FAC Explorer

Audit 339219

FY End
2022-12-31
Total Expended
$1.37M
Findings
12
Programs
3
Organization: Fountain Christian Bilingual School Guayama. INC (PR)
Year: 2022 Accepted: 2025-01-22
Auditor: Jafcha Group LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
519885 2022-002 Material Weakness Yes F
519886 2022-002 Material Weakness Yes F
519887 2022-002 Material Weakness Yes F
519888 2022-003 Material Weakness Yes L
519889 2022-003 Material Weakness Yes L
519890 2022-003 Material Weakness Yes L
1096327 2022-002 Material Weakness Yes F
1096328 2022-002 Material Weakness Yes F
1096329 2022-002 Material Weakness Yes F
1096330 2022-003 Material Weakness Yes L
1096331 2022-003 Material Weakness Yes L
1096332 2022-003 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.02M Yes 2
10.555 National School Lunch Program $238,717 Yes 2
10.553 School Breakfast Program $114,646 Yes 2

Contacts

Name Title Type
DL21YURVM3G7 Mirrian Gonzalez Auditee
7878666529 Juan A. Feliciano Charneco Auditor
No contacts on file

Notes to SEFA

Title: (1) GENERAL Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Fountain Christian Bilingual School Guayama, Inc., (the Corporation) and is presented on the accrual basis of accounting. The reporting entity is defined in Note 1 to the financial statements of the Corporation. De Minimis Rate Used: N Rate Explanation: THE CORPORATION DOES NOT SELECT THEMINIMAL COST RATE 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), therefore, some amounts presented in this schedule may differ from amounts presented in or used in the preparation of the financial statements.
Title: (2) MAJOR FEDERAL AWARD Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Fountain Christian Bilingual School Guayama, Inc., (the Corporation) and is presented on the accrual basis of accounting. The reporting entity is defined in Note 1 to the financial statements of the Corporation. De Minimis Rate Used: N Rate Explanation: THE CORPORATION DOES NOT SELECT THEMINIMAL COST RATE Disaster Grant - Public Assistance School Breakfast Program National School Lunch Program Mayor programs represent total expenditures of federal funds.
Title: (3) FEDERAL CATALOG OF FEDERAL DOMESTIC ASSISTANCE (CFDA) Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Fountain Christian Bilingual School Guayama, Inc., (the Corporation) and is presented on the accrual basis of accounting. The reporting entity is defined in Note 1 to the financial statements of the Corporation. De Minimis Rate Used: N Rate Explanation: THE CORPORATION DOES NOT SELECT THEMINIMAL COST RATE The federal Catalog of Federal Domestic Assistance (CFDA) Numbers included in this schedule were determined based on the program name and Uniform Guidance compliance supplement.
Title: (4) INDIRECT COST RATE Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Fountain Christian Bilingual School Guayama, Inc., (the Corporation) and is presented on the accrual basis of accounting. The reporting entity is defined in Note 1 to the financial statements of the Corporation. De Minimis Rate Used: N Rate Explanation: THE CORPORATION DOES NOT SELECT THEMINIMAL COST RATE The Corporation does not select the 10% of minimal cost rate allowed under the Uniform Guidance.
Title: (5) RELATIONSHIP TO STATEMENT OF ACTIVITIES AND CHANGES IN NET ASSETS Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Fountain Christian Bilingual School Guayama, Inc., (the Corporation) and is presented on the accrual basis of accounting. The reporting entity is defined in Note 1 to the financial statements of the Corporation. De Minimis Rate Used: N Rate Explanation: THE CORPORATION DOES NOT SELECT THEMINIMAL COST RATE Federal financial assistance expenditures are reported in the Corporation.

