FAC Explorer

Audit 358641

FY End
2024-09-30
Total Expended
$9.45M
Findings
12
Programs
16
Organization: Civic Works, Inc. and Affiliates (MD)
Year: 2024 Accepted: 2025-06-12
Auditor: Gelman Rosenberg & Freedman

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
564512 2024-002 Significant Deficiency - L
564513 2024-002 Significant Deficiency - L
564514 2024-002 Significant Deficiency - L
564515 2024-002 Significant Deficiency - L
564516 2024-002 Significant Deficiency - L
564517 2024-002 Significant Deficiency - L
1140954 2024-002 Significant Deficiency - L
1140955 2024-002 Significant Deficiency - L
1140956 2024-002 Significant Deficiency - L
1140957 2024-002 Significant Deficiency - L
1140958 2024-002 Significant Deficiency - L
1140959 2024-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $3.14M Yes 1
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $1.26M - 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $1.20M - 0
17.274 Youthbuild $696,314 Yes 0
94.006 Americorps State and National 94.006 $434,975 - 0
21.019 Coronavirus Relief Fund $317,643 - 0
17.280 Wioa Dislocated Worker National Reserve Demonstration Grants $172,695 - 0
14.218 Community Development Block Grants/entitlement Grants $158,691 - 0
66.815 Brownfields Job Training Cooperative Agreements $124,175 - 0
17.270 Reentry Employment Opportunities $87,534 - 0
17.259 Wioa Youth Activities $60,000 - 0
17.268 H-1b Job Training Grants $57,281 - 1
10.727 Inflation Reduction Act Urban & Community Forestry Program $55,775 - 1
17.289 Community Project Funding/congressionally Directed Spending $30,081 - 0
17.277 Wioa National Dislocated Worker Grants / Wia National Emergency Grants $5,109 - 0
93.071 Medicare Enrollment Assistance Program $2,366 - 1

Contacts

Name Title Type
S7KMLVKRMAV8 Stephanie Miller Auditee
4103668533 Tricia Katebini Auditor
No contacts on file

Notes to SEFA

Title: Note 1. Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected to use the de minimis 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 the Organization under programs of the Federal Government for the year ended September 30, 2024. Information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). The Schedule presents only a selected portion of the operations of the Organization; accordingly, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization.
Title: Note 2. Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected to use the de minimis indirect cost rate as allowed under the Uniform Guidance. 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 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected to use the de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: Note 3. Reconciliation of Federal Grants Revenue Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. The Organization has elected to use the de minimis indirect cost rate as allowed under the Uniform Guidance. Government grants are broken out as follows for the year ended September 30, 2024: Total grants $ 12,823,248 Non-Federal grants (3,374,904) FEDERAL GRANT REVENUE $ 9,448,344

Finding Details

Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.
Finding 2024-002
Finding 2024-002: Preparation of the Schedule of Expenditures of Federal Awards (SEFA) Federal Agency: Department of Labor, U. S. Department of Treasury, U.S. Department of Agriculture, U.S. Department of Health and Human Services Administration Federal Program: Grads2Careers, Center for Sustainable Careers - Building Pathways, Center for Sustainable Careers - Critical Sector Job Quality, Baltimore Shines, Clean Corps, Baltimore Community Canopy Initiative, Administration for Community Living Grant Assistance Listing Numbers: 21.027, 17.268, 17.280, 10.727, 93.071 Compliance Requirement: ReportingType of Finding: Significant Deficiency in Internal Control over Compliance and Noncompliance Criteria: Per 2 CFR §200.510(b), the auditee must prepare a SEFA that includes total Federal expenditures, the name of the Federal agency, the Assistance Listing Number, and other identifying information. The SEFA must be accurate, complete, and prepared in accordance with the Uniform Guidance to facilitate the Single Audit. Condition: During our audit of the SEFA for the year ended September 30, 2024, we noted that the initial SEFA provided by management contained material inaccuracies. Specifically, we noted that certain programs were omitted entirely, several expenditures were incorrectly classified under the wrong Assistance Listing Number, and certain programs had expenditures that were inaccurately reported. Cause: The inaccuracies in the SEFA were primarily due to a lack of formalized procedures and oversight in the SEFA preparation process. Management relied on manual compilation without a reconciliation or review step. Effect or Potential Effect: An incomplete or inaccurate SEFA may result in inadequate audit coverage, potential noncompliance with Federal reporting requirements, and increased risk of questioned costs or funding disallowances. Questioned Costs: None Context: The initial SEFA provided for audit included approximately $8.4 million in Federal expenditures. During the audit process, audit procedures identified approximately $1.05 million in Federal expenditures that were omitted, as well as classification errors affecting roughly 10% of the total reported expenditures. The SEFA was subsequently revised and corrected by management. Identification as a Repeat Finding: Not applicable Recommendation: We recommend that management implement formal procedures for compiling the SEFA, including a reconciliation of expenditures to the general ledger, review of all grant agreements for required disclosures, and a documented supervisory review prior to finalization. Staff involved in Federal grant reporting should also receive training on SEFA requirements under Uniform Guidance.