FAC Explorer

Audit 328911

FY End
2020-12-31
Total Expended
$1.62M
Findings
8
Programs
3
Organization: Elle Foundation (LA)
Year: 2020 Accepted: 2024-11-19
Auditor: Luther Speight and Company CPAS

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
508335 2020-002 Material Weakness - B
508336 2020-003 - Yes L
508337 2020-004 Significant Deficiency - L
508338 2020-005 Significant Deficiency - E
1084777 2020-002 Material Weakness - B
1084778 2020-003 - Yes L
1084779 2020-004 Significant Deficiency - L
1084780 2020-005 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
64.033 Va Supportive Services for Veteran Families Program $1.19M Yes 4
93.623 Basic Center Grant $238,715 - 0
17.805 Homeless Veterans� Reintegration Program $196,153 - 0

Contacts

Name Title Type
KDMQCMJ584W6 Samuel Stevens Auditee
3184580930 Luther Speight Auditor
No contacts on file

Notes to SEFA

Title: NOTE 3 - LOAN AND LOAN GUARANTEES Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this schedule is presented as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. De Minimis Rate Used: N Rate Explanation: The Organization has not elected to use the ten percent (10%) indirect cost rate allowed under the Uniform Guidance. The Organization did not expend federal awards related to loans or loan guarantees during the year ended December 31, 2020. The Organization had no loans outstanding at year end.
Title: NOTE 4 - FEDERALLY FUNDED INSURANCE Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this schedule is presented as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. De Minimis Rate Used: N Rate Explanation: The Organization has not elected to use the ten percent (10%) indirect cost rate allowed under the Uniform Guidance. The Organization has no federally funded insurance.
Title: NOTE 5 - NONCASH ASSISTANCE Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this schedule is presented as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. De Minimis Rate Used: N Rate Explanation: The Organization has not elected to use the ten percent (10%) indirect cost rate allowed under the Uniform Guidance. The Organization did not receive any federal noncash assistance for the year ended December 31, 2020.

