Audit 341036

FY End
2024-06-30
Total Expended
$4.32M
Findings
4
Programs
2
Organization: Ravalli Head Start, Inc. (UT)
Year: 2024 Accepted: 2025-02-03

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
521106 2024-001 Material Weakness - A
521107 2024-002 Significant Deficiency - A
1097548 2024-001 Material Weakness - A
1097549 2024-002 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
10.558 Child and Adult Care Food Program $107,968 - 0
93.600 Head Start $50,580 Yes 0

Contacts

Name Title Type
H4JAXF1KZZY2 Michele Craig Auditee
4063631217 Keegan Witt 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 grant basis of accounting. 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. De Minimis Rate Used: N Rate Explanation: Ravalli Head Start, Inc. has not elected to use the 10-percent de minimis direct cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Ravalli Head Start, Inc. under programs of the federal government for the year ended June 30, 2024. 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 of Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Ravalli Head Start, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Ravalli Head Start, Inc.
Title: NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the Schedule are reported on the grant basis of accounting. 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. De Minimis Rate Used: N Rate Explanation: Ravalli Head Start, Inc. has not elected to use the 10-percent de minimis direct cost rate allowed under the Uniform Guidance. Expenditures reported on the Schedule are reported on the grant basis of accounting. 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.
Title: NOTE 3. INDIRECT COST RATE Accounting Policies: Expenditures reported on the Schedule are reported on the grant basis of accounting. 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. De Minimis Rate Used: N Rate Explanation: Ravalli Head Start, Inc. has not elected to use the 10-percent de minimis direct cost rate allowed under the Uniform Guidance. Ravalli Head Start, Inc. has not elected to use the 10-percent de minimis direct cost rate allowed under the Uniform Guidance.
Title: NOTE 4. FEDERAL FUNDS PROVIDED TO SUBRECIPIENTS Accounting Policies: Expenditures reported on the Schedule are reported on the grant basis of accounting. 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. De Minimis Rate Used: N Rate Explanation: Ravalli Head Start, Inc. has not elected to use the 10-percent de minimis direct cost rate allowed under the Uniform Guidance. Ravalli Head Start, Inc. provided no federal funds to subrecipients during the audit period.

Finding Details

Criteria: The Organization should follow their policies related to procurement. Condition: During our testing, we found that the Organization did not follow established policies by splitting a project into two phases to refrain from obtaining sealed bids for the Organization’s HVAC project. Cause: Undetermined. Effect: The Organization did not follow their policy for procurement which then allows for the possibility of overpaying for the goods and services provided. Recommendation: We recommend that the Organization follows their policies related to procurement.
Criteria: Expenditures should be approved by a responsible official of the Organization who is aware of the various compliance requirements under the respective grant, this approval should be documented. Condition: During our testing, we tested 44 transactions and found that 3 of these transactions did not contain documentation of approval. Cause: Undetermined. Effect: The Organization did not follow their policy for approval of transactions, which allows for the possibility of having purchased items that don’t conform with the various grant requirements. Recommendation: We recommend that the Organization develops a more comprehensive system to ensure that all transactions are properly reviewed and approved.
Criteria: The Organization should follow their policies related to procurement. Condition: During our testing, we found that the Organization did not follow established policies by splitting a project into two phases to refrain from obtaining sealed bids for the Organization’s HVAC project. Cause: Undetermined. Effect: The Organization did not follow their policy for procurement which then allows for the possibility of overpaying for the goods and services provided. Recommendation: We recommend that the Organization follows their policies related to procurement.
Criteria: Expenditures should be approved by a responsible official of the Organization who is aware of the various compliance requirements under the respective grant, this approval should be documented. Condition: During our testing, we tested 44 transactions and found that 3 of these transactions did not contain documentation of approval. Cause: Undetermined. Effect: The Organization did not follow their policy for approval of transactions, which allows for the possibility of having purchased items that don’t conform with the various grant requirements. Recommendation: We recommend that the Organization develops a more comprehensive system to ensure that all transactions are properly reviewed and approved.