Audit 359346

FY End
2024-12-31
Total Expended
$3.59M
Findings
14
Programs
5
Year: 2024 Accepted: 2025-06-20

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
565662 2024-003 Material Weakness - M
565663 2024-004 Material Weakness - BM
565664 2024-005 Material Weakness - M
565665 2024-002 Material Weakness Yes M
565666 2024-006 Material Weakness - M
565667 2024-002 Material Weakness Yes M
565668 2024-006 Material Weakness - M
1142104 2024-003 Material Weakness - M
1142105 2024-004 Material Weakness - BM
1142106 2024-005 Material Weakness - M
1142107 2024-002 Material Weakness Yes M
1142108 2024-006 Material Weakness - M
1142109 2024-002 Material Weakness Yes M
1142110 2024-006 Material Weakness - M

Programs

ALN Program Spent Major Findings
64.033 Va Supportive Services for Veteran Families Program $2.43M Yes 3
81.042 Weatherization Assistance for Low-Income Persons $583,254 - 0
93.569 Community Services Block Grant $405,930 Yes 2
32.009 Emergency Connectivity Fund Program $29,803 - 0
14.239 Home Investment Partnerships Program $3,030 - 0

Contacts

Name Title Type
RQ1FJ3TJSLN8 Andrea Olson Auditee
7012322452 Jeremy Ulmer Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (SEFA) 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. De Minimis Rate Used: N Rate Explanation: CAPND has not elected the minimum indirect cost rate provided for by the Uniform Guidance, which allows for the allocation of 10% of modified total direct costs (direct salaries and wages, applicable fringe benefits, materials and supplies, services and travel). The accompanying SEFA includes the federal grant activity of CAPND for the year ended December 31, 2024. The information in this 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). Because the SEFA presents only a selected portion of the operations of CAPND, it is not intended to and does not present the financial position, changes in net assets, or cash flows of CAPND.
Title: SUBRECIPIENT MONITORING Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (SEFA) 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. De Minimis Rate Used: N Rate Explanation: CAPND has not elected the minimum indirect cost rate provided for by the Uniform Guidance, which allows for the allocation of 10% of modified total direct costs (direct salaries and wages, applicable fringe benefits, materials and supplies, services and travel). CAPND passes through certain federal assistance received from the U.S. Department of Health and Human Services to other nonprofit agencies (subrecipients). As described in Note 1, CAPND records expenditures of federal awards to subrecipients on the accrual basis. The subrecipient agencies have certain compliance responsibilities related to administering these federal programs. Under the Uniform Guidance, CAPND is responsible for monitoring subrecipients to help assure that federal awards are used for authorized purposes in compliance with laws, regulations, and the provision of contracts or grant agreements, and that performance goals are achieved.
Title: FINANCIAL STATEMENT RECONCILIATION Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (SEFA) 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. De Minimis Rate Used: N Rate Explanation: CAPND has not elected the minimum indirect cost rate provided for by the Uniform Guidance, which allows for the allocation of 10% of modified total direct costs (direct salaries and wages, applicable fringe benefits, materials and supplies, services and travel). Government grant revenue per the statement of activities for the year ended December 31, 2024 has been reconciled to the total federal expenditures per the schedule of expenditures of federal awards as follows: SEE THE NOTES TO THE SEFA FOR CHART/TABLE.