Finding Details

Finding 2020-002
CRITERIA: Federal regulations require the grant recipient to maintain appropriate records and source documentation to support all costs paid with federal grant funding, to ensure adequate. CONDITION: We examined a sample of27 grant expenditures for the SSVF grant program and noted that 16 transactions totaling $70,976 were incurred that did not have proper supporting documentation. We also noted the transactions were not accurately recorded to the proper grant accounts. CAUSE: The Foundation's record retention administrative procedures were not adequate. EFFECT: We were unable to determine if the grant costs totaling $70,976 were allowable costs for the SSVF grant program. QUESTIONED COSTS: $70,976 RECOMMENDATION: We recommend that management implement proper record retention procedures to assure all grant expenditures are supported by adequate documentation. MANAGEMENT'S RESPONSE: See management's corrective action plan on pages 30-31.
Finding 2020-003
CRITERIA: 2 CFR requires that non-federal entities that expend $750,000 or more in a year in federal awards must submit their audited annual financial reports and the data collection form to the Federal Audit Clearinghouse within thirty (30) days after receipt of the auditor's report, or nine (9) months of the close of the auditee's fiscal year. CONDITION: The Organization did not remit the annual audited financial statements and the data collection form to the Federal Audit Clearinghouse within 9 months after year-end as required by the Uniform Guidance. CAUSE: The Organization did not engage its independent auditor on a timely basis. EFFECT: The Organization is not in compliance with applicable federal regulations. QUESTIONED COSTS: Not Applicable RECOMMENDATION: The Organization should implement policies and procedures to ensure the timely filing of any and all required reports. MANAGEMENT'S RESPONSE: See Management's Corrective Action Plan on pages 30-31.
Finding 2020-004
CRITERIA: The grant program requires progress reports to be prepared and submitted to the grantor quarterly. CONDITION: We requested progress reports which are submitted by grantees to the grantor, Department of Veterans Affairs. We were not provided with the requested reports. CAUSE: The Organization's record retention procedures were not adequate. EFFECT: We were unable to determine if the Organization's progress related to grant activities met program requirements. QUESTIONED COSTS: Not Applicable RECOMMENDATION: We recommend that the Organization develop and implement improved record retention procedures. MANAGEMENT'S RESPONSE: See Management's Corrective Action Plan on pages 30-31.
Finding 2020-005
CRITERIA: The grant program requires participants to meet eligibility requirements for admittance into the federal program. CONDITION: We requested supporting documentation for ten selected participants to verify each selection met the eligibility requirements. We noted two participants did not have proof of income and two other participants did not have a required DD-214 or a VA Identification card. We were also unable to verify the residence of four participants to determine if they received the proper assistance. CAUSE: The Organization's record retention procedures were not adequate. EFFECT: We were unable to verify if the participants received the proper assistance based on their residential status. QUESTIONED COSTS: Not Applicable RECOMMENDATION: We recommend that the Organization develop and implement improved record retention procedures. MANAGEMENT'S RESPONSE: See Management's Corrective Action Plan on pages 30-31.
Finding 2020-002
CRITERIA: Federal regulations require the grant recipient to maintain appropriate records and source documentation to support all costs paid with federal grant funding, to ensure adequate. CONDITION: We examined a sample of27 grant expenditures for the SSVF grant program and noted that 16 transactions totaling $70,976 were incurred that did not have proper supporting documentation. We also noted the transactions were not accurately recorded to the proper grant accounts. CAUSE: The Foundation's record retention administrative procedures were not adequate. EFFECT: We were unable to determine if the grant costs totaling $70,976 were allowable costs for the SSVF grant program. QUESTIONED COSTS: $70,976 RECOMMENDATION: We recommend that management implement proper record retention procedures to assure all grant expenditures are supported by adequate documentation. MANAGEMENT'S RESPONSE: See management's corrective action plan on pages 30-31.
Finding 2020-003
CRITERIA: 2 CFR requires that non-federal entities that expend $750,000 or more in a year in federal awards must submit their audited annual financial reports and the data collection form to the Federal Audit Clearinghouse within thirty (30) days after receipt of the auditor's report, or nine (9) months of the close of the auditee's fiscal year. CONDITION: The Organization did not remit the annual audited financial statements and the data collection form to the Federal Audit Clearinghouse within 9 months after year-end as required by the Uniform Guidance. CAUSE: The Organization did not engage its independent auditor on a timely basis. EFFECT: The Organization is not in compliance with applicable federal regulations. QUESTIONED COSTS: Not Applicable RECOMMENDATION: The Organization should implement policies and procedures to ensure the timely filing of any and all required reports. MANAGEMENT'S RESPONSE: See Management's Corrective Action Plan on pages 30-31.
Finding 2020-004
CRITERIA: The grant program requires progress reports to be prepared and submitted to the grantor quarterly. CONDITION: We requested progress reports which are submitted by grantees to the grantor, Department of Veterans Affairs. We were not provided with the requested reports. CAUSE: The Organization's record retention procedures were not adequate. EFFECT: We were unable to determine if the Organization's progress related to grant activities met program requirements. QUESTIONED COSTS: Not Applicable RECOMMENDATION: We recommend that the Organization develop and implement improved record retention procedures. MANAGEMENT'S RESPONSE: See Management's Corrective Action Plan on pages 30-31.
Finding 2020-005
CRITERIA: The grant program requires participants to meet eligibility requirements for admittance into the federal program. CONDITION: We requested supporting documentation for ten selected participants to verify each selection met the eligibility requirements. We noted two participants did not have proof of income and two other participants did not have a required DD-214 or a VA Identification card. We were also unable to verify the residence of four participants to determine if they received the proper assistance. CAUSE: The Organization's record retention procedures were not adequate. EFFECT: We were unable to verify if the participants received the proper assistance based on their residential status. QUESTIONED COSTS: Not Applicable RECOMMENDATION: We recommend that the Organization develop and implement improved record retention procedures. MANAGEMENT'S RESPONSE: See Management's Corrective Action Plan on pages 30-31.