FAC Explorer

Audit 350830

FY End
2024-06-30
Total Expended
$1.89M
Findings
4
Programs
4
Organization: Nami Chicago (IL)
Year: 2024 Accepted: 2025-03-31
Auditor: Aprio LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
542001 2024-002 Significant Deficiency - A
542002 2024-002 Significant Deficiency - A
1118443 2024-002 Significant Deficiency - A
1118444 2024-002 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $1.17M Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $379,558 Yes 1
16.745 Criminal and Juvenile Justice and Mental Health Collaboration Program $266,382 - 0
93.696 Certified Community Behavioral Health Clinic Expansion Grants $50,000 - 0

Contacts

Name Title Type
W6PWMGN4ZBF6 Jen McGowan-Tomke Auditee
7738228896 Chad Porter 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. Such expenditures are recognized following the cost principles contained in Title 2 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented when applicable and available. De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10 percent de minimis indirect cost rate to recover indirect costs, as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of NAMI Chicago (the “Organization”) 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 Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Title: INSURANCE Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented when applicable and available. De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10 percent de minimis indirect cost rate to recover indirect costs, as allowed under the Uniform Guidance. Insurance coverage for the year ended June 30, 2024 was as follows: Commercial general liability $1,000,000 Commercial property liability $1,067,503 Worker’s compensation $1,000,000 There were no federal funds expended for insurance during the year ended June 30, 2024.
Title: NON-CASH ASSISTANCE Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented when applicable and available. De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10 percent de minimis indirect cost rate to recover indirect costs, as allowed under the Uniform Guidance. The Organization did not receive any non-cash federal awards in the form of commodities during the year ended June 30, 2024.
Title: FEDERAL AWARDS IN THE FORM OF LOANS / LOAN GUARANTEES / INTEREST SUBSIDIES Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented when applicable and available. De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10 percent de minimis indirect cost rate to recover indirect costs, as allowed under the Uniform Guidance. There were no federal awards expended in the form of loans, loan guarantees, or interest subsidies at June 30, 2024.

Finding Details

Finding 2024-002
Finding Number: 2024-002 Disbursement Documentation - Significant Deficiency; Repeat Finding: No; Questioned Costs: None; Funding Agency: Department of Health and Human Services, US Department of Treasury AL Number: 93.243, 21.027 Award Year: 7/1/2023 – 6/30/2024, 7/1/2023 – 6/30/2024 Condition: A sample of expenses were selected to test internal control over compliance and compliance with allowable costs/cost principles. Out of the items selected for testing, we noted insufficient documentation to support approval on 10 out of the 18 expenses selected for testing. Criteria: The Organization is required to follow the Uniform Guidance requirement 2 CFR 200.303, which requires the Organization to establish, document and maintain effective internal controls over federal awards. The Organization verbally approved these expenses but lacked the documentation to support the approval. Cause: The Organization’s fiscal policies and procedures did not require written approval, leading to reliance on verbal approvals which were not documented. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. View of Responsible Officials: Management agrees with the finding and has committed to implementing a corrective action plan. Management has hired new fiscal staff and implemented a new expense management system that requires invoice approvals for all purchases.
Finding 2024-002
Finding Number: 2024-002 Disbursement Documentation - Significant Deficiency; Repeat Finding: No; Questioned Costs: None; Funding Agency: Department of Health and Human Services, US Department of Treasury AL Number: 93.243, 21.027 Award Year: 7/1/2023 – 6/30/2024, 7/1/2023 – 6/30/2024 Condition: A sample of expenses were selected to test internal control over compliance and compliance with allowable costs/cost principles. Out of the items selected for testing, we noted insufficient documentation to support approval on 10 out of the 18 expenses selected for testing. Criteria: The Organization is required to follow the Uniform Guidance requirement 2 CFR 200.303, which requires the Organization to establish, document and maintain effective internal controls over federal awards. The Organization verbally approved these expenses but lacked the documentation to support the approval. Cause: The Organization’s fiscal policies and procedures did not require written approval, leading to reliance on verbal approvals which were not documented. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. View of Responsible Officials: Management agrees with the finding and has committed to implementing a corrective action plan. Management has hired new fiscal staff and implemented a new expense management system that requires invoice approvals for all purchases.
Finding 2024-002
Finding Number: 2024-002 Disbursement Documentation - Significant Deficiency; Repeat Finding: No; Questioned Costs: None; Funding Agency: Department of Health and Human Services, US Department of Treasury AL Number: 93.243, 21.027 Award Year: 7/1/2023 – 6/30/2024, 7/1/2023 – 6/30/2024 Condition: A sample of expenses were selected to test internal control over compliance and compliance with allowable costs/cost principles. Out of the items selected for testing, we noted insufficient documentation to support approval on 10 out of the 18 expenses selected for testing. Criteria: The Organization is required to follow the Uniform Guidance requirement 2 CFR 200.303, which requires the Organization to establish, document and maintain effective internal controls over federal awards. The Organization verbally approved these expenses but lacked the documentation to support the approval. Cause: The Organization’s fiscal policies and procedures did not require written approval, leading to reliance on verbal approvals which were not documented. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. View of Responsible Officials: Management agrees with the finding and has committed to implementing a corrective action plan. Management has hired new fiscal staff and implemented a new expense management system that requires invoice approvals for all purchases.
Finding 2024-002
Finding Number: 2024-002 Disbursement Documentation - Significant Deficiency; Repeat Finding: No; Questioned Costs: None; Funding Agency: Department of Health and Human Services, US Department of Treasury AL Number: 93.243, 21.027 Award Year: 7/1/2023 – 6/30/2024, 7/1/2023 – 6/30/2024 Condition: A sample of expenses were selected to test internal control over compliance and compliance with allowable costs/cost principles. Out of the items selected for testing, we noted insufficient documentation to support approval on 10 out of the 18 expenses selected for testing. Criteria: The Organization is required to follow the Uniform Guidance requirement 2 CFR 200.303, which requires the Organization to establish, document and maintain effective internal controls over federal awards. The Organization verbally approved these expenses but lacked the documentation to support the approval. Cause: The Organization’s fiscal policies and procedures did not require written approval, leading to reliance on verbal approvals which were not documented. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. Effect: The failure to document approvals for expenses could lead to unallowable costs to be disbursed on grant awards. View of Responsible Officials: Management agrees with the finding and has committed to implementing a corrective action plan. Management has hired new fiscal staff and implemented a new expense management system that requires invoice approvals for all purchases.