FAC Explorer

Audit 333268

FY End
2022-12-31
Total Expended
$3.23M
Findings
4
Programs
3
Organization: Restoration Society, INC (NY)
Year: 2022 Accepted: 2024-12-18
Auditor: Bonadio & CO LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
515531 2022-001 Material Weakness - A
515532 2022-002 Material Weakness - L
1091973 2022-001 Material Weakness - A
1091974 2022-002 Material Weakness - L

Programs

ALN Program Spent Major Findings
14.267 Continuum of Care Program $847,432 Yes 2
14.231 Emergency Solutions Grant Program $410,444 Yes 0
93.778 Medical Assistance Program $326,100 - 0

Contacts

Name Title Type
M6VNGBTZ28N9 Shellie Knupp Auditee
7168322141 Justin Reid Auditor
No contacts on file

Notes to SEFA

Title: GENERAL Accounting Policies: The accompanying schedule of expenditures of federal awards has been prepared in accordance with accounting principles generally accepted in the United States. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Amounts included in the accompanying schedule of expenditures of federal awards are actual expenditures for the year ended December 31, 2022. De Minimis Rate Used: N Rate Explanation: RSI has not elected to use the 10% de minimis rate permitted by the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs of Restoration Society, Inc. (RSI). The schedule includes expenditures of federal programs received directly from federal agencies, as well as federal assistance passed through other organizations.
Title: BASIS OF PRESENTATION Accounting Policies: The accompanying schedule of expenditures of federal awards has been prepared in accordance with accounting principles generally accepted in the United States. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Amounts included in the accompanying schedule of expenditures of federal awards are actual expenditures for the year ended December 31, 2022. De Minimis Rate Used: N Rate Explanation: RSI has not elected to use the 10% de minimis rate permitted by the Uniform Guidance. The Schedule includes the federal award activity of RSI 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 RSI, it is not intended to and does not present the financial position, changes in net assets, or cash flows of RSI.
Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards has been prepared in accordance with accounting principles generally accepted in the United States. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Amounts included in the accompanying schedule of expenditures of federal awards are actual expenditures for the year ended December 31, 2022. De Minimis Rate Used: N Rate Explanation: RSI has not elected to use the 10% de minimis rate permitted by the Uniform Guidance. The accompanying schedule of expenditures of federal awards has been prepared in accordance with accounting principles generally accepted in the United States. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Amounts included in the accompanying schedule of expenditures of federal awards are actual expenditures for the year ended December 31, 2022.
Title: INDIRECT COSTS Accounting Policies: The accompanying schedule of expenditures of federal awards has been prepared in accordance with accounting principles generally accepted in the United States. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Amounts included in the accompanying schedule of expenditures of federal awards are actual expenditures for the year ended December 31, 2022. De Minimis Rate Used: N Rate Explanation: RSI has not elected to use the 10% de minimis rate permitted by the Uniform Guidance. RSI has not elected to use the 10% de minimis rate permitted by the Uniform Guidance.

Finding Details

Finding 2022-001
Material Weakness Finding 2022-001 Condition – Even though Restoration Society, Inc. (RSI) costs were allowable under these federal awards, documentation of adequate allocation methods of costs were not maintained for payroll. Management estimated amounts charged to federal programs in lieu of obtaining adequate documentation via time and attendance records. Criteria – Adequate documentation of actual time and effort spent on each federal award program is necessary to comply with various provisions of contract agreements with Federal agencies. Cause – Due to turnover and other priorities, detailed time and attendance records were not maintained. Effect – Inaccurate payroll expenditure reporting throughout the fiscal year. Recommendation – We recommend that the accounting department implement controls and procedures to require staff to submit time and attendance records indicating which federal programs they spent time on. Management’s Response – Management acknowledges the recommendation and has started implementing controls consistent with the recommendation.
Finding 2022-002
Condition – RSI did not have an audit performed timely of its major federal award programs and did not timely submit a Data Collection Form to the Federal Audit Clearinghouse for the year ended December 31, 2022. Criteria – As required under the Uniform Guidance, organizations that spend more than $750,000 of federal funds are required to have an audit in accordance with the Uniform Guidance and submit a Data Collection Form through the Federal Audit Clearinghouse within the earlier of nine months after year end or 30 days after its audit opinion date. Cause – The audit under Uniform Guidance for the year ended December 31, 2022 was not completed timely due to staff turnover. Effect – RSI did not comply with reporting regulations required by the Uniform Guidance. Recommendation – We recommend RSI enact policies and procedures to ensure that the Data Collection Form be completed and submitted to the Federal Audit Clearinghouse with the required timeframe specified by the Uniform Guidance. Management’s Response – Management has initiated policies and procedures to ensure that the required reporting regarding federal expenditures is completed in accordance with the Uniform Guidance.
Finding 2022-001
Material Weakness Finding 2022-001 Condition – Even though Restoration Society, Inc. (RSI) costs were allowable under these federal awards, documentation of adequate allocation methods of costs were not maintained for payroll. Management estimated amounts charged to federal programs in lieu of obtaining adequate documentation via time and attendance records. Criteria – Adequate documentation of actual time and effort spent on each federal award program is necessary to comply with various provisions of contract agreements with Federal agencies. Cause – Due to turnover and other priorities, detailed time and attendance records were not maintained. Effect – Inaccurate payroll expenditure reporting throughout the fiscal year. Recommendation – We recommend that the accounting department implement controls and procedures to require staff to submit time and attendance records indicating which federal programs they spent time on. Management’s Response – Management acknowledges the recommendation and has started implementing controls consistent with the recommendation.
Finding 2022-002
Condition – RSI did not have an audit performed timely of its major federal award programs and did not timely submit a Data Collection Form to the Federal Audit Clearinghouse for the year ended December 31, 2022. Criteria – As required under the Uniform Guidance, organizations that spend more than $750,000 of federal funds are required to have an audit in accordance with the Uniform Guidance and submit a Data Collection Form through the Federal Audit Clearinghouse within the earlier of nine months after year end or 30 days after its audit opinion date. Cause – The audit under Uniform Guidance for the year ended December 31, 2022 was not completed timely due to staff turnover. Effect – RSI did not comply with reporting regulations required by the Uniform Guidance. Recommendation – We recommend RSI enact policies and procedures to ensure that the Data Collection Form be completed and submitted to the Federal Audit Clearinghouse with the required timeframe specified by the Uniform Guidance. Management’s Response – Management has initiated policies and procedures to ensure that the required reporting regarding federal expenditures is completed in accordance with the Uniform Guidance.