due no later than nine months after an entity’s year end. Condition: The single audit report with the Federal Audit Clearing House was not submitted in the timeline established by regulation. Questioned Costs: Not applicable. Cause: A software conversion and turnover in key staff resulted in general ledger accounts not being reconciled timely. This resulted in the performance of the singe audit being delayed. Effect: The lack of timely filing may result in delays or denial of federal grant assistance. Recommendation: The federal data collection form should be filed timely. Management’s Response & Corrective Plan: (Unaudited) • While BREC currently does not have any questioned costs applicable to this finding, we have initiated the advertisement for professional level accountants to fill key staff positions to ensure monthly reconciliations of bank accounts in order for the single audit to be performed, which will ultimately allow for timely submission of the Single Audit Report moving forward. o Anticipated Completion Date: September 30, 2024 o Responsable Contact Person: Rhonda Williams
Finding 2021-004
Criteria: The Uniform Guidance requires written policies and procedures documenting how the organization determines the allowable costs eligible for reimbursement with federal funds as well as written policies and procedures documenting how the organization complies with the federal procurement standards. Condition: BREC does not currently maintain written policies and procedures for determining allowable costs and compliance with procurement requirements in accordance with 2 CFR 200.318-326. Questioned Costs: Not applicable. Cause: Written policies and procedures over allowable costs and procurement have not been developed. Effect: Written policies and procedures over allowable costs and procurement are not available to guide staff responsible for federal expenditures. Recommendation: We recommend that BREC develop written policies and procedures for determining allowable costs and for procurement under the Uniform Guidance. Management’s Response & Corrective Plan: (Unaudited) • While BREC currently does not have any federal expenses identified as unallowable costs applicable to this finding, a written SOP will be developed for determining allowable costs and procurement requirements in accordance with the applicable CFR to guide key finance staff with responsibility for federally eligible expenditures. o Anticipated Completion Date: July 31, 2024 o Responsable Contact Person: Rhonda Williams
Finding 2021-005
The Office of Management and Budget (OMB) designated the Census Bureau as the National Clearinghouse (or Federal Audit Clearinghouse (FAC) for the receipt of Single Audit Reports from state and local governments (later to include nonprofit organizations). In this capacity, the Census Bureau serves as the central collection point and repository for audit reports prepared and submitted under provisions of the Single Audit Act of 1984 (amended in 1996), and Uniform Guidance. States, local governments, Indian Tribes or Tribal Organizations, institutions of higher education (IHEs), and nonprofit organizations that annually expend $750,000 or more in federal awards must perform a Single Audit and complete Form SFSAC for every fiscal period during which they meet the reporting dollar threshold. The central collection point for single audit reports is the Federal Audit Clearing House Internet Data Entry System (IDES) website. Without any waivers, the report is due no later than nine months after an entity’s year end. Condition: The single audit report with the Federal Audit Clearing House was not submitted in the timeline established by regulation. Questioned Costs: Not applicable. Cause: A software conversion and turnover in key staff resulted in general ledger accounts not being reconciled timely. This resulted in the performance of the singe audit being delayed. Effect: The lack of timely filing may result in delays or denial of federal grant assistance. Recommendation: The federal data collection form should be filed timely. Management’s Response & Corrective Plan: (Unaudited) • While BREC currently does not have any questioned costs applicable to this finding, we have initiated the advertisement for professional level accountants to fill key staff positions to ensure monthly reconciliations of bank accounts in order for the single audit to be performed, which will ultimately allow for timely submission of the Single Audit Report moving forward. o Anticipated Completion Date: September 30, 2024 o Responsable Contact Person: Rhonda Williams