Audit 334141

FY End
2022-12-31
Total Expended
$1.46M
Findings
2
Programs
7
Organization: Union County, Arkansas (AR)
Year: 2022 Accepted: 2024-12-20

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
516292 2022-001 - - L
1092734 2022-001 - - L

Contacts

Name Title Type
VE4KQ32EC3M1 Jody Cunningham Auditee
8708641928 Stacy Scroggins Auditor
No contacts on file

Notes to SEFA

Title: Reporting Entity Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, as applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The County does not maintain a cost allocation plan for allocation of common and indirect costs related to grant programs and has not elected to use the 10% de minimis cost rate as allowed by Uniform Guidance; accordingly, no indirect costs have been allocated to the grant programs included in the schedule of expenditures of federal awards. Union County, Arkansas (the “County”) is a governmental entity established by laws of the State of Arkansas and has the powers of a body corporate, as defined in the statutes. All significant operations of the County are included in the scope of the Office of Management and Budget (“OMB”) requirements contained in 2 CFR Part 200, Subpart F (“Single Audit”). No federal entity has been designated as the County’s cognizant agency for the Single Audit. The reporting entity for the County is based upon criteria established by the Governmental Accounting Standards Board.
Title: Basis of Presentation Accounting Policies: Expenditures reported on the schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, as applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The County does not maintain a cost allocation plan for allocation of common and indirect costs related to grant programs and has not elected to use the 10% de minimis cost rate as allowed by Uniform Guidance; accordingly, no indirect costs have been allocated to the grant programs included in the schedule of expenditures of federal awards. The accompanying schedule of expenditures of federal awards (the “schedule”) includes the County’s federal award activity 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). The schedule presents only a selected portion of the operations of the County and accordingly, it is not intended to and does not present the financial position, changes in net position or cash flows of the County.

Finding Details

CFDA No. 14.228 HUD CDBG Federal Agency Department of Housing and Urban Development Pass-through Agency Arkansas Economic Development Commission Criteria: Per guidance provided in 2 CFR part 200.512, the audit must be completed, and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition/Context: The reporting package was not prepared within the allowed timeframe. Effect: Union County, Arkansas filed a late submission of the data collection form and reporting package for the audit period. Questioned Costs: None. Cause: Union County, Arkansas was unable to prepare the package timely due to Union County, Arkansas’s financial statement audit being completed subsequent to the deadline. Recommendation: Union County, Arkansas should work with its financial statement auditor to ensure that financial statement audits are completed in a timely manner. Views of Responsible Officials: Union County, Arkansas recognizes the importance of complying with the requirements of the Uniform Guidance and the need for a timely submission of the data collection form and reporting package. Union County, Arkansas is audited by Arkansas Legislative Audit and will work with auditors to ensure timely completion of its financial statement audits. See also corrective action plan.
CFDA No. 14.228 HUD CDBG Federal Agency Department of Housing and Urban Development Pass-through Agency Arkansas Economic Development Commission Criteria: Per guidance provided in 2 CFR part 200.512, the audit must be completed, and the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Condition/Context: The reporting package was not prepared within the allowed timeframe. Effect: Union County, Arkansas filed a late submission of the data collection form and reporting package for the audit period. Questioned Costs: None. Cause: Union County, Arkansas was unable to prepare the package timely due to Union County, Arkansas’s financial statement audit being completed subsequent to the deadline. Recommendation: Union County, Arkansas should work with its financial statement auditor to ensure that financial statement audits are completed in a timely manner. Views of Responsible Officials: Union County, Arkansas recognizes the importance of complying with the requirements of the Uniform Guidance and the need for a timely submission of the data collection form and reporting package. Union County, Arkansas is audited by Arkansas Legislative Audit and will work with auditors to ensure timely completion of its financial statement audits. See also corrective action plan.