FAC Explorer

Audit 344683

FY End
2024-06-30
Total Expended
$1.85M
Findings
6
Programs
1
Organization: Gage County (NE)
Year: 2024 Accepted: 2025-03-04
Auditor: Gbe CPA

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
525576 2024-001 Material Weakness - A
525577 2024-002 Material Weakness - A
525578 2024-003 Material Weakness - A
1102018 2024-001 Material Weakness - A
1102019 2024-002 Material Weakness - A
1102020 2024-003 Material Weakness - A

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.85M Yes 3

Contacts

Name Title Type
X5YJUHQJBPF8 Dawn Hill Auditee
4022231300 Ryan Burger Auditor
No contacts on file

Notes to SEFA

Title: NOTE A: BASIS OF PRESENTATION Accounting Policies: NOTE A: BASIS OF PRESENTATION and NOTE B: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES De Minimis Rate Used: Y Rate Explanation: N/A The accompanying schedule of expenditures of Federal awards (Schedule) includes the Federal award activity of Gage County (County) 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 for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Gage County, it is not intended to and does not present the financial position or changes in net assets of the County. The County’s reporting entity is defined in Note 1.A. to the County’s financial statements. Federal awards received directly from Federal agencies, as well as those passed through other government agencies, are included in the Schedule. Unless otherwise noted on the Schedule, all programs are received directly from the respective Federal agency. Gage County has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE B: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: NOTE A: BASIS OF PRESENTATION and NOTE B: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES De Minimis Rate Used: Y Rate Explanation: N/A Expenditures reported on the Schedule are reported on the cash 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.

Finding Details

Finding 2024-001
Criteria: Good internal control requires entities have personnel in place to produce financial statements, which includes the notes to the financial statements, in accordance with GAAP and other applicable standards. Condition: Though management demonstrates the capability of running a governmental organization, we noted a lack of expertise and knowledge was evident in the area of financial statement preparation in accordance with cash basis and other applicable standards. Additionally, numerous material audit adjustments were brought to management’s attention during the audit. Effect: Without proper personnel, there is an increased risk the financial statements may be materially misstated. Recommendation: We recommend the County weigh the cost benefit of providing training to current personnel in the areas of GAAP and financial statement preparation or hiring additional personnel with this expertise. Response: The County will consider the costs benefit of training provisions or hiring additional personnel. Questioned Costs: No questioned costs were identified.
Finding 2024-002
Criteria: Good internal control over financial reporting requires entities have proper segregation of duties in the accounting function so that no one person can authorize a transaction, record the transaction in account, and be responsible for the custody of the asset resulting from the transaction. Condition: Though management demonstrates the capability of running a governmental organization, we noted a lack of segregation of duties as one person could handle all phases of a transaction from beginning to end. Effect: Without proper segregation of duties, there is an increased risk the financial statements may be materially misstated. Repeat Finding: Yes Recommendation: We recommend the County weigh the cost benefit of hiring personnel with accounting function capabilities in order to properly segregate duties. Response: The County’s Board will consider the costs benefit of hiring additional personnel. Additionally, the Board takes an active interest in the finances of the County and provides additional oversight. Questioned Costs: No questioned costs were identified.
Finding 2024-003
Criteria: Each month, the County Sheriff’s Office remits fees collected to the County Treasurer. Condition: During testing it was noted the County Sheriff’s Office dates the check for the last day of the month the fees were earned rather than the date the check was written. Further, it was noted some checks were written more than 2 months later than the last earned fee for that period. Effect: Without proper procedures regarding the process to remit and date checks to the treasurer, there is an increased risk for the loss, misuse, or theft of public funds. Repeat Finding: Yes Recommendation: We recommend the County create a control process for the timing and monitoring of remittances to the Treasurer’s Office. Response: The Sheriff will discuss with the administrative staff to develop policies to ensure timely and accurate remittances to the Treasurer’s office. Questioned Costs: No questioned costs were identified.
Finding 2024-001
Criteria: Good internal control requires entities have personnel in place to produce financial statements, which includes the notes to the financial statements, in accordance with GAAP and other applicable standards. Condition: Though management demonstrates the capability of running a governmental organization, we noted a lack of expertise and knowledge was evident in the area of financial statement preparation in accordance with cash basis and other applicable standards. Additionally, numerous material audit adjustments were brought to management’s attention during the audit. Effect: Without proper personnel, there is an increased risk the financial statements may be materially misstated. Recommendation: We recommend the County weigh the cost benefit of providing training to current personnel in the areas of GAAP and financial statement preparation or hiring additional personnel with this expertise. Response: The County will consider the costs benefit of training provisions or hiring additional personnel. Questioned Costs: No questioned costs were identified.
Finding 2024-002
Criteria: Good internal control over financial reporting requires entities have proper segregation of duties in the accounting function so that no one person can authorize a transaction, record the transaction in account, and be responsible for the custody of the asset resulting from the transaction. Condition: Though management demonstrates the capability of running a governmental organization, we noted a lack of segregation of duties as one person could handle all phases of a transaction from beginning to end. Effect: Without proper segregation of duties, there is an increased risk the financial statements may be materially misstated. Repeat Finding: Yes Recommendation: We recommend the County weigh the cost benefit of hiring personnel with accounting function capabilities in order to properly segregate duties. Response: The County’s Board will consider the costs benefit of hiring additional personnel. Additionally, the Board takes an active interest in the finances of the County and provides additional oversight. Questioned Costs: No questioned costs were identified.
Finding 2024-003
Criteria: Each month, the County Sheriff’s Office remits fees collected to the County Treasurer. Condition: During testing it was noted the County Sheriff’s Office dates the check for the last day of the month the fees were earned rather than the date the check was written. Further, it was noted some checks were written more than 2 months later than the last earned fee for that period. Effect: Without proper procedures regarding the process to remit and date checks to the treasurer, there is an increased risk for the loss, misuse, or theft of public funds. Repeat Finding: Yes Recommendation: We recommend the County create a control process for the timing and monitoring of remittances to the Treasurer’s Office. Response: The Sheriff will discuss with the administrative staff to develop policies to ensure timely and accurate remittances to the Treasurer’s office. Questioned Costs: No questioned costs were identified.