FAC Explorer

Audit 308791

FY End
2022-06-30
Total Expended
$1.32M
Findings
4
Programs
3
Organization: Great Northwest Education Cooperative (ND)
Year: 2022 Accepted: 2024-06-13
Auditor: Brady Martz & Associates PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
400773 2022-004 Significant Deficiency - B
400774 2022-005 Significant Deficiency - L
977215 2022-004 Significant Deficiency - B
977216 2022-005 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.600 Head Start $994,114 Yes 2
84.287 Twenty-First Century Community Learning Centers $199,557 - 0
84.048 Career and Technical Education -- Basic Grants to States $6,000 - 0

Contacts

Name Title Type
SV79JADJYHM3 Ben Schafer Auditee
7016095681 Daryl Heizelman Auditor
No contacts on file

Notes to SEFA

Title: NOTE 3 BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the accompanying schedule of expenditures of federal awards (the “Schedule”) are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Great Northwest Education Coop has not elected to use the 10-percent de minimis cost rate as allowed under the Uniform Guidance. The Schedule includes the federal award activity of Great Northwest Education Coop under programs of the federal government for the year ended June 30, 2022. The information in this schedule is presented in accordance with 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 Coop, it is not intended to and does not present the financial position or change in net position of Great Northwest Education Coop.

Finding Details

Finding 2022-004
2022-004 Approval of Invoices – Significant Deficiency Federal Program: AL 93.600 Head Start Cluster Compliance Requirement: Allowable Costs Criteria: An appropriate system of internal controls requires that the Coop Executive Director review and approve all invoices prior to payment being made. Condition/Context: The Coop’s invoices were not documented as approved prior to payment being made. Cause: Invoices should be reviewed and approved prior to payment being made; however, no documentation was noted. Effect: There is an increased risk of material misstatement to the Coop’s financial statements. Recommendation: The Coop’s Executive Director should document the approval of all invoices. View of responsible officials and corrective actions: We agree with this finding. See corrective action item 2022-004. Questioned Costs: None. Indication of repeat finding: This is not a repeat finding from the prior year.
Finding 2022-005
2022-005 Reporting – Significant Deficiency Federal Program: AL 93.600 Head Start Cluster Compliance Requirement: Reporting Criteria: The Coop is required to file SF-425 - Federal Financial Report. The SF- 425 should report total federal share of expenditures from the inception of the award through the end date of the reporting period. Condition/Context: The Coop filed the SF-425 timely; however, the totals could not be substantiated. Cause: The reported federal share of expenditures per SF-425 do not tie to the accrual basis general ledger. Effect: SF-425 could be erroneously reported. Recommendation: We recommend that the SF-425 federal share of expenditures tie to the accrual basis general ledger. View of responsible officials and corrective actions: We agree with this finding. See corrective action item 2022-005. Questioned Costs: None. Indication of repeat finding: This is not a repeat finding from the prior year.
Finding 2022-004
2022-004 Approval of Invoices – Significant Deficiency Federal Program: AL 93.600 Head Start Cluster Compliance Requirement: Allowable Costs Criteria: An appropriate system of internal controls requires that the Coop Executive Director review and approve all invoices prior to payment being made. Condition/Context: The Coop’s invoices were not documented as approved prior to payment being made. Cause: Invoices should be reviewed and approved prior to payment being made; however, no documentation was noted. Effect: There is an increased risk of material misstatement to the Coop’s financial statements. Recommendation: The Coop’s Executive Director should document the approval of all invoices. View of responsible officials and corrective actions: We agree with this finding. See corrective action item 2022-004. Questioned Costs: None. Indication of repeat finding: This is not a repeat finding from the prior year.
Finding 2022-005
2022-005 Reporting – Significant Deficiency Federal Program: AL 93.600 Head Start Cluster Compliance Requirement: Reporting Criteria: The Coop is required to file SF-425 - Federal Financial Report. The SF- 425 should report total federal share of expenditures from the inception of the award through the end date of the reporting period. Condition/Context: The Coop filed the SF-425 timely; however, the totals could not be substantiated. Cause: The reported federal share of expenditures per SF-425 do not tie to the accrual basis general ledger. Effect: SF-425 could be erroneously reported. Recommendation: We recommend that the SF-425 federal share of expenditures tie to the accrual basis general ledger. View of responsible officials and corrective actions: We agree with this finding. See corrective action item 2022-005. Questioned Costs: None. Indication of repeat finding: This is not a repeat finding from the prior year.