FAC Explorer

Audit 347181

FY End
2024-12-31
Total Expended
$1.74M
Findings
2
Programs
1
Organization: Prairie Power, Inc. (IL)
Year: 2024 Accepted: 2025-03-20
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
529196 2024-001 Material Weakness - ABH
1105638 2024-001 Material Weakness - ABH

Programs

ALN Program Spent Major Findings
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.74M Yes 1

Contacts

Name Title Type
W7AAWX8AFQM3 Crystal Riney Auditee
2172456161 Stacey Nelson Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: Prairie Power, Inc. has not elected to use the 10% de minimis cost rate. The schedule of expenditures of federal awards (the schedule) includes the federal award activity of Prairie Power, Inc. under programs of the federal government for the year ended December 31, 2024. The information 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 Prairie Power, Inc., it is not intended to and does not present the financial position, changes in equity, and cash flows of Prairie Power, Inc.
Title: Disaster Grants – Public Assistance Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: Prairie Power, Inc. has not elected to use the 10% de minimis cost rate. Per the OMB Compliance Supplement, nonfederal entities must record expenditures on the schedule of expenditures of federal awards when FEMA has approved the entity’s project worksheet. The expenditures included in the schedule were incurred in prior fiscal years. These expenditures were approved for payment by the federal agency in 2024 and therefore are included in the schedule when approved.

Finding Details

Finding 2024-001
Department of Homeland Security, State of Illinois Office of Emergency Management, Federal Financial Assistance Listing 97.036, 4728‐DR‐IL Disaster Grants – Public Assistance Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Period of Performance Material Weakness in Internal Control over Compliance Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal award. Condition: Materials expenditures were claimed for reimbursement with no documented formal review and approval. Cause: The Cooperative did not retain documentation to support the review and approval over material costs claimed for reimbursement under the program. Effect: Without a formal documentation of review of expenses, demonstrating the expenditures comply with federal regulations is difficult. Questioned Costs: No questioned costs over $25,000. Context/Sampling: Nonstatistical sampling was used. Sample size was 60 transactions which accounted for $1,925,243 out of $2,310,004 of federal program expenditures of which $1,736,952 was submitted for reimbursement. Repeat Finding form Prior Year: No Recommendation: We recommend the Cooperative review the process for documenting the review and approval over material costs. Views of Responsible Officials: Management agrees with the finding.
Finding 2024-001
Department of Homeland Security, State of Illinois Office of Emergency Management, Federal Financial Assistance Listing 97.036, 4728‐DR‐IL Disaster Grants – Public Assistance Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Period of Performance Material Weakness in Internal Control over Compliance Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal award. Condition: Materials expenditures were claimed for reimbursement with no documented formal review and approval. Cause: The Cooperative did not retain documentation to support the review and approval over material costs claimed for reimbursement under the program. Effect: Without a formal documentation of review of expenses, demonstrating the expenditures comply with federal regulations is difficult. Questioned Costs: No questioned costs over $25,000. Context/Sampling: Nonstatistical sampling was used. Sample size was 60 transactions which accounted for $1,925,243 out of $2,310,004 of federal program expenditures of which $1,736,952 was submitted for reimbursement. Repeat Finding form Prior Year: No Recommendation: We recommend the Cooperative review the process for documenting the review and approval over material costs. Views of Responsible Officials: Management agrees with the finding.