FAC Explorer

Audit 35916

FY End
2022-06-30
Total Expended
$3.73M
Findings
2
Programs
4
Organization: United Way of North Central Florida, Inc. (FL)
Year: 2022 Accepted: 2023-03-28
Auditor: Carr Riggs & Ingram LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
31600 2022-001 Significant Deficiency - AB
608042 2022-001 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
14.231 Covid-19-Emergency Solutions Grant Program $3.28M Yes 1
14.267 Continuum of Care Program $87,361 - 0
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $51,120 - 0
14.231 Emergency Solutions Grant Program $27,179 Yes 0

Contacts

Name Title Type
W5F6J35SKC23 Amber Miller Auditee
3523330843 Amy Miller Auditor
No contacts on file

Notes to SEFA

Title: Loan/Loan Guarantee Outstanding Balances Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal spending United Way of North Central Florida, Inc. (the Organization) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not represent the financial position of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Organization did not have any federal loans or loan guarantees outstanding during the year ended June 30, 2022.
Title: Noncash Assistance and Other Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal spending United Way of North Central Florida, Inc. (the Organization) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not represent the financial position of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Organization did not receive any noncash assistance of federal funded insurance during the year ended June 30, 2022.
Title: Contingencies Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal spending United Way of North Central Florida, Inc. (the Organization) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not represent the financial position of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Grant monies received and disbursed by the Organization are for specific purposes and are subject to review by the grantor agencies. Such audits may result in requests for reimbursement due to disallowed expenditures. At June 30, 2022, the Organization has recorded an accounts payable due to the Florida Department of Children and Families of $305,172 for disallowed expenditures. The Organization also submitted $60,000 for reimbursement during the year ended June 30, 2022 that was not approved for reimbursement by the Florida Department of Children and Families. Both of these amounts have been excluded from the Schedule of Expenditures of Federal Awards for the year ended June 30, 2022.
Title: Federal Pass-Through Entities Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal spending United Way of North Central Florida, Inc. (the Organization) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not represent the financial position of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Organization is also the sub-recipient of federal funds that have been subjected to testing and are reported as expenditures and listed as federal pass-through funds. Federal awards other than those indicated as pass-through are considered to be direct.
Title: Subsequent Events Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal spending United Way of North Central Florida, Inc. (the Organization) and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not represent the financial position of the Organization. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. In January 2023, the Organization returned $245,172 of grant monies to the Florida Department of Children and Families.

Finding Details

Finding 2022-001
Finding 2022-001: Unallowable costs charged by subrecipients and submitted for reimbursement Department of Housing and Urban Development Emergency Solutions Grants Program ? Federal Assistance Listing #14.231 Passed through Florida Department of Children and Families Contract No. CP005 Grant period: Year ended June 30, 2022 Criteria: In accordance with 2 CFR 200.303, non-Federal entities must establish and maintain effective internal control over Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and terms and conditions of the Federal award. Condition: Emergency Solutions Grant Program funds were paid to two sub-recipients, during the year ended June 30, 2022, which were subsequently determined to be unallowable costs as a result of the sub-recipients? noncompliance with the grant contract. Cause: Control procedures in place related to monitoring of sub-recipients? compliance with the grant contract were not consistently applied in order to prevent disallowed costs paid to sub-recipients and submitted for reimbursement from the pass-through granting agency. Effect: Noncompliance with allowable costs/cost principles required under the Federal grant award. Certain costs charged to the grant have been disallowed and certain costs have been requested to be paid back to the pass-through granting agency. Questioned Costs: Undeterminable. Context: During the audit, the auditors were notified by the Organization?s management that $120,000 of Emergency Solutions Grant Program funds were paid to one sub-recipient, during the year ended June 30, 2022, and were later notified by the pass-through granting agency that the sub-recipient did not submit required documentation for the costs incurred. Therefore, $60,000 already reimbursed by the grant, has been requested to be paid back, and another $60,000 submitted for reimbursement, was not reimbursed by the grant. The Organization is continuing to work with the agency and the sub-recipient to rectify the noncompliance, which could result in the costs being allowed. In addition, there was $245,172 paid to another sub-recipient, during the year ended June 30, 2022, of which the Organization discovered during regular monitoring of the sub-recipient that the sub-recipient was not in compliance with their agreement. Therefore, the Organization terminated the agreement with the sub-recipient and requested the funds be returned. The Organization returned the funds back to the pass-through granting agency in the next fiscal year. Recommendation: The Organization should apply control procedures in place consistently over monitoring of sub-recipients? compliance and over all costs incurred by sub-recipients to ensure that only allowable costs for grants are submitted for reimbursement. Management?s Response: Management agrees with the finding. See ?Corrective Action Plan? section.
Finding 2022-001
Finding 2022-001: Unallowable costs charged by subrecipients and submitted for reimbursement Department of Housing and Urban Development Emergency Solutions Grants Program ? Federal Assistance Listing #14.231 Passed through Florida Department of Children and Families Contract No. CP005 Grant period: Year ended June 30, 2022 Criteria: In accordance with 2 CFR 200.303, non-Federal entities must establish and maintain effective internal control over Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and terms and conditions of the Federal award. Condition: Emergency Solutions Grant Program funds were paid to two sub-recipients, during the year ended June 30, 2022, which were subsequently determined to be unallowable costs as a result of the sub-recipients? noncompliance with the grant contract. Cause: Control procedures in place related to monitoring of sub-recipients? compliance with the grant contract were not consistently applied in order to prevent disallowed costs paid to sub-recipients and submitted for reimbursement from the pass-through granting agency. Effect: Noncompliance with allowable costs/cost principles required under the Federal grant award. Certain costs charged to the grant have been disallowed and certain costs have been requested to be paid back to the pass-through granting agency. Questioned Costs: Undeterminable. Context: During the audit, the auditors were notified by the Organization?s management that $120,000 of Emergency Solutions Grant Program funds were paid to one sub-recipient, during the year ended June 30, 2022, and were later notified by the pass-through granting agency that the sub-recipient did not submit required documentation for the costs incurred. Therefore, $60,000 already reimbursed by the grant, has been requested to be paid back, and another $60,000 submitted for reimbursement, was not reimbursed by the grant. The Organization is continuing to work with the agency and the sub-recipient to rectify the noncompliance, which could result in the costs being allowed. In addition, there was $245,172 paid to another sub-recipient, during the year ended June 30, 2022, of which the Organization discovered during regular monitoring of the sub-recipient that the sub-recipient was not in compliance with their agreement. Therefore, the Organization terminated the agreement with the sub-recipient and requested the funds be returned. The Organization returned the funds back to the pass-through granting agency in the next fiscal year. Recommendation: The Organization should apply control procedures in place consistently over monitoring of sub-recipients? compliance and over all costs incurred by sub-recipients to ensure that only allowable costs for grants are submitted for reimbursement. Management?s Response: Management agrees with the finding. See ?Corrective Action Plan? section.