Audit 328225

FY End
2022-12-31
Total Expended
$908,936
Findings
2
Programs
3
Organization: Central Community Transit (MN)
Year: 2022 Accepted: 2024-11-13

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
505522 2022-001 Material Weakness - P
1081964 2022-001 Material Weakness - P

Contacts

Name Title Type
RPA6BCN4ZDB9 Amy Nieland Auditee
3202227974 David Euerle Auditor
No contacts on file

Notes to SEFA

Title: Note 1 Reporting Entity Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee used the rate authorized in the agreement with state department of transportation The schedule of expenditures of federal awards presents the activities of federal award programs expended by Central Community Transit. The reporting entity is defined in Note 1 to the financial statements.
Title: Note 2 Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee used the rate authorized in the agreement with state department of transportation The accompanying schedule of expenditures of federal awards includes the federal award activity of Central Community Transit under programs of the federal government for the year ended December 31, 2022. 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 for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Central Community Transit, it is not intended to and does not present the financial position, changes in net position, or cash flows of Central Community Transit.
Title: Note 3 Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee used the rate authorized in the agreement with state department of transportation Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Note 4 Subrecipients Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee used the rate authorized in the agreement with state department of transportation Central Community Transit did not pass through funds to subrecipients.
Title: Note 5 De Minimis Cost Rate Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee used the rate authorized in the agreement with state department of transportation Central Community Transit has elected to not use the 10 percent de minimis indirect cost rate allowed under Uniform Guidance where applicable. 32

Finding Details

Finding 2022-001 Uniform Guidance Audit Reporting Requirements Program: ALN: 20.509 U.S. Department of Transportation Formula Grants for Rural Areas Criteria: The deadline for filing an audit report with the Federal Clearinghouse is 30 days after receiving the audit report or 9 months after the year-end, whichever occurs first. Condition: The audit report was not completed and submitted within the required timeframe. Questioned Costs: Not Applicable. Effect: Central Community Transit is not in compliance with the Uniform Guidance audit requirements. Cause: There was employee turnover in the Transit Director position. Recommendation: We recommend that prior to year-end, the operations board annually approve an audit schedule timeline. Views of Responsible Official: Central Community Transit agrees with the finding and will adhere to the corrective action plan.
Finding 2022-001 Uniform Guidance Audit Reporting Requirements Program: ALN: 20.509 U.S. Department of Transportation Formula Grants for Rural Areas Criteria: The deadline for filing an audit report with the Federal Clearinghouse is 30 days after receiving the audit report or 9 months after the year-end, whichever occurs first. Condition: The audit report was not completed and submitted within the required timeframe. Questioned Costs: Not Applicable. Effect: Central Community Transit is not in compliance with the Uniform Guidance audit requirements. Cause: There was employee turnover in the Transit Director position. Recommendation: We recommend that prior to year-end, the operations board annually approve an audit schedule timeline. Views of Responsible Official: Central Community Transit agrees with the finding and will adhere to the corrective action plan.