Audit 350838

FY End
2023-09-30
Total Expended
$1.11M
Findings
8
Programs
1
Year: 2023 Accepted: 2025-03-31

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
542011 2023-002 Significant Deficiency Yes L
542012 2023-002 Significant Deficiency Yes L
542013 2023-002 Significant Deficiency Yes L
542014 2023-003 Significant Deficiency - M
1118453 2023-002 Significant Deficiency Yes L
1118454 2023-002 Significant Deficiency Yes L
1118455 2023-002 Significant Deficiency Yes L
1118456 2023-003 Significant Deficiency - M

Programs

ALN Program Spent Major Findings
47.046 Stem Education (formerly Education and Human Resources) $39,640 Yes 1

Contacts

Name Title Type
T8LKNJC8D5R3 Charles Xie Auditee
5086541781 Amber Bichun Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying schedule of expenditures of federal awards ("Schedule") includes the federal award activity of Institute for Future Intelligence, Inc. (a Nonprofit Organization) (the "Organization") under programs of the federal government for the year ended September 30, 2023. 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 the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization. De Minimis Rate Used: Y Rate Explanation: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.

Finding Details

Condition: The Organization did not complete and submit its federal single audit of its federal award from National Science Foundation ("NSF"), or their designee, by the due date of June 30, 2024. Criteria: 45 CFR §75.501 requires organizations that complete a Generally Accepted Government Auditing Standards Financial Audit under 45 CFR §75.216 to submit a financial related audit in accordance with Government Auditing Standards by the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Cause: The federal audit was not completed until March 2025 as management did not timely engage an audit firm to meet filing requirements. Effect: May impact future funding from NSF. Repeat Finding: Yes, repeat finding of 2022-002. Questioned costs: None Recommendation: We recommend the Organization continue to review policies and procedures over financial reporting in order to ensure future audits are filed timely with NSF, or its designee. Views of responsible officials: Management of the Organization agrees with the finding. The Organization will ensure future audits are filed timely with NSF, or its designee. The Organization's corrective action plan is included at the end of this report.
Condition: The Organization did not complete and submit its federal single audit of its federal award from National Science Foundation ("NSF"), or their designee, by the due date of June 30, 2024. Criteria: 45 CFR §75.501 requires organizations that complete a Generally Accepted Government Auditing Standards Financial Audit under 45 CFR §75.216 to submit a financial related audit in accordance with Government Auditing Standards by the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Cause: The federal audit was not completed until March 2025 as management did not timely engage an audit firm to meet filing requirements. Effect: May impact future funding from NSF. Repeat Finding: Yes, repeat finding of 2022-002. Questioned costs: None Recommendation: We recommend the Organization continue to review policies and procedures over financial reporting in order to ensure future audits are filed timely with NSF, or its designee. Views of responsible officials: Management of the Organization agrees with the finding. The Organization will ensure future audits are filed timely with NSF, or its designee. The Organization's corrective action plan is included at the end of this report.
Condition: The Organization did not complete and submit its federal single audit of its federal award from National Science Foundation ("NSF"), or their designee, by the due date of June 30, 2024. Criteria: 45 CFR §75.501 requires organizations that complete a Generally Accepted Government Auditing Standards Financial Audit under 45 CFR §75.216 to submit a financial related audit in accordance with Government Auditing Standards by the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Cause: The federal audit was not completed until March 2025 as management did not timely engage an audit firm to meet filing requirements. Effect: May impact future funding from NSF. Repeat Finding: Yes, repeat finding of 2022-002. Questioned costs: None Recommendation: We recommend the Organization continue to review policies and procedures over financial reporting in order to ensure future audits are filed timely with NSF, or its designee. Views of responsible officials: Management of the Organization agrees with the finding. The Organization will ensure future audits are filed timely with NSF, or its designee. The Organization's corrective action plan is included at the end of this report.
