Audit 33391

FY End

2022-09-30

Total Expended

$1.77M

Findings

4

Programs

6

Organization: Iowa Healthiest State Initiative (IA)

Year: 2022 Accepted: 2023-05-08

Auditor: Bergankdv

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
32930	2022-001	Significant Deficiency	Yes	P
32931	2022-002	Significant Deficiency	Yes	P
609372	2022-001	Significant Deficiency	Yes	P
609373	2022-002	Significant Deficiency	Yes	P

ALN	Program	Spent	Major	Findings
21.019	Coronavirus Relief Fund	$995,886	Yes	2
10.331	Food Insecurity Nutrition Incentive Grants Program	$498,569	-	0
93.558	Temporary Assistance for Needy Families	$182,418	-	0
93.391	Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises	$80,000	-	0
10.170	Specialty Crop Block Grant Program - Farm Bill	$16,139	-	0
21.027	Coronavirus State and Local Fiscal Recovery Funds	$1,801	-	0

Contacts

Name	Title	Type
RTD2SYGHPEN5	Jami Haberl	Auditee
5156506854	Brent Alexander	Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedule are reported on the cash basis of accounting, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and the Treasurys guidance and FAQs published in the Federal Register, wherein certain types of expenditures are not allowable or are limited to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Iowa Healthiest State Initiative under programs of the federal government for the year ended September 30, 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) and the Treasurys guidance and FAQs published in the Federal Register. Because the Schedule presents only a selected portion of the operations of Iowa Healthiest State Initiative, it is not intended to and does not present the cash receipts and disbursements of Iowa Healthiest State Initiative.

Title: PASS-THROUGH IDENTIFICATION NUMBERS Accounting Policies: Expenditures reported on the schedule are reported on the cash basis of accounting, which is a comprehensive basis of accounting other than accounting principles generally accepted in the United States of America. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and the Treasurys guidance and FAQs published in the Federal Register, wherein certain types of expenditures are not allowable or are limited to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Some of the programs, grants and/or awards included in the Schedule are missing the pass-through entity identification number. The missing numbers are due to the pass-through entities not providing the pass-through identification numbers.

Finding Details

Finding 2022-001

Lack of Segregation of Duties Criteria: An organization should have an internal control system that limits any single individual from having control over two or more phases of a financial transaction or operation. Condition: One person has the responsibility and access to the majority of the accounting and financial systems. Cause: The executive director has the responsibility and access to the majority of the accounting and financial systems. Effect: There is an increased likelihood that that misstatements may occur and not be detected by the organization?s system of internal control. Repeat Finding: This is a repeat finding, see finding 2021-001 in the prior year report. Recommendation: We commend management for updating the Accounting Policies and Procedures Manual and identifying additional ways to segregate duties as much as possible, however, with a small staff, segregation of all duties may not be possible and the organization should analyze the cost benefit of adding an additional staff member. Responsible Official?s Response: Hired a new staff member to assist with the accounting duties. With the new role we will be reviewing accounting policies to further improve the segregation of duties.

Finding 2022-002

Lack of Supervision and Review Criteria: An organization should have an internal control system that implements appropriate supervision and review controls and procedures, including documentation of the review. Condition: The organization was lacking supervision and review of controls and procedures for the first portion of the fiscal year. In some instances, management is performing, but not documenting the review. Cause: Certain accounting procedures are not being reviewed and/or documented by management. Effect: There is an increased likelihood that that misstatements may occur and not be detected by the organization?s system of internal control. Repeat Finding: This is a repeat finding, see finding 2021-002 in the prior year report. Recommendation: We commend management for updating the Accounting Policies and Procedures Manual and implementing several supervision and review processes. We recommend management review their current process to ensure that adequate supervision and reviews are being conducted and documented on all financial transaction processes. Responsible Official?s Response: Hired a new staff member to assist with the accounting duties. With the new role we are in the process of updating the supervision and review of financial records.

Finding 2022-001

Lack of Segregation of Duties Criteria: An organization should have an internal control system that limits any single individual from having control over two or more phases of a financial transaction or operation. Condition: One person has the responsibility and access to the majority of the accounting and financial systems. Cause: The executive director has the responsibility and access to the majority of the accounting and financial systems. Effect: There is an increased likelihood that that misstatements may occur and not be detected by the organization?s system of internal control. Repeat Finding: This is a repeat finding, see finding 2021-001 in the prior year report. Recommendation: We commend management for updating the Accounting Policies and Procedures Manual and identifying additional ways to segregate duties as much as possible, however, with a small staff, segregation of all duties may not be possible and the organization should analyze the cost benefit of adding an additional staff member. Responsible Official?s Response: Hired a new staff member to assist with the accounting duties. With the new role we will be reviewing accounting policies to further improve the segregation of duties.

Finding 2022-002

Lack of Supervision and Review Criteria: An organization should have an internal control system that implements appropriate supervision and review controls and procedures, including documentation of the review. Condition: The organization was lacking supervision and review of controls and procedures for the first portion of the fiscal year. In some instances, management is performing, but not documenting the review. Cause: Certain accounting procedures are not being reviewed and/or documented by management. Effect: There is an increased likelihood that that misstatements may occur and not be detected by the organization?s system of internal control. Repeat Finding: This is a repeat finding, see finding 2021-002 in the prior year report. Recommendation: We commend management for updating the Accounting Policies and Procedures Manual and implementing several supervision and review processes. We recommend management review their current process to ensure that adequate supervision and reviews are being conducted and documented on all financial transaction processes. Responsible Official?s Response: Hired a new staff member to assist with the accounting duties. With the new role we are in the process of updating the supervision and review of financial records.