FAC Explorer

Audit 352261

FY End
2024-06-30
Total Expended
$17.71M
Findings
2
Programs
2
Organization: United Way of Southwest New Mexico (NM)
Year: 2024 Accepted: 2025-04-01
Auditor: Clifford Ross & Cooper CPAS LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
553683 2024-001 Material Weakness - AM
1130125 2024-001 Material Weakness - AM

Programs

ALN Program Spent Major Findings
97.042 Emergency Management Performance Grants $17.71M Yes 1
97.024 Emergency Food and Shelter National Board Program $2,028 - 0

Contacts

Name Title Type
H77AVLJNZL46 Amanda Morales Auditee
5755247561 Denise Cooper Auditor
No contacts on file

Notes to SEFA

Title: Note A Accounting Policies: Accural Basis of Accounting De Minimis Rate Used: N Rate Explanation: The Organization elected to not use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of United Way of Southwest New Mexico under programs of the federal government for the year ended June 30, 2024. The information in this Schedule is presented in accordance with the requirments of Title 2 U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Feederal Awards (Uniform Guidance). The Schedule presents only a selected portion of the operations of United Way of Southwest New Mexico, it is not intended to and does not present the financial postion, changes in net assets, or cash flows of United Way of Southwest New Mexico.
Title: Note B Accounting Policies: Accural Basis of Accounting De Minimis Rate Used: N Rate Explanation: The Organization elected to not use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance 1. Expenditures reported on the Schedule are reported on the accural 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 reimbursements. 2. United Way of Southwest New Mexico has elected not use the 10% de minimums indirect cost rate as allowed under the Uniform Guidance. 3. Reconciliation of Schedule of Expenditures of Federal Awards to Financials Statements: Emergency Food & Shelter Program $2.028, Fiscal Agent Revenues $17,707,120. Total Federal Funds from page 6, $17,709.148. 4. Payments made to pass-through agencies totaled $20,724,215 during the fiscal yar ended June 30, 2024 as shown on the Statement of Functional Expenses as pass-through grant expenses.

Finding Details

Finding 2024-001
Item FA 2024-001 (2022-001) Material Weakness - Controls over Sub-Recipients: Statement of Condition: The Organization is new to Single Audit requirements. They did not realize when giving funds to sub-recipients, the Organization is required to monitor the funding is being used for its intended purpose. Some sub-recipients received payments in advance and there was no follow-up reporting on how the funding was spent. The Organization is also required to submit reports to the National Board on a timely basis. The final report was due to the National Board on February 28, 2025 and has not been submitted yet. Criteria - The Emergency Food and Shelter National Board Program Funding and Appliance Guidance on page 8 explains the Fiscal Agent/Fiscal Conduit - Supplemental Funding procedures required by the EFSP. Sound accounting practices demand proper controls of the funds released to sub-recipients. Questioned Costs - Unknown. Cause - The Organization is new to receiving large amount of federal funding and did not understand the federal and single audit requirements. Effect - The Organization cannot be totally sure that the funding was used for its intended purpose. Recommendation - We recommend the Organization continue its efforts to put in place follow-up procedures to ensure that proper monitoring of sub-recipients takes place and reporting procedures are in place for timely reporting. Response - Our Organization has developed a Monitoring Policy to have better oversight of our sub-recipients. The Chief Executive Officer will implement by June 30, 2025.
Finding 2024-001
Item FA 2024-001 (2022-001) Material Weakness - Controls over Sub-Recipients: Statement of Condition: The Organization is new to Single Audit requirements. They did not realize when giving funds to sub-recipients, the Organization is required to monitor the funding is being used for its intended purpose. Some sub-recipients received payments in advance and there was no follow-up reporting on how the funding was spent. The Organization is also required to submit reports to the National Board on a timely basis. The final report was due to the National Board on February 28, 2025 and has not been submitted yet. Criteria - The Emergency Food and Shelter National Board Program Funding and Appliance Guidance on page 8 explains the Fiscal Agent/Fiscal Conduit - Supplemental Funding procedures required by the EFSP. Sound accounting practices demand proper controls of the funds released to sub-recipients. Questioned Costs - Unknown. Cause - The Organization is new to receiving large amount of federal funding and did not understand the federal and single audit requirements. Effect - The Organization cannot be totally sure that the funding was used for its intended purpose. Recommendation - We recommend the Organization continue its efforts to put in place follow-up procedures to ensure that proper monitoring of sub-recipients takes place and reporting procedures are in place for timely reporting. Response - Our Organization has developed a Monitoring Policy to have better oversight of our sub-recipients. The Chief Executive Officer will implement by June 30, 2025.