Finding Details

Finding 2022-002
Criteria CFR part 75.320 Equipment: Management requirements. Procedures for managing equipment (including replacement equipment), when in whole or in part under a federal award, until disposition takes place will, as a minimum, meet some of the following requirements. (2) A physical inventory of the property must be taken, and the result reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft shall be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. (5) If the grantee or subgrantee is authorized or required to sell the property, proper sales procedures must be established to ensure the highest possible return. (6) Property records must be maintained for equipment acquired under a federal award that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. Condition The school did not maintain adequate internal control over property and equipment. The school did not provide a real and personnel property record of all the property and equipment acquired this year with Federal funds and Insurance. Questioned Cost None determined Cause The school doesn’t have accurate property records of Federal funds to trace the personal and real property activities that should be reported to Federal funds. Effect The Fountain Christian Bilingual School-Guayama, Inc. does not present fairly the financial position of the financial statements. Identification of repeated findings: Repeating findings were found. Recommendation A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property; loss, damage, of theft must be investigated. Adequate maintenance procedures must be developed to keep the property in good condition. The school must identify all properties acquired with Federal funds and maintain adequate accounting records in accordance with Federal regulations. The program must maintain an automated accounting and recordkeeping system adequate for effective oversight. Management Response The board of directors will be meeting to hire an accountant to certify the property that is present at Fountain Bilingual School-Guayama, Inc. to make a consistent property listing. Also make a control system to ensure adequate safeguards to prevent loss, damage, or theft of the property and maintain adequate accounting records.
Finding 2022-002
Criteria CFR part 75.320 Equipment: Management requirements. Procedures for managing equipment (including replacement equipment), when in whole or in part under a federal award, until disposition takes place will, as a minimum, meet some of the following requirements. (2) A physical inventory of the property must be taken, and the result reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft shall be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. (5) If the grantee or subgrantee is authorized or required to sell the property, proper sales procedures must be established to ensure the highest possible return. (6) Property records must be maintained for equipment acquired under a federal award that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. Condition The school did not maintain adequate internal control over property and equipment. The school did not provide a real and personnel property record of all the property and equipment acquired this year with Federal funds and Insurance. Questioned Cost None determined Cause The school doesn’t have accurate property records of Federal funds to trace the personal and real property activities that should be reported to Federal funds. Effect The Fountain Christian Bilingual School-Guayama, Inc. does not present fairly the financial position of the financial statements. Identification of repeated findings: Repeating findings were found. Recommendation A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property; loss, damage, of theft must be investigated. Adequate maintenance procedures must be developed to keep the property in good condition. The school must identify all properties acquired with Federal funds and maintain adequate accounting records in accordance with Federal regulations. The program must maintain an automated accounting and recordkeeping system adequate for effective oversight. Management Response The board of directors will be meeting to hire an accountant to certify the property that is present at Fountain Bilingual School-Guayama, Inc. to make a consistent property listing. Also make a control system to ensure adequate safeguards to prevent loss, damage, or theft of the property and maintain adequate accounting records.
Finding 2022-002
Criteria CFR part 75.320 Equipment: Management requirements. Procedures for managing equipment (including replacement equipment), when in whole or in part under a federal award, until disposition takes place will, as a minimum, meet some of the following requirements. (2) A physical inventory of the property must be taken, and the result reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft shall be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. (5) If the grantee or subgrantee is authorized or required to sell the property, proper sales procedures must be established to ensure the highest possible return. (6) Property records must be maintained for equipment acquired under a federal award that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. Condition The school did not maintain adequate internal control over property and equipment. The school did not provide a real and personnel property record of all the property and equipment acquired this year with Federal funds and Insurance. Questioned Cost None determined Cause The school doesn’t have accurate property records of Federal funds to trace the personal and real property activities that should be reported to Federal funds. Effect The Fountain Christian Bilingual School-Guayama, Inc. does not present fairly the financial position of the financial statements. Identification of repeated findings: Repeating findings were found. Recommendation A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property; loss, damage, of theft must be investigated. Adequate maintenance procedures must be developed to keep the property in good condition. The school must identify all properties acquired with Federal funds and maintain adequate accounting records in accordance with Federal regulations. The program must maintain an automated accounting and recordkeeping system adequate for effective oversight. Management Response The board of directors will be meeting to hire an accountant to certify the property that is present at Fountain Bilingual School-Guayama, Inc. to make a consistent property listing. Also make a control system to ensure adequate safeguards to prevent loss, damage, or theft of the property and maintain adequate accounting records.
