FAC Explorer

Audit 315626

FY End
2023-12-31
Total Expended
$1.53M
Findings
18
Programs
3
Organization: City of Ruhmore (MN)
Year: 2023 Accepted: 2024-07-22
Auditor: Carlsonsv LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
479129 2023-001 Material Weakness Yes P
479130 2023-002 Significant Deficiency Yes P
479131 2023-003 Significant Deficiency Yes P
479132 2023-001 Material Weakness Yes P
479133 2023-002 Significant Deficiency Yes P
479134 2023-003 Significant Deficiency Yes P
479135 2023-001 Material Weakness Yes P
479136 2023-002 Significant Deficiency Yes P
479137 2023-003 Significant Deficiency Yes P
1055571 2023-001 Material Weakness Yes P
1055572 2023-002 Significant Deficiency Yes P
1055573 2023-003 Significant Deficiency Yes P
1055574 2023-001 Material Weakness Yes P
1055575 2023-002 Significant Deficiency Yes P
1055576 2023-003 Significant Deficiency Yes P
1055577 2023-001 Material Weakness Yes P
1055578 2023-002 Significant Deficiency Yes P
1055579 2023-003 Significant Deficiency Yes P

Programs

ALN Program Spent Major Findings
10.760 Water and Waste Disposal Systems for Rural Communities $1.17M Yes 3
97.044 Assistance to Firefighters Grant $314,571 - 3
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $50,413 - 3

Contacts

Name Title Type
KN2EDEBLNFV3 Shannon Bendt Auditee
5074784338 Dean Birkeland Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 – BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles of the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimus indirect cost rate allowed under Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal grant activity of City of Rushmore for the year ended December 31, 2023. The reporting entity is defined in Note 1 to the City’s basic financial statements. 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. Because the schedule presents only a selected portion of the operations, it is not intended to and does not present the net position, changes in net position, or cash flows of the City of Rushmore.
Title: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles of the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimus indirect cost rate allowed under Uniform Guidance. Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles of the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
Title: NOTE 3 – INDIRECT COST RATE Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles of the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimus indirect cost rate allowed under Uniform Guidance. The City has elected not to use the 10% de minimus indirect cost rate allowed under Uniform Guidance.

Finding Details

Finding 2023-001
Management’s Response and Actions Planned: The City’s management is aware of the adjustments necessary to present GAAP basis financial statements, but also recognizes the limits in expertise within the City that makes it difficult to make all necessary adjustments.
Finding 2023-002
Monitoring the effectiveness of the above actions and make changes as considered appropriate.
Finding 2023-003
Management’s Response and Actions Planned: The City’s management is aware of this significant deficiency. Management reviews and approves the draft annual audited financial statements and distributes them to the users. For entities of this size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Management recognizes this and feels it is effectively handling its reporting responsibilities with the procedures described above.
Finding 2023-001
Management’s Response and Actions Planned: The City’s management is aware of the adjustments necessary to present GAAP basis financial statements, but also recognizes the limits in expertise within the City that makes it difficult to make all necessary adjustments.
Finding 2023-002
Monitoring the effectiveness of the above actions and make changes as considered appropriate.
Finding 2023-003
Management’s Response and Actions Planned: The City’s management is aware of this significant deficiency. Management reviews and approves the draft annual audited financial statements and distributes them to the users. For entities of this size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Management recognizes this and feels it is effectively handling its reporting responsibilities with the procedures described above.
Finding 2023-001
Management’s Response and Actions Planned: The City’s management is aware of the adjustments necessary to present GAAP basis financial statements, but also recognizes the limits in expertise within the City that makes it difficult to make all necessary adjustments.
Finding 2023-002
Monitoring the effectiveness of the above actions and make changes as considered appropriate.
Finding 2023-003
Management’s Response and Actions Planned: The City’s management is aware of this significant deficiency. Management reviews and approves the draft annual audited financial statements and distributes them to the users. For entities of this size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Management recognizes this and feels it is effectively handling its reporting responsibilities with the procedures described above.
Finding 2023-001
Management’s Response and Actions Planned: The City’s management is aware of the adjustments necessary to present GAAP basis financial statements, but also recognizes the limits in expertise within the City that makes it difficult to make all necessary adjustments.
Finding 2023-002
Monitoring the effectiveness of the above actions and make changes as considered appropriate.
Finding 2023-003
Management’s Response and Actions Planned: The City’s management is aware of this significant deficiency. Management reviews and approves the draft annual audited financial statements and distributes them to the users. For entities of this size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Management recognizes this and feels it is effectively handling its reporting responsibilities with the procedures described above.
Finding 2023-001
Management’s Response and Actions Planned: The City’s management is aware of the adjustments necessary to present GAAP basis financial statements, but also recognizes the limits in expertise within the City that makes it difficult to make all necessary adjustments.
Finding 2023-002
Monitoring the effectiveness of the above actions and make changes as considered appropriate.
Finding 2023-003
Management’s Response and Actions Planned: The City’s management is aware of this significant deficiency. Management reviews and approves the draft annual audited financial statements and distributes them to the users. For entities of this size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Management recognizes this and feels it is effectively handling its reporting responsibilities with the procedures described above.
Finding 2023-001
Management’s Response and Actions Planned: The City’s management is aware of the adjustments necessary to present GAAP basis financial statements, but also recognizes the limits in expertise within the City that makes it difficult to make all necessary adjustments.
Finding 2023-002
Monitoring the effectiveness of the above actions and make changes as considered appropriate.
Finding 2023-003
Management’s Response and Actions Planned: The City’s management is aware of this significant deficiency. Management reviews and approves the draft annual audited financial statements and distributes them to the users. For entities of this size, it generally is not practical to obtain the internal expertise needed to handle all aspects of the external financial reporting. Management recognizes this and feels it is effectively handling its reporting responsibilities with the procedures described above.