FAC Explorer

Audit 317722

FY End
2021-12-31
Total Expended
$6.11M
Findings
12
Programs
3
Organization: Atlantic County Improvement Authority (NJ)
Year: 2021 Accepted: 2024-08-22
Auditor: Holman Frenia Allison PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
484788 2021-001 Significant Deficiency - A
484789 2021-002 Significant Deficiency - A
484790 2021-003 Significant Deficiency - A
484791 2021-001 Significant Deficiency - A
484792 2021-002 Significant Deficiency - A
484793 2021-003 Significant Deficiency - A
1061230 2021-001 Significant Deficiency - A
1061231 2021-002 Significant Deficiency - A
1061232 2021-003 Significant Deficiency - A
1061233 2021-001 Significant Deficiency - A
1061234 2021-002 Significant Deficiency - A
1061235 2021-003 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
14.218 Community Development Block Grants/entitlement Grants $1.90M - 0
21.023 Emergency Rental Assistance Program $231,030 Yes 3
14.239 Home Investment Partnerships Program $18,994 - 0

Contacts

Name Title Type
FRMBT85J98V6 Jessica Wheeley Auditee
6093432180 Evan Jensen Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: The accompanying schedules of expenditures of federal awards is presented using the accrual basis of accounting. The information in the schedule is presented in accordance with the 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). 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: The Authority does not have negotiated indirect cost rate, nor has it elected to use the 10% de minimis indirect cost rate. The accompanying schedule of expenditures of federal awards present the activity of all federal award programs of the Authority. The Authority is defined in Note 1 of the basic financial statements. The information in these schedules is presented in accordance with the 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). All federal awards received directly from federal agencies, as well as federal awards passed through other government agencies is included on the schedule of expenditures of federal awards.
Title: SUB-RECIPIENTS Accounting Policies: The accompanying schedules of expenditures of federal awards is presented using the accrual basis of accounting. The information in the schedule is presented in accordance with the 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). 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: The Authority does not have negotiated indirect cost rate, nor has it elected to use the 10% de minimis indirect cost rate. The Authority provided no federal assistance to sub-recipients for the year ended December 31, 2021.
Title: RELATIONSHIP TO FEDERAL REPORTS Accounting Policies: The accompanying schedules of expenditures of federal awards is presented using the accrual basis of accounting. The information in the schedule is presented in accordance with the 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). 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: The Authority does not have negotiated indirect cost rate, nor has it elected to use the 10% de minimis indirect cost rate. Amounts reported in the accompanying schedules agree with the amounts reported in the related federal financial reports.
Title: FEDERAL AND STATE LOANS OUTSTANDING Accounting Policies: The accompanying schedules of expenditures of federal awards is presented using the accrual basis of accounting. The information in the schedule is presented in accordance with the 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). 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: The Authority does not have negotiated indirect cost rate, nor has it elected to use the 10% de minimis indirect cost rate. As of December 31, 2021, the Authority is not the guarantor of any loans outstanding.

Finding Details

Finding 2021-001
The Authority does not currently have a formal close process and does not maintain its general ledger in accordance with generally accepted accounting principles (GAAP). We specifically noted the following issues:Formal Close Process Criteria: Generally accepted accounting principles in the United States of America provides that the design or operation of an internal control structure over financial reporting allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, misstatements on a timely basis. This includes the need for an individual, not directly involved in the preparation of transactions or financial statement amounts, to provide a review of the work performed. There appears to be a general lack of control consciousness within the Authority.
Finding 2021-002
Criteria: The Division of Local Government Services (DLGS), Department of Community Affairs, State of New Jersey, requires audited financial statement to be filed timely within the established deadline of September 30, 2022.
Finding 2021-003
Uniform Guidance requires a federal single audit to be submitted to the Federal Audit Clearing House (FAC) in accordance with federal guidelines within nine months of year end.
Finding 2021-001
The Authority does not currently have a formal close process and does not maintain its general ledger in accordance with generally accepted accounting principles (GAAP). We specifically noted the following issues:Formal Close Process Criteria: Generally accepted accounting principles in the United States of America provides that the design or operation of an internal control structure over financial reporting allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, misstatements on a timely basis. This includes the need for an individual, not directly involved in the preparation of transactions or financial statement amounts, to provide a review of the work performed. There appears to be a general lack of control consciousness within the Authority.
Finding 2021-002
Criteria: The Division of Local Government Services (DLGS), Department of Community Affairs, State of New Jersey, requires audited financial statement to be filed timely within the established deadline of September 30, 2022.
Finding 2021-003
Uniform Guidance requires a federal single audit to be submitted to the Federal Audit Clearing House (FAC) in accordance with federal guidelines within nine months of year end.
Finding 2021-001
The Authority does not currently have a formal close process and does not maintain its general ledger in accordance with generally accepted accounting principles (GAAP). We specifically noted the following issues:Formal Close Process Criteria: Generally accepted accounting principles in the United States of America provides that the design or operation of an internal control structure over financial reporting allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, misstatements on a timely basis. This includes the need for an individual, not directly involved in the preparation of transactions or financial statement amounts, to provide a review of the work performed. There appears to be a general lack of control consciousness within the Authority.
Finding 2021-002
Criteria: The Division of Local Government Services (DLGS), Department of Community Affairs, State of New Jersey, requires audited financial statement to be filed timely within the established deadline of September 30, 2022.
Finding 2021-003
Uniform Guidance requires a federal single audit to be submitted to the Federal Audit Clearing House (FAC) in accordance with federal guidelines within nine months of year end.
Finding 2021-001
The Authority does not currently have a formal close process and does not maintain its general ledger in accordance with generally accepted accounting principles (GAAP). We specifically noted the following issues:Formal Close Process Criteria: Generally accepted accounting principles in the United States of America provides that the design or operation of an internal control structure over financial reporting allows management or employees in the normal course of performing their assigned functions to prevent, or detect and correct, misstatements on a timely basis. This includes the need for an individual, not directly involved in the preparation of transactions or financial statement amounts, to provide a review of the work performed. There appears to be a general lack of control consciousness within the Authority.
Finding 2021-002
Criteria: The Division of Local Government Services (DLGS), Department of Community Affairs, State of New Jersey, requires audited financial statement to be filed timely within the established deadline of September 30, 2022.
Finding 2021-003
Uniform Guidance requires a federal single audit to be submitted to the Federal Audit Clearing House (FAC) in accordance with federal guidelines within nine months of year end.