Finding 2022-003
s Criteria 2 CFR part 75.512, the Uniform Guidance established the audit must be completed nine months after the end of audit period and the Single Audit Reporting package and Data Collection Form (SF-SAC) Federal Audit Clearing House, must be submitted within the earlier 30 calendar days after receipt of the auditor’s report, or nine months after the end audit period, whichever comes first. Condition Preliminary Financial reports and programs financial information were available on July 15, 2023, to prepare the Single Audit Reporting Package. Questioned Cost None determined Cause Control procedures were not established to provide on time finance information to prepare the Single Audit reporting package. Effect The Corporation did not comply with the submission date required for the Data Collection Form and Reporting Package, this could affect the continuance and new approvals of federal funds. In addition, for the next two (2) fiscal years the Corporation cannot be considered by the auditor as a low-risk auditee. Identification of repeated findings: Repeating findings were found. Recommendation To prepare a calendar responsibility of Federal funds due dates financial statements to be prepared on time. Adequate training must be provided to finance personnel. The board of directors must create an Audit and Finance Committee to revise monthly financial statements. Management Response Agreed with the Finding: We are actively seeking a company to provide guidance and assistance in report issuance, aiming to streamline and address these processes effectively.
Finding 2022-003
s Criteria 2 CFR part 75.512, the Uniform Guidance established the audit must be completed nine months after the end of audit period and the Single Audit Reporting package and Data Collection Form (SF-SAC) Federal Audit Clearing House, must be submitted within the earlier 30 calendar days after receipt of the auditor’s report, or nine months after the end audit period, whichever comes first. Condition Preliminary Financial reports and programs financial information were available on July 15, 2023, to prepare the Single Audit Reporting Package. Questioned Cost None determined Cause Control procedures were not established to provide on time finance information to prepare the Single Audit reporting package. Effect The Corporation did not comply with the submission date required for the Data Collection Form and Reporting Package, this could affect the continuance and new approvals of federal funds. In addition, for the next two (2) fiscal years the Corporation cannot be considered by the auditor as a low-risk auditee. Identification of repeated findings: Repeating findings were found. Recommendation To prepare a calendar responsibility of Federal funds due dates financial statements to be prepared on time. Adequate training must be provided to finance personnel. The board of directors must create an Audit and Finance Committee to revise monthly financial statements. Management Response Agreed with the Finding: We are actively seeking a company to provide guidance and assistance in report issuance, aiming to streamline and address these processes effectively.
Finding 2022-003
s Criteria 2 CFR part 75.512, the Uniform Guidance established the audit must be completed nine months after the end of audit period and the Single Audit Reporting package and Data Collection Form (SF-SAC) Federal Audit Clearing House, must be submitted within the earlier 30 calendar days after receipt of the auditor’s report, or nine months after the end audit period, whichever comes first. Condition Preliminary Financial reports and programs financial information were available on July 15, 2023, to prepare the Single Audit Reporting Package. Questioned Cost None determined Cause Control procedures were not established to provide on time finance information to prepare the Single Audit reporting package. Effect The Corporation did not comply with the submission date required for the Data Collection Form and Reporting Package, this could affect the continuance and new approvals of federal funds. In addition, for the next two (2) fiscal years the Corporation cannot be considered by the auditor as a low-risk auditee. Identification of repeated findings: Repeating findings were found. Recommendation To prepare a calendar responsibility of Federal funds due dates financial statements to be prepared on time. Adequate training must be provided to finance personnel. The board of directors must create an Audit and Finance Committee to revise monthly financial statements. Management Response Agreed with the Finding: We are actively seeking a company to provide guidance and assistance in report issuance, aiming to streamline and address these processes effectively.
