FAC Explorer

Audit 318245

FY End
2023-06-30
Total Expended
$9.30M
Findings
4
Programs
18
Organization: Town of Natick, Massachusetts (MA)
Year: 2023 Accepted: 2024-08-30
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
485485 2023-004 Significant Deficiency - I
485486 2023-005 Significant Deficiency - I
1061927 2023-004 Significant Deficiency - I
1061928 2023-005 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $3.28M Yes 2
10.553 School Breakfast Program $1.83M - 0
84.425 Education Stabilization Fund $730,313 Yes 0
93.778 Medical Assistance Program $262,696 - 0
84.010 Title I Grants to Local Educational Agencies $239,356 - 0
93.069 Public Health Emergency Preparedness $144,815 - 0
10.555 National School Lunch Program $106,563 - 0
84.367 Improving Teacher Quality State Grants $78,567 - 0
16.922 Equitable Sharing Program $44,191 - 0
16.000 Dea Overtime Grant $37,646 - 0
84.027 Special Education_grants to States $22,952 Yes 0
97.042 Emergency Management Performance Grants $19,519 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $4,822 - 0
93.103 Food and Drug Administration_research $1,942 - 0
21.019 Coronavirus Relief Fund $1,624 - 0
84.365 English Language Acquisition State Grants $894 - 0
84.424 Student Support and Academic Enrichment Program $634 - 0
84.173 Special Education_preschool Grants $-1,542 Yes 0

Contacts

Name Title Type
FQTJKNRECMB9 John Townsend Auditee
5086476416 Jennifer Cook Auditor
No contacts on file

Notes to SEFA

Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Town of Natick, Massachusetts under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of 2 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 Town of Natick, Massachusetts, it is not intended to and does not present the financial position, changes in financial position, or cash flows, where applicable, of the Town of Natick, Massachusetts. De Minimis Rate Used: N Rate Explanation: The Town of Natick, Massachusetts did not elect to use the 10-percent de minimis indirect cost rate identified in §200.414 of the Uniform Guidance. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement.
Title: U.S. DEPARTMENT OF AGRICULTURE Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Town of Natick, Massachusetts under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of 2 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 Town of Natick, Massachusetts, it is not intended to and does not present the financial position, changes in financial position, or cash flows, where applicable, of the Town of Natick, Massachusetts. De Minimis Rate Used: N Rate Explanation: The Town of Natick, Massachusetts did not elect to use the 10-percent de minimis indirect cost rate identified in §200.414 of the Uniform Guidance. The amount reported for the National School Lunch Program – Noncash Assistance (Commodities) represents nonmonetary assistance and is reported in the Schedule at the fair market value of the commodities received. The amounts reported for the National School Lunch Program – Cash Assistance and School Breakfast Program – Cash Assistance represent cash receipts from federal reimbursements.
Title: U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the Town of Natick, Massachusetts under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of 2 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 Town of Natick, Massachusetts, it is not intended to and does not present the financial position, changes in financial position, or cash flows, where applicable, of the Town of Natick, Massachusetts. De Minimis Rate Used: N Rate Explanation: The Town of Natick, Massachusetts did not elect to use the 10-percent de minimis indirect cost rate identified in §200.414 of the Uniform Guidance. The amount reported for the School-Based Medicaid Reimbursement Program represents federal reimbursements for Administrative Activity Claims.

Finding Details

Finding 2023-004
Federal Agency: U.S. Department of Treasury Federal Program Name: Coronavirus State and Local Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: Unknown Award Period: March 3, 2021 – December 31, 2026 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Town should have internal controls designed to ensure compliance with those provisions. Appendix II to Part 200 addresses contract provisions requirements and 2 CFR section 200.320 (c) addresses the noncompetitive procurement circumstances. Condition: Internal controls were not in place to ensure that all vendors had a formal contract in place or were selected in accordance with Uniform Guidance. Questioned costs: Under reportable limit Context: 1 of the 2 vendors tested did not have a formal contract in place. 1 of the 2 vendors did not follow federal procurement requirements and utilized state procurement exemptions. Cause: Procedures were not in place to ensure federal procurement requirements were followed. Effect: Noncompliance with federal procurement, suspension, and debarment compliance requirements. Recommendation: We recommend the Town implement controls that ensure adherence to the procurement requirements of the Uniform Guidance. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2023-005
Federal Agency: U.S. Department of Treasury Federal Program Name: Coronavirus State and Local Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: Unknown Award Period: March 3, 2021 – December 31, 2026 Type of Finding: • Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Town should have internal controls designed to ensure compliance with those provisions. 2 CFR section 200.214 requires compliance with suspension and debarment standards. Condition: No supporting documentation was maintained to support the vendor was not suspended or debarred. We confirmed that the vendors were not suspended or debarred. Questioned costs: None. Context: 2 of the 2 vendors tested. Cause: Procedures are not in place to maintain documentation verifying vendors are not suspended or debarred. Effect: Potential noncompliance with federal procurement, suspension, and debarment compliance requirements. Recommendation: We recommend the Town implement control to ensure adherence to the suspension and debarment requirements of the Uniform Guidance. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2023-004
Federal Agency: U.S. Department of Treasury Federal Program Name: Coronavirus State and Local Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: Unknown Award Period: March 3, 2021 – December 31, 2026 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Town should have internal controls designed to ensure compliance with those provisions. Appendix II to Part 200 addresses contract provisions requirements and 2 CFR section 200.320 (c) addresses the noncompetitive procurement circumstances. Condition: Internal controls were not in place to ensure that all vendors had a formal contract in place or were selected in accordance with Uniform Guidance. Questioned costs: Under reportable limit Context: 1 of the 2 vendors tested did not have a formal contract in place. 1 of the 2 vendors did not follow federal procurement requirements and utilized state procurement exemptions. Cause: Procedures were not in place to ensure federal procurement requirements were followed. Effect: Noncompliance with federal procurement, suspension, and debarment compliance requirements. Recommendation: We recommend the Town implement controls that ensure adherence to the procurement requirements of the Uniform Guidance. Views of responsible officials: There is no disagreement with the audit finding.
Finding 2023-005
Federal Agency: U.S. Department of Treasury Federal Program Name: Coronavirus State and Local Recovery Funds Assistance Listing Number: 21.027 Federal Award Identification Number and Year: Unknown Award Period: March 3, 2021 – December 31, 2026 Type of Finding: • Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of procurement, suspension, and debarment. The Town should have internal controls designed to ensure compliance with those provisions. 2 CFR section 200.214 requires compliance with suspension and debarment standards. Condition: No supporting documentation was maintained to support the vendor was not suspended or debarred. We confirmed that the vendors were not suspended or debarred. Questioned costs: None. Context: 2 of the 2 vendors tested. Cause: Procedures are not in place to maintain documentation verifying vendors are not suspended or debarred. Effect: Potential noncompliance with federal procurement, suspension, and debarment compliance requirements. Recommendation: We recommend the Town implement control to ensure adherence to the suspension and debarment requirements of the Uniform Guidance. Views of responsible officials: There is no disagreement with the audit finding.