FAC Explorer

Audit 344404

FY End
2024-06-30
Total Expended
$1.06M
Findings
6
Programs
1
Organization: Readyct, Inc. (CT)
Year: 2024 Accepted: 2025-03-01
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
525186 2024-001 Material Weakness - B
525187 2024-001 Material Weakness - B
525188 2024-001 Material Weakness - B
1101628 2024-001 Material Weakness - B
1101629 2024-001 Material Weakness - B
1101630 2024-001 Material Weakness - B

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $48,016 Yes 1

Contacts

Name Title Type
P4T5Z4LGQ8N7 Shannon Marimon Auditee
6504002076 Nicole Lee Auditor
No contacts on file

Notes to SEFA

Accounting Policies: Basis of Presentation The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the ReadyCT, Inc., under programs of the federal government for the year ended June 30, 2024. The information in the 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). Because the Schedule presents only a selected portion of the operations of the ReadyCT, Inc., it is not intended to, and does not, present the financial position, changes in net assets, or cash flows of ReadyCT, Inc. Basis of Accounting Expenditures reported on the Schedule are reported on the accrual basis of accounting. For cost-reimbursement awards, 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. For performance-based awards, expenditures reported represent amounts earned. De Minimis Rate Used: Y Rate Explanation: ReadyCT, Inc. has elected to use the 10% de minimis indirect cost rate provided under Section 200.414 of the Uniform Guidance.