Condition: The Organization erroneously recorded a prior year subaward expense as a 2023 subaward expense. This was missed during the Chief Financial Officer's review of subaward invoices and during the Chief Executive Officer's overall review of the Statement of Expenditure of Federal Awards. Criteria: Under 2 CFR §200.332, pass through entities are required to review financial and performance reports of subawardees to ensure accurate reporting and cutoff of invoices related to subawards. Cause: The client does not have sufficient controls in place to ensure accurate reporting and cutoff of invoices related to subawards. Effect: The preliminary Statement of Expenditure of Federal Awards ("SEFA") was understated in the current period. Questioned costs: None. Recommendation: Management should review subaward invoices after year-end to determine proper recording in the proper period to which it relates. Views of responsible officials: Management of the Organization agrees with the finding. Management plans to review and revise existing policies and procedures to ensure accurate recording and proper cutoff of invoices related to subawards.
Condition: The Organization did not complete and submit its federal single audit of its federal award from National Science Foundation ("NSF"), or their designee, by the due date of June 30, 2024. Criteria: 45 CFR §75.501 requires organizations that complete a Generally Accepted Government Auditing Standards Financial Audit under 45 CFR §75.216 to submit a financial related audit in accordance with Government Auditing Standards by the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Cause: The federal audit was not completed until March 2025 as management did not timely engage an audit firm to meet filing requirements. Effect: May impact future funding from NSF. Repeat Finding: Yes, repeat finding of 2022-002. Questioned costs: None Recommendation: We recommend the Organization continue to review policies and procedures over financial reporting in order to ensure future audits are filed timely with NSF, or its designee. Views of responsible officials: Management of the Organization agrees with the finding. The Organization will ensure future audits are filed timely with NSF, or its designee. The Organization's corrective action plan is included at the end of this report.
Condition: The Organization did not complete and submit its federal single audit of its federal award from National Science Foundation ("NSF"), or their designee, by the due date of June 30, 2024. Criteria: 45 CFR §75.501 requires organizations that complete a Generally Accepted Government Auditing Standards Financial Audit under 45 CFR §75.216 to submit a financial related audit in accordance with Government Auditing Standards by the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Cause: The federal audit was not completed until March 2025 as management did not timely engage an audit firm to meet filing requirements. Effect: May impact future funding from NSF. Repeat Finding: Yes, repeat finding of 2022-002. Questioned costs: None Recommendation: We recommend the Organization continue to review policies and procedures over financial reporting in order to ensure future audits are filed timely with NSF, or its designee. Views of responsible officials: Management of the Organization agrees with the finding. The Organization will ensure future audits are filed timely with NSF, or its designee. The Organization's corrective action plan is included at the end of this report.
Condition: The Organization did not complete and submit its federal single audit of its federal award from National Science Foundation ("NSF"), or their designee, by the due date of June 30, 2024. Criteria: 45 CFR §75.501 requires organizations that complete a Generally Accepted Government Auditing Standards Financial Audit under 45 CFR §75.216 to submit a financial related audit in accordance with Government Auditing Standards by the earlier of 30 calendar days after receipt of the auditor's report or nine months after the end of the audit period. Cause: The federal audit was not completed until March 2025 as management did not timely engage an audit firm to meet filing requirements. Effect: May impact future funding from NSF. Repeat Finding: Yes, repeat finding of 2022-002. Questioned costs: None Recommendation: We recommend the Organization continue to review policies and procedures over financial reporting in order to ensure future audits are filed timely with NSF, or its designee. Views of responsible officials: Management of the Organization agrees with the finding. The Organization will ensure future audits are filed timely with NSF, or its designee. The Organization's corrective action plan is included at the end of this report.
Condition: The Organization erroneously recorded a prior year subaward expense as a 2023 subaward expense. This was missed during the Chief Financial Officer's review of subaward invoices and during the Chief Executive Officer's overall review of the Statement of Expenditure of Federal Awards. Criteria: Under 2 CFR §200.332, pass through entities are required to review financial and performance reports of subawardees to ensure accurate reporting and cutoff of invoices related to subawards. Cause: The client does not have sufficient controls in place to ensure accurate reporting and cutoff of invoices related to subawards. Effect: The preliminary Statement of Expenditure of Federal Awards ("SEFA") was understated in the current period. Questioned costs: None. Recommendation: Management should review subaward invoices after year-end to determine proper recording in the proper period to which it relates. Views of responsible officials: Management of the Organization agrees with the finding. Management plans to review and revise existing policies and procedures to ensure accurate recording and proper cutoff of invoices related to subawards.