FAC Explorer

Audit 353254

FY End
2024-06-30
Total Expended
$3.42M
Findings
2
Programs
10
Organization: Portland Opportunities Industrialization Center, Inc. (OR)
Year: 2024 Accepted: 2025-04-10
Auditor: Hoffman Stewart & Schmidt PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
554534 2024-004 Significant Deficiency - B
1130976 2024-004 Significant Deficiency - B

Programs

ALN Program Spent Major Findings
84.425 Education Stabilization Fund $587,227 Yes 0
17.270 Reentry Employment Opportunities $400,618 - 0
17.289 Community Project Funding/congressionally Directed Spending $204,226 - 0
84.010 Title I Grants to Local Educational Agencies $146,779 - 0
93.667 Social Services Block Grant $126,113 - 0
17.259 Wioa Youth Activities $100,296 - 0
14.218 Community Development Block Grants/entitlement Grants $74,945 - 0
16.609 Project Safe Neighborhoods $43,739 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $27,508 - 0
17.258 Wioa Adult Program $24,802 - 0

Contacts

Name Title Type
MJWPWCBAL7J9 Tim Moore Auditee
5037977222 Nathan Stamets Auditor
No contacts on file

Notes to SEFA

Title: Expenditures Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Portland Opportunities Industrialization Center, Inc. and its subsidiary (collectively, the Organization) under programs of the federal government for the year ended June 30, 2024. 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. Pass-through identifying numbers are presented when available. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. 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.
Title: Noncash Awards Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Portland Opportunities Industrialization Center, Inc. and its subsidiary (collectively, the Organization) under programs of the federal government for the year ended June 30, 2024. 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. Pass-through identifying numbers are presented when available. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. The Organization received noncash awards in the form of computer equipment and licenses and information technology services from the Oregon Department of Education. These noncash awards are reported on the Schedule at fair value and totaled $587,227.

Finding Details

Finding 2024-004
Criteria: Only allowable costs should be charged to federal award programs in accordance with 2 CFR, part 200, subpart E. Condition: The Organization overbilled certain cost-reimbursable grants, one of which was the federal award. Cause: For cost-reimbursable grants, there was no procedure to ensure total amounts billed matched allowable expenses or the amounts billed agreed with recognized revenues. Additionally, the payroll taxes and employee benefits allocated to grants were inaccurately calculated. The percentage used was higher than the actual payroll taxes and benefits compared to total wages. Effect: The amount of the overbilling totaled $19,209. Recommendation: We recommend management implement procedures to ensure billed amounts match allowable expenses for cost-reimbursable grants. Additionally, the percentage used to allocate payroll taxes and benefits should be periodically updated to align with actual expenses. Views of Responsible Officials: The Organization agrees with the recommendation and is in the process of implementing appropriate procedures so that cost-reimbursable grants are accurately and timely billed.
Finding 2024-004
Criteria: Only allowable costs should be charged to federal award programs in accordance with 2 CFR, part 200, subpart E. Condition: The Organization overbilled certain cost-reimbursable grants, one of which was the federal award. Cause: For cost-reimbursable grants, there was no procedure to ensure total amounts billed matched allowable expenses or the amounts billed agreed with recognized revenues. Additionally, the payroll taxes and employee benefits allocated to grants were inaccurately calculated. The percentage used was higher than the actual payroll taxes and benefits compared to total wages. Effect: The amount of the overbilling totaled $19,209. Recommendation: We recommend management implement procedures to ensure billed amounts match allowable expenses for cost-reimbursable grants. Additionally, the percentage used to allocate payroll taxes and benefits should be periodically updated to align with actual expenses. Views of Responsible Officials: The Organization agrees with the recommendation and is in the process of implementing appropriate procedures so that cost-reimbursable grants are accurately and timely billed.