FAC Explorer

Audit 359207

FY End
2023-09-30
Total Expended
$16.17M
Findings
16
Programs
26
Organization: Mid-Michigan Community Action Agency, Inc. (MI)
Year: 2023 Accepted: 2025-06-18
Auditor: Wipfli LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
565361 2023-001 Material Weakness - BP
565362 2023-001 Material Weakness - BP
565363 2023-001 Material Weakness - BP
565364 2023-001 Material Weakness - BP
565365 2023-001 Material Weakness - BP
565366 2023-001 Material Weakness - BP
565367 2023-001 Material Weakness - BP
565368 2023-002 Significant Deficiency - E
1141803 2023-001 Material Weakness - BP
1141804 2023-001 Material Weakness - BP
1141805 2023-001 Material Weakness - BP
1141806 2023-001 Material Weakness - BP
1141807 2023-001 Material Weakness - BP
1141808 2023-001 Material Weakness - BP
1141809 2023-001 Material Weakness - BP
1141810 2023-002 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
81.042 Weatherization Assistance for Low-Income Persons $2.24M - 0
93.600 Head Start $2.20M - 0
10.565 Commodity Supplemental Food Program $1.60M Yes 1
93.569 Community Services Block Grant $1.53M Yes 1
93.568 Low-Income Home Energy Assistance $1.08M - 0
64.033 Va Supportive Services for Veteran Families Program $836,544 Yes 1
93.558 Temporary Assistance for Needy Families $768,327 Yes 2
10.569 Emergency Food Assistance Program (food Commodities) $578,780 Yes 1
14.231 Emergency Solutions Grant Program $424,333 - 0
93.499 Covid-19 Low Income Household Water Assistance Program $407,345 - 0
14.235 Supportive Housing Program $393,792 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $383,032 - 0
10.568 Commodity Supplemental Food Program $184,817 Yes 1
10.558 Child and Adult Care Food Program $151,220 - 0
21.023 Covid-19 Emergency Rental Assistance Program $129,965 - 0
14.169 Housing Counseling Assistance Program $67,900 - 0
64.033 Covid-19 Va Supportive Services for Veteran Families Program $62,819 Yes 1
14.267 Continuum of Care Program $55,831 - 0
97.024 Covid-19 Emergency Food and Shelter National Board Program $53,657 - 0
93.600 Covid-19 Head Start $52,403 - 0
14.231 Covid-19 Emergency Solutions Grant Program $43,757 - 0
21.009 Volunteer Income Tax Assistance (vita) Matching Grant Program $20,000 - 0
14.239 Home Investment Partnerships Program $16,699 - 0
97.024 Emergency Food and Shelter National Board Program $16,230 - 0
14.871 Section 8 Housing Choice Vouchers $6,566 - 0
10.182 Local Food Purchase Assistance $3,984 - 0

Contacts

Name Title Type
D2KANZUMH565 Mark Polega Auditee
9893863805 Karl Eck Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying schedule of expenditures of federal awards and other program activity (the “Schedule”) includes the federal grant activity of Mid Michigan Community Action Agency, Inc. 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 Mid Michigan Community Action Agency, Inc., it is not intended to and does not present the financial position, changes in net assets or cash flows of Mid Michigan Community Action Agency, Inc. 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. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: Michigan Community Action Agency, Inc. has not elected to use the 10-percent de minimis indirect cost rate.