Finding 2022-002
Criteria CFR part 75.320 Equipment: Management requirements. Procedures for managing equipment (including replacement equipment), when in whole or in part under a federal award, until disposition takes place will, as a minimum, meet some of the following requirements. (2) A physical inventory of the property must be taken, and the result reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft shall be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. (5) If the grantee or subgrantee is authorized or required to sell the property, proper sales procedures must be established to ensure the highest possible return. (6) Property records must be maintained for equipment acquired under a federal award that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. Condition The school did not maintain adequate internal control over property and equipment. The school did not provide a real and personnel property record of all the property and equipment acquired this year with Federal funds and Insurance. Questioned Cost None determined Cause The school doesn’t have accurate property records of Federal funds to trace the personal and real property activities that should be reported to Federal funds. Effect The Fountain Christian Bilingual School-Guayama, Inc. does not present fairly the financial position of the financial statements. Identification of repeated findings: Repeating findings were found. Recommendation A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property; loss, damage, of theft must be investigated. Adequate maintenance procedures must be developed to keep the property in good condition. The school must identify all properties acquired with Federal funds and maintain adequate accounting records in accordance with Federal regulations. The program must maintain an automated accounting and recordkeeping system adequate for effective oversight. Management Response The board of directors will be meeting to hire an accountant to certify the property that is present at Fountain Bilingual School-Guayama, Inc. to make a consistent property listing. Also make a control system to ensure adequate safeguards to prevent loss, damage, or theft of the property and maintain adequate accounting records.
Finding 2022-002
Criteria CFR part 75.320 Equipment: Management requirements. Procedures for managing equipment (including replacement equipment), when in whole or in part under a federal award, until disposition takes place will, as a minimum, meet some of the following requirements. (2) A physical inventory of the property must be taken, and the result reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft shall be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. (5) If the grantee or subgrantee is authorized or required to sell the property, proper sales procedures must be established to ensure the highest possible return. (6) Property records must be maintained for equipment acquired under a federal award that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. Condition The school did not maintain adequate internal control over property and equipment. The school did not provide a real and personnel property record of all the property and equipment acquired this year with Federal funds and Insurance. Questioned Cost None determined Cause The school doesn’t have accurate property records of Federal funds to trace the personal and real property activities that should be reported to Federal funds. Effect The Fountain Christian Bilingual School-Guayama, Inc. does not present fairly the financial position of the financial statements. Identification of repeated findings: Repeating findings were found. Recommendation A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property; loss, damage, of theft must be investigated. Adequate maintenance procedures must be developed to keep the property in good condition. The school must identify all properties acquired with Federal funds and maintain adequate accounting records in accordance with Federal regulations. The program must maintain an automated accounting and recordkeeping system adequate for effective oversight. Management Response The board of directors will be meeting to hire an accountant to certify the property that is present at Fountain Bilingual School-Guayama, Inc. to make a consistent property listing. Also make a control system to ensure adequate safeguards to prevent loss, damage, or theft of the property and maintain adequate accounting records.
Finding 2022-002
Criteria CFR part 75.320 Equipment: Management requirements. Procedures for managing equipment (including replacement equipment), when in whole or in part under a federal award, until disposition takes place will, as a minimum, meet some of the following requirements. (2) A physical inventory of the property must be taken, and the result reconciled with the property records at least once every two years. (3) A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property. Any loss, damage, or theft shall be investigated. (4) Adequate maintenance procedures must be developed to keep the property in good condition. (5) If the grantee or subgrantee is authorized or required to sell the property, proper sales procedures must be established to ensure the highest possible return. (6) Property records must be maintained for equipment acquired under a federal award that include a description of the property, a serial number or other identification number, the source of funding for the property (including the FAIN), who holds title, the acquisition date, and cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. Condition The school did not maintain adequate internal control over property and equipment. The school did not provide a real and personnel property record of all the property and equipment acquired this year with Federal funds and Insurance. Questioned Cost None determined Cause The school doesn’t have accurate property records of Federal funds to trace the personal and real property activities that should be reported to Federal funds. Effect The Fountain Christian Bilingual School-Guayama, Inc. does not present fairly the financial position of the financial statements. Identification of repeated findings: Repeating findings were found. Recommendation A control system must be developed to ensure adequate safeguards to prevent loss, damage, or theft of the property; loss, damage, of theft must be investigated. Adequate maintenance procedures must be developed to keep the property in good condition. The school must identify all properties acquired with Federal funds and maintain adequate accounting records in accordance with Federal regulations. The program must maintain an automated accounting and recordkeeping system adequate for effective oversight. Management Response The board of directors will be meeting to hire an accountant to certify the property that is present at Fountain Bilingual School-Guayama, Inc. to make a consistent property listing. Also make a control system to ensure adequate safeguards to prevent loss, damage, or theft of the property and maintain adequate accounting records.