Finding Details

Finding 2024-001
Finding No. 2024-001 Federal Agency: Department of the Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Listing Number: 21.027 Federal Award Identification Number and Year: 22GOV0019AA, 2024 Pass-Through Agency: Town of East Hartford, State of Connecticut Office of Workforce Strategy, City of Hartford Pass-Through Number: SLFRP0128 Award Period: 2024 Type of Finding: - Material Weakness in Internal Control over Compliance - Material Noncompliance (Modified Opinion) Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of allowable costs. ReadyCT, Inc. should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, it was noted that the organization does not have a standard policy requiring the preparation of time sheets or personal activity reports (PAR) for all employees on a monthly basis that are signed off on by the employee and the supervisor. Questioned costs: Unknown Context: ReadyCT, Inc. is charging to the award based on the budgeted payroll expenses which does not correspond with the actual salary expense that should have been allocated to the award. Salaries and benefits charged to this award represent approximately 72% of total award expenditures and 22% of total salaries and benefits costs incurred by the organization for the fiscal year ending June 30, 2024. While costs charged to the award for salaries and benefits did not exceed the established budget, without supporting activity reports or time sheets, it is unknown if the employees charged to the award should have been. Cause: Management believed that they should charge the award based on budget, updated periodically for changes in awards or personnel. There was no formal documentation of employee and supervisor approval of the amounts allocated to the award. Effect: The effect is that salaries charged may not represent the award's allocable share. Repeat Finding: No Recommendation: ReadyCT, Inc. should formalize a process of employee documentation of time and effort for the award as well as supervisor review over allocations to the award to ensure that allocations are based on actual time and effort. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.
Finding 2024-001
Finding No. 2024-001 Federal Agency: Department of the Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Listing Number: 21.027 Federal Award Identification Number and Year: 22GOV0019AA, 2024 Pass-Through Agency: Town of East Hartford, State of Connecticut Office of Workforce Strategy, City of Hartford Pass-Through Number: SLFRP0128 Award Period: 2024 Type of Finding: - Material Weakness in Internal Control over Compliance - Material Noncompliance (Modified Opinion) Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of allowable costs. ReadyCT, Inc. should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, it was noted that the organization does not have a standard policy requiring the preparation of time sheets or personal activity reports (PAR) for all employees on a monthly basis that are signed off on by the employee and the supervisor. Questioned costs: Unknown Context: ReadyCT, Inc. is charging to the award based on the budgeted payroll expenses which does not correspond with the actual salary expense that should have been allocated to the award. Salaries and benefits charged to this award represent approximately 72% of total award expenditures and 22% of total salaries and benefits costs incurred by the organization for the fiscal year ending June 30, 2024. While costs charged to the award for salaries and benefits did not exceed the established budget, without supporting activity reports or time sheets, it is unknown if the employees charged to the award should have been. Cause: Management believed that they should charge the award based on budget, updated periodically for changes in awards or personnel. There was no formal documentation of employee and supervisor approval of the amounts allocated to the award. Effect: The effect is that salaries charged may not represent the award's allocable share. Repeat Finding: No Recommendation: ReadyCT, Inc. should formalize a process of employee documentation of time and effort for the award as well as supervisor review over allocations to the award to ensure that allocations are based on actual time and effort. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.
Finding 2024-001
Finding No. 2024-001 Federal Agency: Department of the Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Listing Number: 21.027 Federal Award Identification Number and Year: 22GOV0019AA, 2024 Pass-Through Agency: Town of East Hartford, State of Connecticut Office of Workforce Strategy, City of Hartford Pass-Through Number: SLFRP0128 Award Period: 2024 Type of Finding: - Material Weakness in Internal Control over Compliance - Material Noncompliance (Modified Opinion) Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of allowable costs. ReadyCT, Inc. should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, it was noted that the organization does not have a standard policy requiring the preparation of time sheets or personal activity reports (PAR) for all employees on a monthly basis that are signed off on by the employee and the supervisor. Questioned costs: Unknown Context: ReadyCT, Inc. is charging to the award based on the budgeted payroll expenses which does not correspond with the actual salary expense that should have been allocated to the award. Salaries and benefits charged to this award represent approximately 72% of total award expenditures and 22% of total salaries and benefits costs incurred by the organization for the fiscal year ending June 30, 2024. While costs charged to the award for salaries and benefits did not exceed the established budget, without supporting activity reports or time sheets, it is unknown if the employees charged to the award should have been. Cause: Management believed that they should charge the award based on budget, updated periodically for changes in awards or personnel. There was no formal documentation of employee and supervisor approval of the amounts allocated to the award. Effect: The effect is that salaries charged may not represent the award's allocable share. Repeat Finding: No Recommendation: ReadyCT, Inc. should formalize a process of employee documentation of time and effort for the award as well as supervisor review over allocations to the award to ensure that allocations are based on actual time and effort. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.
Finding 2024-001
Finding No. 2024-001 Federal Agency: Department of the Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Listing Number: 21.027 Federal Award Identification Number and Year: 22GOV0019AA, 2024 Pass-Through Agency: Town of East Hartford, State of Connecticut Office of Workforce Strategy, City of Hartford Pass-Through Number: SLFRP0128 Award Period: 2024 Type of Finding: - Material Weakness in Internal Control over Compliance - Material Noncompliance (Modified Opinion) Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of allowable costs. ReadyCT, Inc. should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, it was noted that the organization does not have a standard policy requiring the preparation of time sheets or personal activity reports (PAR) for all employees on a monthly basis that are signed off on by the employee and the supervisor. Questioned costs: Unknown Context: ReadyCT, Inc. is charging to the award based on the budgeted payroll expenses which does not correspond with the actual salary expense that should have been allocated to the award. Salaries and benefits charged to this award represent approximately 72% of total award expenditures and 22% of total salaries and benefits costs incurred by the organization for the fiscal year ending June 30, 2024. While costs charged to the award for salaries and benefits did not exceed the established budget, without supporting activity reports or time sheets, it is unknown if the employees charged to the award should have been. Cause: Management believed that they should charge the award based on budget, updated periodically for changes in awards or personnel. There was no formal documentation of employee and supervisor approval of the amounts allocated to the award. Effect: The effect is that salaries charged may not represent the award's allocable share. Repeat Finding: No Recommendation: ReadyCT, Inc. should formalize a process of employee documentation of time and effort for the award as well as supervisor review over allocations to the award to ensure that allocations are based on actual time and effort. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.
Finding 2024-001
Finding No. 2024-001 Federal Agency: Department of the Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Listing Number: 21.027 Federal Award Identification Number and Year: 22GOV0019AA, 2024 Pass-Through Agency: Town of East Hartford, State of Connecticut Office of Workforce Strategy, City of Hartford Pass-Through Number: SLFRP0128 Award Period: 2024 Type of Finding: - Material Weakness in Internal Control over Compliance - Material Noncompliance (Modified Opinion) Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of allowable costs. ReadyCT, Inc. should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, it was noted that the organization does not have a standard policy requiring the preparation of time sheets or personal activity reports (PAR) for all employees on a monthly basis that are signed off on by the employee and the supervisor. Questioned costs: Unknown Context: ReadyCT, Inc. is charging to the award based on the budgeted payroll expenses which does not correspond with the actual salary expense that should have been allocated to the award. Salaries and benefits charged to this award represent approximately 72% of total award expenditures and 22% of total salaries and benefits costs incurred by the organization for the fiscal year ending June 30, 2024. While costs charged to the award for salaries and benefits did not exceed the established budget, without supporting activity reports or time sheets, it is unknown if the employees charged to the award should have been. Cause: Management believed that they should charge the award based on budget, updated periodically for changes in awards or personnel. There was no formal documentation of employee and supervisor approval of the amounts allocated to the award. Effect: The effect is that salaries charged may not represent the award's allocable share. Repeat Finding: No Recommendation: ReadyCT, Inc. should formalize a process of employee documentation of time and effort for the award as well as supervisor review over allocations to the award to ensure that allocations are based on actual time and effort. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.
Finding 2024-001
Finding No. 2024-001 Federal Agency: Department of the Treasury Federal Program Name: Coronavirus State and Local Fiscal Recovery Funds Listing Number: 21.027 Federal Award Identification Number and Year: 22GOV0019AA, 2024 Pass-Through Agency: Town of East Hartford, State of Connecticut Office of Workforce Strategy, City of Hartford Pass-Through Number: SLFRP0128 Award Period: 2024 Type of Finding: - Material Weakness in Internal Control over Compliance - Material Noncompliance (Modified Opinion) Criteria: 2 CFR Part 200 Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Award requires compliance with the provisions of allowable costs. ReadyCT, Inc. should have internal controls designed to ensure compliance with those provisions. Condition: During our testing, it was noted that the organization does not have a standard policy requiring the preparation of time sheets or personal activity reports (PAR) for all employees on a monthly basis that are signed off on by the employee and the supervisor. Questioned costs: Unknown Context: ReadyCT, Inc. is charging to the award based on the budgeted payroll expenses which does not correspond with the actual salary expense that should have been allocated to the award. Salaries and benefits charged to this award represent approximately 72% of total award expenditures and 22% of total salaries and benefits costs incurred by the organization for the fiscal year ending June 30, 2024. While costs charged to the award for salaries and benefits did not exceed the established budget, without supporting activity reports or time sheets, it is unknown if the employees charged to the award should have been. Cause: Management believed that they should charge the award based on budget, updated periodically for changes in awards or personnel. There was no formal documentation of employee and supervisor approval of the amounts allocated to the award. Effect: The effect is that salaries charged may not represent the award's allocable share. Repeat Finding: No Recommendation: ReadyCT, Inc. should formalize a process of employee documentation of time and effort for the award as well as supervisor review over allocations to the award to ensure that allocations are based on actual time and effort. Views of Responsible Officials: Management concurs with the finding. See separate corrective action plan.