FAC Explorer

Audit 318192

FY End
2023-06-30
Total Expended
$780,432
Findings
4
Programs
4
Organization: Delaware County Literacy Council (PA)
Year: 2023 Accepted: 2024-08-29
Auditor: Barbacane Thornton & Company LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
485466 2023-001 Significant Deficiency Yes A
485467 2023-001 Significant Deficiency Yes A
1061908 2023-001 Significant Deficiency Yes A
1061909 2023-001 Significant Deficiency Yes A

Programs

ALN Program Spent Major Findings
84.002 Adult Education - Basic Grants to States $481,940 Yes 1
17.258 Wia Adult Program $66,649 - 0
17.278 Wia Dislocated Worker Formula Grants $47,274 - 0
93.558 Temporary Assistance for Needy Families $12,569 - 0

Contacts

Name Title Type
PJ9FF6GKA4X9 Coleen Duran Auditee
6108764811 Jeffrey Kowalczyk, CPA Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF ACCOUNTING Accounting Policies: All expenditures included in the schedule of expenditures of federal awards are presented on the basis that expenditures are reported to the respective federal grantor agencies. Accordingly, expenditures are recorded when the federal obligation is determined. The schedule of expenditures of federal awards reflects federal expenditures for all individual grants which were active during the fiscal year. De Minimis Rate Used: N Rate Explanation: The Entity has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. All expenditures included in the schedule of expenditures of federal awards are presented on the basis that expenditures are reported to the respective federal grantor agencies. Accordingly, expenditures are recorded when the federal obligation is determined.
Title: FEDERAL EXPENDITURES Accounting Policies: All expenditures included in the schedule of expenditures of federal awards are presented on the basis that expenditures are reported to the respective federal grantor agencies. Accordingly, expenditures are recorded when the federal obligation is determined. The schedule of expenditures of federal awards reflects federal expenditures for all individual grants which were active during the fiscal year. De Minimis Rate Used: N Rate Explanation: The Entity has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The schedule of expenditures of federal awards reflects federal expenditures for all individual grants which were active during the fiscal year.
Title: INDIRECT COST RATE Accounting Policies: All expenditures included in the schedule of expenditures of federal awards are presented on the basis that expenditures are reported to the respective federal grantor agencies. Accordingly, expenditures are recorded when the federal obligation is determined. The schedule of expenditures of federal awards reflects federal expenditures for all individual grants which were active during the fiscal year. De Minimis Rate Used: N Rate Explanation: The Entity has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The Coalition has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2023-001
2023-001: Significant Deficiency – Allowable Costs/Cost Principles Federal Agency: U.S. Department of Education Federal Program: Adult Education - Basic Grants to States ALN: 84.002A Award Period: 07/01/2022 - 06/30/2023 Type of Finding: Significant Deficiency The Council did not implement an established and accurate cost allocation plan during the fiscal year ending June 30, 2023. Therefore, not all costs were shared among different grants consistently and accurately. Criteria: Under the U.S. Code of Federal Regulations (CFR), Title 2: Grants and Agreements, PART 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart E – Cost Principles Sec. 200.405 Allocable Costs – the cost must be allocated to the grants/projects based on the proportional benefit. If a cost benefits two or more grants/projects or activities in proportions that cannot be determined because of the interrelationship of the work involved, then the costs may be allocated or transferred to benefitted projects on a reasonable documented basis. Condition & Context: During the prior year audit as well as during a monitoring visit by PDE, it was discovered that certain expenses were allocated to grants on an unsupported basis. Based on our testing of expenditures performed for the current year, an accurate cost allocation plan was not accurately developed or implemented during the fiscal year ending June 30, 2023. Cause: The Council did not create or implement an accurate cost allocation plan during the current or prior fiscal year. Effect: The Council is not in compliance with 2 CFR Sec. 200.405 – Allocable Costs. Repeat Finding: Yes Recommendation: We recommend that the Council work to develop and implement a written allocation plan including calculations for all direct and indirect costs that benefit two or more grants or programs. Specifically, the Council should review actual expenses on an ongoing basis and make any necessary adjustments to the allocated expenses.
Finding 2023-001