Finding 2022-003
s Criteria 2 CFR part 75.512, the Uniform Guidance established the audit must be completed nine months after the end of audit period and the Single Audit Reporting package and Data Collection Form (SF-SAC) Federal Audit Clearing House, must be submitted within the earlier 30 calendar days after receipt of the auditor’s report, or nine months after the end audit period, whichever comes first. Condition Preliminary Financial reports and programs financial information were available on July 15, 2023, to prepare the Single Audit Reporting Package. Questioned Cost None determined Cause Control procedures were not established to provide on time finance information to prepare the Single Audit reporting package. Effect The Corporation did not comply with the submission date required for the Data Collection Form and Reporting Package, this could affect the continuance and new approvals of federal funds. In addition, for the next two (2) fiscal years the Corporation cannot be considered by the auditor as a low-risk auditee. Identification of repeated findings: Repeating findings were found. Recommendation To prepare a calendar responsibility of Federal funds due dates financial statements to be prepared on time. Adequate training must be provided to finance personnel. The board of directors must create an Audit and Finance Committee to revise monthly financial statements. Management Response Agreed with the Finding: We are actively seeking a company to provide guidance and assistance in report issuance, aiming to streamline and address these processes effectively.
Finding 2022-003
s Criteria 2 CFR part 75.512, the Uniform Guidance established the audit must be completed nine months after the end of audit period and the Single Audit Reporting package and Data Collection Form (SF-SAC) Federal Audit Clearing House, must be submitted within the earlier 30 calendar days after receipt of the auditor’s report, or nine months after the end audit period, whichever comes first. Condition Preliminary Financial reports and programs financial information were available on July 15, 2023, to prepare the Single Audit Reporting Package. Questioned Cost None determined Cause Control procedures were not established to provide on time finance information to prepare the Single Audit reporting package. Effect The Corporation did not comply with the submission date required for the Data Collection Form and Reporting Package, this could affect the continuance and new approvals of federal funds. In addition, for the next two (2) fiscal years the Corporation cannot be considered by the auditor as a low-risk auditee. Identification of repeated findings: Repeating findings were found. Recommendation To prepare a calendar responsibility of Federal funds due dates financial statements to be prepared on time. Adequate training must be provided to finance personnel. The board of directors must create an Audit and Finance Committee to revise monthly financial statements. Management Response Agreed with the Finding: We are actively seeking a company to provide guidance and assistance in report issuance, aiming to streamline and address these processes effectively.
Finding 2022-003
s Criteria 2 CFR part 75.512, the Uniform Guidance established the audit must be completed nine months after the end of audit period and the Single Audit Reporting package and Data Collection Form (SF-SAC) Federal Audit Clearing House, must be submitted within the earlier 30 calendar days after receipt of the auditor’s report, or nine months after the end audit period, whichever comes first. Condition Preliminary Financial reports and programs financial information were available on July 15, 2023, to prepare the Single Audit Reporting Package. Questioned Cost None determined Cause Control procedures were not established to provide on time finance information to prepare the Single Audit reporting package. Effect The Corporation did not comply with the submission date required for the Data Collection Form and Reporting Package, this could affect the continuance and new approvals of federal funds. In addition, for the next two (2) fiscal years the Corporation cannot be considered by the auditor as a low-risk auditee. Identification of repeated findings: Repeating findings were found. Recommendation To prepare a calendar responsibility of Federal funds due dates financial statements to be prepared on time. Adequate training must be provided to finance personnel. The board of directors must create an Audit and Finance Committee to revise monthly financial statements. Management Response Agreed with the Finding: We are actively seeking a company to provide guidance and assistance in report issuance, aiming to streamline and address these processes effectively.