Audit 329011

FY End

2023-12-31

Total Expended

$1.43M

Findings

2

Programs

1

Organization: Think of US (DC)

Year: 2023 Accepted: 2024-11-19

Auditor: Gelman Rosenberg & Freedman

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
508392	2023-002	Significant Deficiency	-	P
1084834	2023-002	Significant Deficiency	-	P

ALN	Program	Spent	Major	Findings
93.471	Title IV-E Kinship Navigator Program	$1.43M	Yes	1

Contacts

Name	Title	Type
RTSLKKWTM4C5	Gemma Holmes	Auditee
6502782226	Lindsay Dean	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 accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: Such expenditures are recognized following, as applicable, either the cost principles in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the Federal award activity of the Organization under programs of the Federal Government for the year ended December 31, 2023. Information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). The Schedule presents only a selected portion of the operations of the Organization; accordingly, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization.

Title: Note 2. Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: N Rate Explanation: Such expenditures are recognized following, as applicable, either the cost principles in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles in OMB Circular A-122, Cost Principles for Non-Profit Organizations, or the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Finding 2023-002

Finding 2023-002: Disbursement Approval and Documentation Information on the Federal Program: 93.471 Criteria or Specific Requirement: CFR 200.303 specifies that the Organization must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: The Organization has certain items which are set to auto-pay (i.e. accounting services, insurance and retirement payments), and as a result no payment authorization is available. In addition we noted several instances where the contract was meant to serve as payment authorization (there was no specific authorization of disbursement). Cause: The Organization has not required a separate authorization for payment of certain items that are either on auto-pay or are paid based on contracts. The Organization has a payables processing system that could maintain approval and payment documentation as well as the associated supporting documents, but is not using it to process some payments.Effect or Potential Effect: It is critical to maintain payment authorization support to avoid unauthorized payments, questioned costs and other potential issues. Questioned Costs: None noted. Context: Although none of the items noted without authorization were charged to the major program, our testwork consisted of statistical sampling as well as substantive testwork over various samples of expenditures, and were determined to be representative of the population for the fiscal year under audit. Identification as a Repeat Finding, if Applicable: Not applicable Recommendation: We recommend that the Organization ensure that documentation of authorization is documented and available.

Finding 2023-002

Finding 2023-002: Disbursement Approval and Documentation Information on the Federal Program: 93.471 Criteria or Specific Requirement: CFR 200.303 specifies that the Organization must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: The Organization has certain items which are set to auto-pay (i.e. accounting services, insurance and retirement payments), and as a result no payment authorization is available. In addition we noted several instances where the contract was meant to serve as payment authorization (there was no specific authorization of disbursement). Cause: The Organization has not required a separate authorization for payment of certain items that are either on auto-pay or are paid based on contracts. The Organization has a payables processing system that could maintain approval and payment documentation as well as the associated supporting documents, but is not using it to process some payments.Effect or Potential Effect: It is critical to maintain payment authorization support to avoid unauthorized payments, questioned costs and other potential issues. Questioned Costs: None noted. Context: Although none of the items noted without authorization were charged to the major program, our testwork consisted of statistical sampling as well as substantive testwork over various samples of expenditures, and were determined to be representative of the population for the fiscal year under audit. Identification as a Repeat Finding, if Applicable: Not applicable Recommendation: We recommend that the Organization ensure that documentation of authorization is documented and available.