FAC Explorer

Audit 324028

FY End
2023-12-31
Total Expended
$10.49M
Findings
4
Programs
2
Organization: Village of Winnetka (IL)
Year: 2023 Accepted: 2024-10-07
Auditor: Lauterbach & Amen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
501890 2023-001 Material Weakness - L
501891 2023-002 Significant Deficiency Yes L
1078332 2023-001 Material Weakness - L
1078333 2023-002 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $8.77M Yes 2
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $38,796 - 0

Contacts

Name Title Type
LHWNA62MWU87 Tim Sloth Auditee
8475016000 Don Shaw Auditor
No contacts on file

Notes to SEFA

Title: NOTE 4 – SUBRECIPIENT RELATIONSHIPS Accounting Policies: NOTE 1 – BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the Village 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 Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. Because the Schedule presents only a selected portion of the operations of the Village, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Village. NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures Expenditures reported on the Schedule are reported on the accrual basis of accounting. Pass-Through Entities Pass-through entity identifying numbers are presented on the Schedule where available. De Minimis Rate Used: Y Rate Explanation: The Village has selected to use the 10% de minimis indirect cost rate as permitted by 2 CFR Section 200.414. The Village did not remit any funds to subrecipients.

Finding Details

Finding 2023-001
Finding 2023 – 001: Restatement to Fund Balance Condition: During audit fieldwork, our testing resulted in a restatement of fund balance in order to correct the recording of GASB 87. Criteria: A good system of internal controls would provide for accurate recording and reporting of GASB 87 in order to provide for accurate financial reporting. Cause: Year-end entries related to GASB 87 Receivables and Deferred Inflows were required in order to accurately present the Village’s financial statements. Effect: A material adjustment to the Village’s beginning fund balance was required to properly state for GASB 87 Agreements. Recommendation: We recommend the Village implement effective internal controls in order to provide an accurate assessment of reporting requirements for GASB 87 purposes. This implementation of improved controls would result in the appropriate recognition for financial reporting requirements. Corrective Action Plan: The Village Finance Director will implement internal controls to review all GASB 87 Agreements and record accordingly prior to audit fieldwork.
Finding 2023-002
Finding 2023 – 001: Data Collection Form Submission Condition: The 2022 data collection form and audit package were not submitted timely. Criteria: As required by the Office of Management and Budget, auditees are required to submit a completed data collection form and audit package to the Federal Audit Clearinghouse on or before the earlier of 30 days after receipt of the auditor's report or nine months after the end of the audit period. During 2022, this requirement due on September 30, 2023. Cause: The lack of meeting the applicable reporting requirements was largely due to issues associated with determination of federal funding expenditures on projects. Effect: The Village is at risk of jeopardizing the continued funding provided by the federal agencies. Recommendation: We recommend the City implement policies and procedures related to the Uniform Guidance reporting requirements. Corrective Action Plan: The Finance Director, along with staff, will review all Grant Agreements to determine the type of funding and evaluate the reporting requirements of all grants.
Finding 2023-001
Finding 2023 – 001: Restatement to Fund Balance Condition: During audit fieldwork, our testing resulted in a restatement of fund balance in order to correct the recording of GASB 87. Criteria: A good system of internal controls would provide for accurate recording and reporting of GASB 87 in order to provide for accurate financial reporting. Cause: Year-end entries related to GASB 87 Receivables and Deferred Inflows were required in order to accurately present the Village’s financial statements. Effect: A material adjustment to the Village’s beginning fund balance was required to properly state for GASB 87 Agreements. Recommendation: We recommend the Village implement effective internal controls in order to provide an accurate assessment of reporting requirements for GASB 87 purposes. This implementation of improved controls would result in the appropriate recognition for financial reporting requirements. Corrective Action Plan: The Village Finance Director will implement internal controls to review all GASB 87 Agreements and record accordingly prior to audit fieldwork.
Finding 2023-002
Finding 2023 – 001: Data Collection Form Submission Condition: The 2022 data collection form and audit package were not submitted timely. Criteria: As required by the Office of Management and Budget, auditees are required to submit a completed data collection form and audit package to the Federal Audit Clearinghouse on or before the earlier of 30 days after receipt of the auditor's report or nine months after the end of the audit period. During 2022, this requirement due on September 30, 2023. Cause: The lack of meeting the applicable reporting requirements was largely due to issues associated with determination of federal funding expenditures on projects. Effect: The Village is at risk of jeopardizing the continued funding provided by the federal agencies. Recommendation: We recommend the City implement policies and procedures related to the Uniform Guidance reporting requirements. Corrective Action Plan: The Finance Director, along with staff, will review all Grant Agreements to determine the type of funding and evaluate the reporting requirements of all grants.