Audit 347997

FY End
2023-10-31
Total Expended
$1.31M
Findings
28
Programs
2
Organization: Minnesota Humanities Center (MN)
Year: 2023 Accepted: 2025-03-25

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
529921 2023-003 Significant Deficiency - L
529922 2023-003 Significant Deficiency - L
529923 2023-003 Significant Deficiency - L
529924 2023-003 Significant Deficiency - L
529925 2023-002 Significant Deficiency - L
529926 2023-002 Significant Deficiency - L
529927 2023-002 Significant Deficiency - L
529928 2023-002 Significant Deficiency - L
529929 2023-002 Significant Deficiency - L
529930 2023-001 Significant Deficiency - L
529931 2023-001 Significant Deficiency - L
529932 2023-001 Significant Deficiency - L
529933 2023-001 Significant Deficiency - L
529934 2023-001 Significant Deficiency - L
1106363 2023-003 Significant Deficiency - L
1106364 2023-003 Significant Deficiency - L
1106365 2023-003 Significant Deficiency - L
1106366 2023-003 Significant Deficiency - L
1106367 2023-002 Significant Deficiency - L
1106368 2023-002 Significant Deficiency - L
1106369 2023-002 Significant Deficiency - L
1106370 2023-002 Significant Deficiency - L
1106371 2023-002 Significant Deficiency - L
1106372 2023-001 Significant Deficiency - L
1106373 2023-001 Significant Deficiency - L
1106374 2023-001 Significant Deficiency - L
1106375 2023-001 Significant Deficiency - L
1106376 2023-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
45.129 Promotion of the Humanities Federal/state Partnership $1.20M Yes 3
45.162 Promotion of the Humanities Federal/state Partnership $15,184 - 2

Contacts

Name Title Type
GW57L54QP4P3 Aby John Auditee
6517724291 Marc A. Kotsonas Auditor
No contacts on file

Notes to SEFA

Title: Note 1: Basis of Presentation Accounting Policies: (1) Expenditures reported on the Schedule are reported on the accrual 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. (2) Grant identifying numbers are presented where available. (3) Minnesota Humanities Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Minnesota Humanities Center has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The accompany schedule of expenditures of federal awards includes the federal grant activity of Minnesota Humanities Center under programs of the federal government for the year ended October 31, 2023. The information is 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 (the Uniform Guidance). Because the schedule presents only a selected portion of the operations of Minnesota Humanities Center, it is not intended to and does not present the financial position, changes in net assets or cash flows of Minnesota Humanities Center.

Finding Details

Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Reporting – The report was filed on time but did not accurately reflect the award expenditures charged to the federal award. Recommendation – We recommend that management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A review of its financial statement should be established to record and in accordance with award documents. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of MHC. In addition, management hired additional staff in 2024, creating a 20% increase in staffing for the organization. Planned completion date for corrective action plan: For the year ending October 31, 2025. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Late Filing of Data Collection Form Criteria – The Data Collection Form for the year ended October 31, 2022, was not submitted to the Federal Audit Clearinghouse by the July 31, 2023, deadline. Condition – There are inadequate internal controls in place to ensure that the Organization’s financial statement audit is completed in a manner to allow the Data Collection Form to be filed by the reporting deadline. Cause – There were delays in completing the 2022 audit due to transition to a new accounting software. Effect – Management was not in compliance with the requirements of the Uniform Guidance. Repeat Finding – No. Recommendation – We recommend that management enhance its internal controls, policies and procedures to ensure that all filing requirements under federal awards are met. Auditee's comments and response – Management and the Board will regularly monitor financial reports and activities of Minnesota Humanities Center. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer
Internal Control over Financial Reporting Criteria – Organizations are required to maintain their accounting records in accordance with generally accepted accounting principles (GAAP). Any errors or corrections are required to be captured and corrected in a timely manner. Condition – The financial statements were not ready for the audit. Adjusting journal entries were required throughout the audit process. Significant audit adjusting entries were proposed and made during the audit. Cause – There was a breakdown in the internal controls over the review of internal financial statements due to issues related to the implementation of a new accounting software. Effect – The organization had inaccurate financial statements for over a year after its year-end. Repeat Finding – No. Recommendation – Management and the board should review its current staffing levels and obtain the training required to produce accurate and timely reports from its accounting software. A process for regular review of its financial statements should be established to ensure activity is timely recorded and in accordance with GAAP. Auditee's comments and response – Management and its contracted accounting staff will monitor financial reports and activities of Minnesota Humanities Center to ensure proper recording. Responsible party for the corrective action – Aby John, Chief Financial Officer