FAC Explorer

Audit 343017

FY End
2022-12-31
Total Expended
$3.64M
Findings
2
Programs
10
Organization: Southwestern Mn Opportunity Council (MN)
Year: 2022 Accepted: 2025-02-19
Auditor: Abdo

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
523622 2022-001 Material Weakness - P
1100064 2022-001 Material Weakness - P

Programs

ALN Program Spent Major Findings
93.600 Head Start $1.92M Yes 1
20.509 Formula Grants for Rural Areas and Tribal Transit Program $436,452 - 0
93.568 Low-Income Home Energy Assistance $304,179 - 0
81.042 Weatherization Assistance for Low-Income Persons $291,180 - 0
93.558 Temporary Assistance for Needy Families $163,592 - 0
93.569 Community Services Block Grant $139,144 - 0
10.558 Child and Adult Care Food Program $129,962 - 0
17.235 Senior Community Service Employment Program $125,380 - 0
93.575 Child Care and Development Block Grant $121,238 - 0
93.658 Foster Care Title IV-E $14,785 - 0

Contacts

Name Title Type
U4L4SBZUJQC5 Darci Goedtke Auditee
5073764195 Joe Wallis Auditor
No contacts on file

Notes to SEFA

Title: Pass-Through Entity Identifying Numbers Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southwestern Minnesota Opportunity Council, Inc. (the Organization) under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with the requirement of the Uniform Guidance, and Audits of States, Local Governments, and Non-Profit Organizations. Because the schedule presents only a selected portion of operations of the Organization, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization. Expenditures reported on this schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in 2 CFR 200.516(A), Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowable or are limited as to reimbursements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2022, the Organization did not elect to use the 10% de minimis indirect cost rate. Pass-through entity identifying numbers are presented where available.
Title: Subrecipients Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southwestern Minnesota Opportunity Council, Inc. (the Organization) under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with the requirement of the Uniform Guidance, and Audits of States, Local Governments, and Non-Profit Organizations. Because the schedule presents only a selected portion of operations of the Organization, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization. Expenditures reported on this schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in 2 CFR 200.516(A), Cost Principles for Non-Profit Organizations, wherein certain types of expenditures are not allowable or are limited as to reimbursements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2022, the Organization did not elect to use the 10% de minimis indirect cost rate. No federal expenditures presented in this schedule were provided to subrecipients.

Finding Details

Finding 2022-001
Condition: During our audit, material adjustments were needed to adjust substantially all accounts on the statement of financial position. Criteria: Management should have procedures to verify the trial balance is complete in all material respects. Cause: Due to staff turnover and the transition to a new accounting system, the Organization had substantially all accounts on the statement of financial position with incorrect beginning balances. Effect: Various balances were causing the financial statements to be materially misstated. The audit firm noted the misstatements and presented adjusting journal entries to correct during the audit. Recommendation: We recommend the Organization continue to review of all balance sheet and income statement accounts at year end. Additionally we recommend continuing to improve processes and procedures around year and month end close. Views of Responsible Officials: Management agrees with the finding.
Finding 2022-001
Condition: During our audit, material adjustments were needed to adjust substantially all accounts on the statement of financial position. Criteria: Management should have procedures to verify the trial balance is complete in all material respects. Cause: Due to staff turnover and the transition to a new accounting system, the Organization had substantially all accounts on the statement of financial position with incorrect beginning balances. Effect: Various balances were causing the financial statements to be materially misstated. The audit firm noted the misstatements and presented adjusting journal entries to correct during the audit. Recommendation: We recommend the Organization continue to review of all balance sheet and income statement accounts at year end. Additionally we recommend continuing to improve processes and procedures around year and month end close. Views of Responsible Officials: Management agrees with the finding.