2023-001: Significant Deficiency – Allowable Costs/Cost Principles Federal Agency: U.S. Department of Education Federal Program: Adult Education - Basic Grants to States ALN: 84.002A Award Period: 07/01/2022 - 06/30/2023 Type of Finding: Significant Deficiency The Council did not implement an established and accurate cost allocation plan during the fiscal year ending June 30, 2023. Therefore, not all costs were shared among different grants consistently and accurately. Criteria: Under the U.S. Code of Federal Regulations (CFR), Title 2: Grants and Agreements, PART 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart E – Cost Principles Sec. 200.405 Allocable Costs – the cost must be allocated to the grants/projects based on the proportional benefit. If a cost benefits two or more grants/projects or activities in proportions that cannot be determined because of the interrelationship of the work involved, then the costs may be allocated or transferred to benefitted projects on a reasonable documented basis. Condition & Context: During the prior year audit as well as during a monitoring visit by PDE, it was discovered that certain expenses were allocated to grants on an unsupported basis. Based on our testing of expenditures performed for the current year, an accurate cost allocation plan was not accurately developed or implemented during the fiscal year ending June 30, 2023. Cause: The Council did not create or implement an accurate cost allocation plan during the current or prior fiscal year. Effect: The Council is not in compliance with 2 CFR Sec. 200.405 – Allocable Costs. Repeat Finding: Yes Recommendation: We recommend that the Council work to develop and implement a written allocation plan including calculations for all direct and indirect costs that benefit two or more grants or programs. Specifically, the Council should review actual expenses on an ongoing basis and make any necessary adjustments to the allocated expenses.
Finding 2023-001
2023-001: Significant Deficiency – Allowable Costs/Cost Principles Federal Agency: U.S. Department of Education Federal Program: Adult Education - Basic Grants to States ALN: 84.002A Award Period: 07/01/2022 - 06/30/2023 Type of Finding: Significant Deficiency The Council did not implement an established and accurate cost allocation plan during the fiscal year ending June 30, 2023. Therefore, not all costs were shared among different grants consistently and accurately. Criteria: Under the U.S. Code of Federal Regulations (CFR), Title 2: Grants and Agreements, PART 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart E – Cost Principles Sec. 200.405 Allocable Costs – the cost must be allocated to the grants/projects based on the proportional benefit. If a cost benefits two or more grants/projects or activities in proportions that cannot be determined because of the interrelationship of the work involved, then the costs may be allocated or transferred to benefitted projects on a reasonable documented basis. Condition & Context: During the prior year audit as well as during a monitoring visit by PDE, it was discovered that certain expenses were allocated to grants on an unsupported basis. Based on our testing of expenditures performed for the current year, an accurate cost allocation plan was not accurately developed or implemented during the fiscal year ending June 30, 2023. Cause: The Council did not create or implement an accurate cost allocation plan during the current or prior fiscal year. Effect: The Council is not in compliance with 2 CFR Sec. 200.405 – Allocable Costs. Repeat Finding: Yes Recommendation: We recommend that the Council work to develop and implement a written allocation plan including calculations for all direct and indirect costs that benefit two or more grants or programs. Specifically, the Council should review actual expenses on an ongoing basis and make any necessary adjustments to the allocated expenses.
Finding 2023-001
2023-001: Significant Deficiency – Allowable Costs/Cost Principles Federal Agency: U.S. Department of Education Federal Program: Adult Education - Basic Grants to States ALN: 84.002A Award Period: 07/01/2022 - 06/30/2023 Type of Finding: Significant Deficiency The Council did not implement an established and accurate cost allocation plan during the fiscal year ending June 30, 2023. Therefore, not all costs were shared among different grants consistently and accurately. Criteria: Under the U.S. Code of Federal Regulations (CFR), Title 2: Grants and Agreements, PART 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart E – Cost Principles Sec. 200.405 Allocable Costs – the cost must be allocated to the grants/projects based on the proportional benefit. If a cost benefits two or more grants/projects or activities in proportions that cannot be determined because of the interrelationship of the work involved, then the costs may be allocated or transferred to benefitted projects on a reasonable documented basis. Condition & Context: During the prior year audit as well as during a monitoring visit by PDE, it was discovered that certain expenses were allocated to grants on an unsupported basis. Based on our testing of expenditures performed for the current year, an accurate cost allocation plan was not accurately developed or implemented during the fiscal year ending June 30, 2023. Cause: The Council did not create or implement an accurate cost allocation plan during the current or prior fiscal year. Effect: The Council is not in compliance with 2 CFR Sec. 200.405 – Allocable Costs. Repeat Finding: Yes Recommendation: We recommend that the Council work to develop and implement a written allocation plan including calculations for all direct and indirect costs that benefit two or more grants or programs. Specifically, the Council should review actual expenses on an ongoing basis and make any necessary adjustments to the allocated expenses.