Audit 342835

Criteria: 2 CFR 200.510(b) requires the auditee to prepare a schedule of expenditures of federal awards (SEFA) that contains federal awards expended during the period. Condition: On the original SEFA provided for the audit, the total federal expenditures reflected on the SEFA were inaccurate with excess amounts for some programs and omitting some grants with federal flow through funds. This resulted in a material restatement of the SEFA. Cause: During the year end accounting closing cycle, the Organization did an initial year end close and due to limitations on the staff was unable to ensure the complete accuracy of the SEFA prior to providing it to the auditor. Effect: SEFA was inaccurate Recommendation: We recommend the Organization review its year end close timeline and procedures to ensure that all grants are reviewed and reviewed for activity during the period to ensure that the SEFA is complete and accurate. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.512(a) requires that the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report, or nine months after the end of the fiscal year of the Organization. Condition: The Organization's data collection form for the year ended June 30, 2023 will be filed after the March 30, 2024 nine month deadline, making it a late filing. Cause: During the year end accounting closing cycle, the Organization did an initial year end close and due to limitations on the staff resulting from the delay in audit of the year ended June 30, 2022 resulted in a limitation of availability to ensure all necessary items were fully closed out timely. Effect: Late filing will result in the Organization not meeting the low-risk auditee criteria for two years following the year ended June 30, 2023. Recommendation: We recommend the Organization review its year end close timeline and procedures to ensure that the audit is completed and filed within the nine month deadline. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.430(h)(8)(i) requires that amounts of personnel expenses are properly documented and include appropriate controls and documentation to support the distribution of the employee's wages among specific activities if the employee works on more than one award. Condition: Of the testing population of 60 payroll transactions tested, for 10 transactions the Organization was unable to provide a timesheet or other documentation to substantiate the application of the individual's time for that period. In addition for 17 transactions, the allocation on the time sheet provided does not agree to the allocation of the individual's wages to the program in the general ledger and voucher. Cause: Due to limited staffing resources, the Organization was not able to ensure maintenance of adequate documentation. Effect: The Organization is not able to demonstrate that the personnel expenses allocated to the grant was proper and ensure avoidance of duplication of funding requests for the same amounts. Questioned Costs: Unknown Recommendation: Management should review and refine its process of tracking payroll costs by grant to ensure that the costs are supported by a system of internal controls which provides reasonable assurance that the charges are accurate, are properly allocated, and reasonably reflect the total activity for which the employee is compensated. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.405 maintains that costs which are allocable to more than one program be allocated based on the proportional benefit or as determined on any reasonable documented basis. Condition: Of the testing population of 40 transactions, for 4 transactions the Organization was unable to provide support for the amount allocated to the federal program. For an additional 8 transactions the Organization did not provide the support for the expenditure. Views of Responsible Officials: Management agrees with the finding; see corrective action plan. Cause: Due to limited staffing resources, the Organization was not able to ensure maintenance of adequate documentation. Effect: The Organization must be able to demonstrate the expenses allocated to the program is properly supported to ensure adequate allocation records. Questioned Costs: Unknown Recommendation: Management should review and refine its process of allocating costs by grant to ensure that the costs are supported by a system of internal controls which provides reasonable assurance that the charges are accurate, properly allocated, and reasonably reflect the proportional benefit tot hat program.

