Audit 322086

FY End
2023-12-31
Total Expended
$2.61M
Findings
2
Programs
8
Organization: Town of Warwick (NY)
Year: 2023 Accepted: 2024-09-29
Auditor: Rbt CPAS

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
499276 2023-003 Significant Deficiency - I
1075718 2023-003 Significant Deficiency - I

Contacts

Name Title Type
NWJ7BJJ57BT3 Jesse Dwyer Auditee
8459861124 Donna Crowley Auditor
No contacts on file

Notes to SEFA

Title: Note 1. Basis of Presentation Accounting Policies: 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: N/A The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the Town of Warwick under programs of the federal government for the year ended December 31, 2023. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements of Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Town of Warwick, it is not intended to, and does not, present the financial position or changes in fund balance/net position of the Town of Warwick.
Title: Note 2. Summary of Significant Accounting Policies Accounting Policies: 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: N/A 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
Title: Note 3. Sub-recipients Accounting Policies: 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: N/A Of the federal expenditures presented in the Schedule, the Town of Warwick provided the following federal awards to sub-recipients.
Title: Note 4. Reconciliation to Financial Statements Accounting Policies: 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: N/A The federal expenditures presented in the Schedule reconcile to the State and Federal revenue reported in the Statement of Revenues, Expenditures and Changes in Fund Balance as follows:
Title: Note 5. Indirect Cost Rate Accounting Policies: 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: N/A The Town of Warwick has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

2023-03 Suspension or Debarment Assistance Listing Number: 21.027 Name of Program or Cluster: Coronavirus State and Local Fiscal Recovery Funds Type of Finding/Compliance Requirement: Significant Deficiency in Internal Control over Debarment Condition: The Town did not have sufficient internal controls over federal suspension or debarment verification. Criteria: Per 2 CFR Part 180, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Cause: The Town has not implemented controls to ensure that parties awarded contracts or subawards under covered transactions are not suspended or debarred. Effect: Although none of the transactions tested involved parties that were suspended or debarred, failure to check for suspension or debarment status puts the Town at risk of noncompliance. Recommendation: RBT recommends that the Town review its internal controls process to ensure that suspension or debarment status is verified when spending federal funds. Management’s Response: See corrective action plan.
2023-03 Suspension or Debarment Assistance Listing Number: 21.027 Name of Program or Cluster: Coronavirus State and Local Fiscal Recovery Funds Type of Finding/Compliance Requirement: Significant Deficiency in Internal Control over Debarment Condition: The Town did not have sufficient internal controls over federal suspension or debarment verification. Criteria: Per 2 CFR Part 180, non-federal entities are prohibited from contracting with or making subawards under covered transactions to parties that are suspended or debarred. Cause: The Town has not implemented controls to ensure that parties awarded contracts or subawards under covered transactions are not suspended or debarred. Effect: Although none of the transactions tested involved parties that were suspended or debarred, failure to check for suspension or debarment status puts the Town at risk of noncompliance. Recommendation: RBT recommends that the Town review its internal controls process to ensure that suspension or debarment status is verified when spending federal funds. Management’s Response: See corrective action plan.