FAC Explorer

Audit 321319

FY End
2023-12-31
Total Expended
$1.13M
Findings
2
Programs
5
Organization: Congregation Oros Bais Yaakov Lakewood Inc. (NJ)
Year: 2023 Accepted: 2024-09-26
Auditor: Hutman & Hutman LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
498575 2023-231 Significant Deficiency Yes N
1075017 2023-231 Significant Deficiency Yes N

Programs

ALN Program Spent Major Findings
10.553 School Breakfast Program $94,957 Yes 0
97.008 Non-Profit Security Program $75,000 - 0
10.559 Summer Food Service Program for Children $31,265 Yes 0
10.555 National School Lunch Program $27,299 Yes 0
10.649 Pandemic Ebt Administrative Costs $653 - 0

Contacts

Name Title Type
SUAWMAYJBCQ5 Shalom Abramczyk Auditee
7329427522 David Hutman Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation: Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: Y Rate Explanation: Congregation Oros Bais Yaakov of Lakewood Inc. has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedules of expenditures of federal awards and state financial assistance (the Schedules) includes the federal and state grant activity of Congregation Oros Bais Yaakov of Lakewood Inc. (the School) under programs of the federal government for the year ended December 31, 2023. The information in these schedules is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR), Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedules presents only a selected portion of the operations of the Center, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the School.
Title: Child Nutrition Programs: Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: Y Rate Explanation: Congregation Oros Bais Yaakov of Lakewood Inc. has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Congregation Oros Bais Yaakov of Lakewood Inc. was approved by the State of New Jersey’s Department of Agriculture, under the National School Lunch Act and Child Nutrition Act of 1966, to operate the Food Nutrition Program which includes both the School Breakfast Program and the National School Lunch Program as well as the Summer Food Service Program during the summer.
Title: Use of Estimates: Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: Y Rate Explanation: Congregation Oros Bais Yaakov of Lakewood Inc. has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates.
Title: Subsequent Events: Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: Y Rate Explanation: Congregation Oros Bais Yaakov of Lakewood Inc. has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Management considers events and transactions that occur after the financials statement date, but before the financial statements are issued, to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. These financial statements were available to be issued on July 19, 2024 and subsequent events have been evaluated through that date.

Finding Details

Finding 2023-231
Condition: The School’s net cash resources exceeded 3 months average expenditures at the end of the year.Criteria: The school food authority shall limit its net cash resources to an amount that does not exceed 3 months average expenditures for its nonprofit school food service. Cause: A few years ago, the school had a large gain, this caused the net cash resources to exceed 3 months average expenditures. This balance is being used slowly. In the current fiscal year the school spent all of the grants received in addition to some of the fund balance being carried forward. Effect of Finding: After discussions with management, the auditor has determined that although the school’s net cash resources exceeded the allowed amount in 2023, due to continued rising costs, future expenditures will exceed revenues which will reduce the net cash resources to an acceptable level. As such, we feel that the effects of this finding are minimal. Recommendation: To keep monitoring the net cash resources throughout the year to ensure that the net cash resources don’t increase. View of Responsible Party and Planned Corrective Action: Since being made aware of the issue, the school’s administrator has begun to routinely monitor the net cash resources to ensure it does not increase. As such, the required correction actions have been implemented.
Finding 2023-231
Condition: The School’s net cash resources exceeded 3 months average expenditures at the end of the year.Criteria: The school food authority shall limit its net cash resources to an amount that does not exceed 3 months average expenditures for its nonprofit school food service. Cause: A few years ago, the school had a large gain, this caused the net cash resources to exceed 3 months average expenditures. This balance is being used slowly. In the current fiscal year the school spent all of the grants received in addition to some of the fund balance being carried forward. Effect of Finding: After discussions with management, the auditor has determined that although the school’s net cash resources exceeded the allowed amount in 2023, due to continued rising costs, future expenditures will exceed revenues which will reduce the net cash resources to an acceptable level. As such, we feel that the effects of this finding are minimal. Recommendation: To keep monitoring the net cash resources throughout the year to ensure that the net cash resources don’t increase. View of Responsible Party and Planned Corrective Action: Since being made aware of the issue, the school’s administrator has begun to routinely monitor the net cash resources to ensure it does not increase. As such, the required correction actions have been implemented.