Audit 31541

FY End
2022-12-31
Total Expended
$1.08M
Findings
24
Programs
4
Organization: Opportunity Alabama, Inc. (AL)
Year: 2022 Accepted: 2023-07-28
Auditor: Bmss LLC

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
32918 2022-001 Material Weakness - P
32919 2022-002 Material Weakness - C
32920 2022-003 Significant Deficiency - I
32921 2022-001 Material Weakness - P
32922 2022-002 Material Weakness - C
32923 2022-003 Significant Deficiency - I
32924 2022-001 Material Weakness - P
32925 2022-002 Material Weakness - C
32926 2022-003 Significant Deficiency - I
32927 2022-001 Material Weakness - P
32928 2022-002 Material Weakness - C
32929 2022-003 Significant Deficiency - I
609360 2022-001 Material Weakness - P
609361 2022-002 Material Weakness - C
609362 2022-003 Significant Deficiency - I
609363 2022-001 Material Weakness - P
609364 2022-002 Material Weakness - C
609365 2022-003 Significant Deficiency - I
609366 2022-001 Material Weakness - P
609367 2022-002 Material Weakness - C
609368 2022-003 Significant Deficiency - I
609369 2022-001 Material Weakness - P
609370 2022-002 Material Weakness - C
609371 2022-003 Significant Deficiency - I

Programs

Contacts

Name Title Type
F8MKNHNDNCV8 Megan Warren Auditee
5418917100 Daniel Brock Auditor
No contacts on file

Notes to SEFA

Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Opportunity Alabama, Inc. (the Organization) under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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, change in net assets, or cash flows of the Organization. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. Expenditures reported on the Schedule 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.

Finding Details

Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.
Finding 2022-001 Lack of Approval Process for Disbursements Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including proper approval for payments. Condition: During the audit, we noted that thirteen of twenty-five transactions selected for cash disbursement testing lacked proof of approval for payment. Cause: The Organization?s procedures related to the approval process were not adequate to properly authorize transactions. Effect: As a result, BMSS was therefore unable to determine if authorization had occurred for the transaction in question. Recommendation: We recommend that a form or process be developed to ensure that disbursements are approved for payment. This will ensure that funds are used for appropriate purposes accordance with grant provisions.
Finding 2022-002 Timely Submittal of Reimbursement Reports and Cutoff Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including timely submittal of reimbursement reports and cutoff. Condition: During the audit, we noted one grant reimbursement report was submitted five months after the reimbursement period ended. Effect: The expenses associated with this reimbursement were not appropriately considered for year-end cutoff resulting in a prior period adjustment. Recommendation: We recommend reimbursement reports be submitted in a timely manner and that a record be maintained of all open reimbursement periods.
Finding 2022-003 Lack of Controls over Vendor Master File Criteria: The Organization?s management is responsible for proper internal control over financial reporting, including having controls over the vendor master file. Condition: During the audit, we noted that there are no controls or oversight of the vendor master file. Effect: No controls over the vendor master file could allow for misstatements that would not be detected or corrected on a timely basis. Recommendation: We recommend a policy be developed to ensure that any changes to the vendor master file are approved by another employee of the Organization.