Audit 32000

FY End
2022-06-30
Total Expended
$5.57M
Findings
14
Programs
4
Year: 2022 Accepted: 2023-08-20

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
35572 2022-001 Significant Deficiency - L
35573 2022-002 Significant Deficiency - AB
35574 2022-001 Significant Deficiency - L
35575 2022-002 Significant Deficiency - AB
35576 2022-001 Significant Deficiency - L
35577 2022-002 Significant Deficiency - AB
35578 2022-001 Significant Deficiency - L
612014 2022-001 Significant Deficiency - L
612015 2022-002 Significant Deficiency - AB
612016 2022-001 Significant Deficiency - L
612017 2022-002 Significant Deficiency - AB
612018 2022-001 Significant Deficiency - L
612019 2022-002 Significant Deficiency - AB
612020 2022-001 Significant Deficiency - L

Contacts

Name Title Type
KGU1PBM4AR61 May Wong Auditee
2128736600 Joseph Izzo Auditor
No contacts on file

Notes to SEFA

Title: 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 contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of Stanley M. Isaacs Neighborhood Center, Inc. (the Center) under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements 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 Center, it is not intended to and does not represent the financial position, changes in net assets or cash flows of the Center.
Title: Nonmonetary Assistance Accounting Policies: 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 reimbursements. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. For the year ended June 30, 2022, the Center received no nonmonetary assistance.

Finding Details

2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-002: Maintenance of Employee Payroll Files Federal Program Aging Cluster Criteria Employee payroll filed should be properly maintained with all required documents. Condition The Center failed to have on file an I-9 and W-4 as well as a wage rate authorization form for one employee of our sample selection. Cause Turnover within the Center?s finance team resulted in payroll files not being properly maintained. Effect Documents that are required to be held by the Center were not being properly retained. Questioned Costs $14,765 Context One selection out of a sample of seven employees. Recommendation The Center should follow the new hire and termination checklists that are in place to properly maintain employee files. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-002: Maintenance of Employee Payroll Files Federal Program Aging Cluster Criteria Employee payroll filed should be properly maintained with all required documents. Condition The Center failed to have on file an I-9 and W-4 as well as a wage rate authorization form for one employee of our sample selection. Cause Turnover within the Center?s finance team resulted in payroll files not being properly maintained. Effect Documents that are required to be held by the Center were not being properly retained. Questioned Costs $14,765 Context One selection out of a sample of seven employees. Recommendation The Center should follow the new hire and termination checklists that are in place to properly maintain employee files. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-002: Maintenance of Employee Payroll Files Federal Program Aging Cluster Criteria Employee payroll filed should be properly maintained with all required documents. Condition The Center failed to have on file an I-9 and W-4 as well as a wage rate authorization form for one employee of our sample selection. Cause Turnover within the Center?s finance team resulted in payroll files not being properly maintained. Effect Documents that are required to be held by the Center were not being properly retained. Questioned Costs $14,765 Context One selection out of a sample of seven employees. Recommendation The Center should follow the new hire and termination checklists that are in place to properly maintain employee files. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-002: Maintenance of Employee Payroll Files Federal Program Aging Cluster Criteria Employee payroll filed should be properly maintained with all required documents. Condition The Center failed to have on file an I-9 and W-4 as well as a wage rate authorization form for one employee of our sample selection. Cause Turnover within the Center?s finance team resulted in payroll files not being properly maintained. Effect Documents that are required to be held by the Center were not being properly retained. Questioned Costs $14,765 Context One selection out of a sample of seven employees. Recommendation The Center should follow the new hire and termination checklists that are in place to properly maintain employee files. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-002: Maintenance of Employee Payroll Files Federal Program Aging Cluster Criteria Employee payroll filed should be properly maintained with all required documents. Condition The Center failed to have on file an I-9 and W-4 as well as a wage rate authorization form for one employee of our sample selection. Cause Turnover within the Center?s finance team resulted in payroll files not being properly maintained. Effect Documents that are required to be held by the Center were not being properly retained. Questioned Costs $14,765 Context One selection out of a sample of seven employees. Recommendation The Center should follow the new hire and termination checklists that are in place to properly maintain employee files. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.
2022-002: Maintenance of Employee Payroll Files Federal Program Aging Cluster Criteria Employee payroll filed should be properly maintained with all required documents. Condition The Center failed to have on file an I-9 and W-4 as well as a wage rate authorization form for one employee of our sample selection. Cause Turnover within the Center?s finance team resulted in payroll files not being properly maintained. Effect Documents that are required to be held by the Center were not being properly retained. Questioned Costs $14,765 Context One selection out of a sample of seven employees. Recommendation The Center should follow the new hire and termination checklists that are in place to properly maintain employee files. Views of Responsible Officials See Corrective Action Plan.
2022-001: Late Filing of the Single Audit Federal Program Aging Cluster, Social Services Block Grant Criteria The Single Audit should be filed timely. Condition The Single Audit report and corresponding data collection form were not completed by the due date. Cause The Center?s accounting and finance department needed more time to complete their analysis of year end account balances before the start of the audit due to turnover in the finance department. Effect Failure to have the financial data available in time resulted in the single audit being filed after the deadline. Questioned Costs See Corrective Action Plan. Context See Corrective Action Plan. Recommendation The financial condition of the Center can only be determined and communicated to the Board of Directors on a timely basis if the books and records are accurate and reconciled in a timely manner. We recommend that key general ledger accounts and reconciliations be analyzed and reconciled on a regular basis (at least quarterly) throughout the fiscal year. Views of Responsible Officials See Corrective Action Plan.