Finding Details

Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-002
2023-002 – Eligibility Documentation Federal Program Information: Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Condition – Mid-Michigan Community Action Agency, Inc.'s operates a diaper bank program and utilizes other entities to distribute diapers to program eligible participants. During our test of eligibility, we noted several individuals that were not income-eligible for the program. Management of Mid-Michigan Community Action Agency, Inc. represented that in cases of individuals that are determined ineligible that the entities distributing the diapers will utilize diapers from other sources. However, Mid-Michigan Community Action Agency, Inc. was not able to substantiate the use of diapers from other sources. Criteria – The Temporary Assistance for Needy Families (TANF) program requires individuals receiving assistance to be eligible for the program. Cause – Mid-Michigan Community Action Agency, Inc. does not have a process in place to track the purchase and issuance of diapers purchased with TANF funds. Effect – A significant deficiency in internal control over eligibility exits due to the lack of documentation over the distribution of diapers to income eligible participants. Recommendation – We recommend management and those charged with governance evaluate the controls over this program to establish a mechanism that tracks the purchase and issuance of diapers to income-eligible participants. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan.
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-001
2023-001 – Internal Control Over Financial Reporting Condition – Mid-Michigan Community Action Agency, Inc.'s financial accounts for the year ended September 30, 2023 were not ready for audit until approximately fall 2024. Once the audit began, there were delays in obtaining appropriate documentation to complete the audit. Under Uniform Guidance, Mid-Michigan Community Action Agency, Inc.'s audited financial statements for the year ended September 30, 2023 were due to the federal single audit clearinghouse by June 30, 2024. Mid-Michigan Community Action Agency, Inc.'s September 30, 2023 audited financial statements were not completed for submission to the federal audit clearinghouse until after June 30, 2024. Criteria – Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective control over, and accountability for, all funds, property, and other assets.” In addition, Uniform Guidance requires audited financial statements to be submitted to the federal audit clearinghouse within nine-months after an entity’s yearend. Cause – Mid-Michigan Community Action Agency, Inc. experienced turnover in the Finance Director position two times in less than two years. Accounts were not reconciled for an extended period of time resulting in significant delays in closing out fiscal year 2023. Effect – A material weakness in internal control over financial reporting and internal control over compliance exists due to the lack of timely reconciliations and resulting late audit submission. Recommendation – We recommend management and those charged with governance evaluate the operation of the finance department and implement adequate and timely closing procedures to ensure that financial statement amounts are being reconciled and adjusted appropriately. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan. Audit finding 2023-001 represents a material weakness in internal control over compliance for Mid-Michigan Community Action Agency, Inc.'s major federal programs. Federal Program Information: Funding agency: US Department of Agriculture, passed through Michigan Department of Education Title: Food Distribution Cluster AL numbers: 10.565, 10.568 & 10.569 Award Number: 230930 Funding agency: US Department of Veterans Affairs Title: Supportive Services for Veterans Families AL numbers: 64.033 Award Numbers: 2020-MI-222SS, 2020-MI-222, 2020-MI-222HL Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Community Services Block Grant AL number: 93.569 Award Numbers: E20230027-00, E20231111-00, E20230467-00, E20234740-00 Questioned Costs – None Repeat – No
Finding 2023-002
2023-002 – Eligibility Documentation Federal Program Information: Funding agency: US Department of Health and Human Services, passed through Michigan Department of Health and Human Services Title: Temporary Assistance for Needy Families AL number: 93.558 Award Numbers: E20234318-00, E20234318-00 Condition – Mid-Michigan Community Action Agency, Inc.'s operates a diaper bank program and utilizes other entities to distribute diapers to program eligible participants. During our test of eligibility, we noted several individuals that were not income-eligible for the program. Management of Mid-Michigan Community Action Agency, Inc. represented that in cases of individuals that are determined ineligible that the entities distributing the diapers will utilize diapers from other sources. However, Mid-Michigan Community Action Agency, Inc. was not able to substantiate the use of diapers from other sources. Criteria – The Temporary Assistance for Needy Families (TANF) program requires individuals receiving assistance to be eligible for the program. Cause – Mid-Michigan Community Action Agency, Inc. does not have a process in place to track the purchase and issuance of diapers purchased with TANF funds. Effect – A significant deficiency in internal control over eligibility exits due to the lack of documentation over the distribution of diapers to income eligible participants. Recommendation – We recommend management and those charged with governance evaluate the controls over this program to establish a mechanism that tracks the purchase and issuance of diapers to income-eligible participants. View of Responsible Officials – Management agrees with the assessment and has committed to a corrective action plan.