Audit 308908

FY End
2021-12-31
Total Expended
$1.18M
Findings
2
Programs
1
Year: 2021 Accepted: 2024-06-14

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
400880 2021-001 Significant Deficiency - L
977322 2021-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $1.18M Yes 1

Contacts

Name Title Type
QB2DPJHUKNQ9 Eric McIntosh Auditee
8123322265 Peter Szostak Auditor
No contacts on file

Notes to SEFA

Title: 1. BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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. The Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The Corporation did not use the rate. The accompanying schedule of expenditures of federal awards (SEFA) for 2021 includes the federal grant activity of Cedar Village Senior Living (Cedar Village) and is presented on the accrual basis of accounting. The information in the SEFA 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). The basic financial statement classifications may include other financial activity for reporting purposes. Therefore, some of the amounts presented in the SEFA may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Title: 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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. The Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The Corporation did not use the rate. Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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. The Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: 3. SUBRECIPIENT PASS-THROUGH Accounting Policies: Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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. The Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The Corporation did not use the rate. No entities received pass-through federal awards from Cedar Village during 2021.
Title: 4. PROVIDER RELEIF FUNDS Accounting Policies: Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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. The Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The Corporation did not use the rate. Under terms and conditions of the Provider Relief Funds (PRF) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, Cedar Village is required to report COVID-19 related expenses and lost revenue to the Department of Health and Human Services (HHS). Guidance from HHS requires the reporting of the COVID-19 related expenses and lost revenue in certain reporting periods based on when the funds were received rather than when expenditures were incurred. During 2020, Cedar Village received PRF grants of approximately $1,181,000 from the CARES Act and recognized approximately $105,000 and $1,076,000 as revenue during 2021 and 2020 in Cedar Village’s statement of operations and changes in net assets as the terms and conditions of the PRF grant were satisfied by Cedar Village during 2021 and 2020. HHS requires these PRF amounts be reported on Cedar Village’s 2021 SEFA, rather than the 2020 SEFA.
Title: 5. FAIR MARKET VALUE OF DONATED PERSONAL PROTECTIVE EQUIPMENT Accounting Policies: Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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. The Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The Corporation did not use the rate. During 2021, Cedar Village did not receive donated personal protective equipment from federal sources.

Finding Details

2021-001 – Significant Deficiency - Submission of single audit reporting package Criteria – The single audit reporting package is due to the Federal Audit Clearinghouse within nine months after year end. Condition – The single audit reporting package was not submitted within this timeframe. Questioned costs - $-0- Context – Single audit requirements direct the grant recipient to comply with the filing requisites. Effect – The single audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe which resulted in an instance of non-compliance. Cause – Due to the sale of the property in April 2022, management was not clear on the single audit requirements. Recommendation – We recommend that Cedar Village file the single audit reporting package with the Federal Audit Clearinghouse as soon as possible. Views of Responsible Officials and Planned Corrective Action – Management understands the due date for single audit reporting package submission to the Federal Audit Clearinghouse and will file the single audit reporting package as soon as possible.
2021-001 – Significant Deficiency - Submission of single audit reporting package Criteria – The single audit reporting package is due to the Federal Audit Clearinghouse within nine months after year end. Condition – The single audit reporting package was not submitted within this timeframe. Questioned costs - $-0- Context – Single audit requirements direct the grant recipient to comply with the filing requisites. Effect – The single audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe which resulted in an instance of non-compliance. Cause – Due to the sale of the property in April 2022, management was not clear on the single audit requirements. Recommendation – We recommend that Cedar Village file the single audit reporting package with the Federal Audit Clearinghouse as soon as possible. Views of Responsible Officials and Planned Corrective Action – Management understands the due date for single audit reporting package submission to the Federal Audit Clearinghouse and will file the single audit reporting package as soon as possible.