Criteria: The Organization's Financial Policies and Procedures require that before preparing a voucher, expenditures eligible for reimbursement are identified in the general ledget and supporting documentation is maintained with a copy of the voucher. Condition: Of the testing population of 4 monthly reports, the Organization was unable to provide a general ledger detail report that supported the amounts included on the general ledger. Cause: Due to limited staffing resources, the Organization was not able to ensure maintenance of adequate documentation. Effect: The Organization must be able to demonstrate the expenses allocated to the program is properly supported to ensure adequate records that the expenditure has been inurred and not allocated to other programs. Recommendation: Management should review and refine its process of reporting documentation to ensure that documentation of the general ledger actiivty that supports the amount on the vouchers is maintained and that total expenditures for the year is reconciled back to the general ledger on an annual basis. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.510(b) requires the auditee to prepare a schedule of expenditures of federal awards (SEFA) that contains federal awards expended during the period. Condition: On the original SEFA provided for the audit, the total federal expenditures reflected on the SEFA were inaccurate with excess amounts for some programs and omitting some grants with federal flow through funds. This resulted in a material restatement of the SEFA. Cause: During the year end accounting closing cycle, the Organization did an initial year end close and due to limitations on the staff was unable to ensure the complete accuracy of the SEFA prior to providing it to the auditor. Effect: SEFA was inaccurate Recommendation: We recommend the Organization review its year end close timeline and procedures to ensure that all grants are reviewed and reviewed for activity during the period to ensure that the SEFA is complete and accurate. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.512(a) requires that the data collection form and reporting package must be submitted within the earlier of 30 calendar days after receipt of the auditor's report, or nine months after the end of the fiscal year of the Organization. Condition: The Organization's data collection form for the year ended June 30, 2023 will be filed after the March 30, 2024 nine month deadline, making it a late filing. Cause: During the year end accounting closing cycle, the Organization did an initial year end close and due to limitations on the staff resulting from the delay in audit of the year ended June 30, 2022 resulted in a limitation of availability to ensure all necessary items were fully closed out timely. Effect: Late filing will result in the Organization not meeting the low-risk auditee criteria for two years following the year ended June 30, 2023. Recommendation: We recommend the Organization review its year end close timeline and procedures to ensure that the audit is completed and filed within the nine month deadline. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.430(h)(8)(i) requires that amounts of personnel expenses are properly documented and include appropriate controls and documentation to support the distribution of the employee's wages among specific activities if the employee works on more than one award. Condition: Of the testing population of 60 payroll transactions tested, for 10 transactions the Organization was unable to provide a timesheet or other documentation to substantiate the application of the individual's time for that period. In addition for 17 transactions, the allocation on the time sheet provided does not agree to the allocation of the individual's wages to the program in the general ledger and voucher. Cause: Due to limited staffing resources, the Organization was not able to ensure maintenance of adequate documentation. Effect: The Organization is not able to demonstrate that the personnel expenses allocated to the grant was proper and ensure avoidance of duplication of funding requests for the same amounts. Questioned Costs: Unknown Recommendation: Management should review and refine its process of tracking payroll costs by grant to ensure that the costs are supported by a system of internal controls which provides reasonable assurance that the charges are accurate, are properly allocated, and reasonably reflect the total activity for which the employee is compensated. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.

Criteria: 2 CFR 200.405 maintains that costs which are allocable to more than one program be allocated based on the proportional benefit or as determined on any reasonable documented basis. Condition: Of the testing population of 40 transactions, for 4 transactions the Organization was unable to provide support for the amount allocated to the federal program. For an additional 8 transactions the Organization did not provide the support for the expenditure. Views of Responsible Officials: Management agrees with the finding; see corrective action plan. Cause: Due to limited staffing resources, the Organization was not able to ensure maintenance of adequate documentation. Effect: The Organization must be able to demonstrate the expenses allocated to the program is properly supported to ensure adequate allocation records. Questioned Costs: Unknown Recommendation: Management should review and refine its process of allocating costs by grant to ensure that the costs are supported by a system of internal controls which provides reasonable assurance that the charges are accurate, properly allocated, and reasonably reflect the proportional benefit tot hat program.

Criteria: The Organization's Financial Policies and Procedures require that before preparing a voucher, expenditures eligible for reimbursement are identified in the general ledget and supporting documentation is maintained with a copy of the voucher. Condition: Of the testing population of 4 monthly reports, the Organization was unable to provide a general ledger detail report that supported the amounts included on the general ledger. Cause: Due to limited staffing resources, the Organization was not able to ensure maintenance of adequate documentation. Effect: The Organization must be able to demonstrate the expenses allocated to the program is properly supported to ensure adequate records that the expenditure has been inurred and not allocated to other programs. Recommendation: Management should review and refine its process of reporting documentation to ensure that documentation of the general ledger actiivty that supports the amount on the vouchers is maintained and that total expenditures for the year is reconciled back to the general ledger on an annual basis. Views of Responsible Officials: Management agrees with the finding; see corrective action plan.