Finding Details

2024-003 Subrecipient Monitoring and Allowable Costs – Material Weakness Federal Programs – AL 64.033 – VA Supportive Services for Veteran Families Criteria – A good system of internal controls allows for the compliance with Uniform Guidance to monitor funds that are passed through to subrecipients and the continued stewardship of those federal dollars. Condition – For the year ended December 31, 2024, we discussed the policies and procedures in effect for CAPND employees to adequately monitor the subrecipients under the Supportive Services for Veteran Families (SSVF) grant. Although the policies and procedures in effect during the year ended December 31, 2024 were appropriately designed, they were not completed throughout the year. Cause – There was a general misunderstanding between staff and management on the process of completing subrecipient monitoring controls throughout the year. Effect – Noncompliance will not be prevented or detected and corrected in a timely manner. Repeat Finding – This is not a repeat finding. Recommendation - The subrecipient monitoring policies and procedures should be updated to include specific milestones and broken down into specific tasks that are to be achieved throughout the year. These could then be monitored through meetings between the board treasurer and the SSVF program coordinator. Redundancies and cross-training could be included to reduce the risk that lapses in monitoring occur due to staff turnover or extended absences. In addition, training for all staff upon employment and periodically throughout the year over SSVF policies and procedures would allow for better clarity and understanding. Views of Responsible Officials - Management recognizes the deficiency and plans to implement the auditor’s recommendation.
2024-004 Allowable Costs Federal Programs – AL 64.033 – Supportive Services for Veteran Families (SSVF) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). Condition – For the year ended December 31, 2024, we noted one instance in which noneligible expense by a subrecipient were reimbursed and CAPND drew down on the grant for. Cause – There was a request for by a subrecipient to reimburse expenses that did not exist. This request was authorized by CAPND and the payment was sent to the subrecipient for noneligible expenses. CAPND then drew down on the grant for the non-existing expense. Effect – Noncompliance with the grant. Questioned costs – $159.73 Repeat Finding – This is not a repeat finding. Recommendation – Implement a system of internal control in which all expenses that subrecipient request to be reimbursed have supporting documentation. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-005 Subrecipient Monitoring Federal Programs – AL 64.033 – Supportive Services for Veteran Families (SSVF) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). Condition – For the year ended December 31, 2024, we noted one instance in which noneligible expense by a subrecipient were reimbursed and CAPND drew down on the grant for. Cause – There was a request for by a subrecipient to reimburse expenses that did not exist. This request was authorized by CAPND and the payment was sent to the subrecipient for noneligible expenses. CAPND then drew down on the grant for the non-existing expense. Effect – Noncompliance with the grant. Questioned costs – $159.73 Repeat Finding – This is not a repeat finding. Recommendation – Implement a system of internal control in which all expenses that subrecipient request to be reimbursed have supporting documentation. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-002 Subrecipient Monitoring – Material Weakness Federal Programs – AL 93.569 – Community Service Block Grant Criteria – A good system of internal controls allows for the compliance with Uniform Guidance to monitor funds that are passed through to subrecipients and the continued stewardship of those federal dollars. Condition – For the year ended December 31, 2024, we discussed the policies and procedures in effect for CAPND employees to adequately monitor the subrecipients under the Community Services Block Grant (CSBG). Although the policies and procedures in effect during the year ended December 31, 2024 were appropriately designed, they were not completed throughout the year. Cause – There was a general misunderstanding between staff and management on the process of completing subrecipient monitoring controls throughout the year. Effect – Noncompliance will not be prevented or detected and corrected in a timely manner. Repeat Finding – This is a repeat finding. Recommendation - The subrecipient monitoring policies and procedures should be updated to include specific milestones and broken down into specific tasks that are to be achieved throughout the year. These could then be monitored through meetings between the board treasurer and the CSBG program coordinator. Redundancies and cross-training could be included to reduce the risk that lapses in monitoring occur due to staff turnover or extended absences. In addition, training for all staff upon employment and periodically throughout the year over CSBG policies and procedures would allow for better clarity and understanding. Views of Responsible Officials - Management recognizes the deficiency and plans to implement the auditor’s recommendation.
2024-006 Subrecipient Monitoring Federal Programs – AL 93.569 – Community Services Block Grant (CSBG) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). This includes the review of independent audits of subrecipients and response to deficiencies detected through audits (2CFR section 200.331 (f)). It also includes requiring all subawards granted to subrecipients have specific identifications with the award to ensure the subaward is clearly identifiable (2 CFR Section 200.331(a)). Condition – For the year ended December 31, 2024, we reviewed CAPND's subrecipient monitoring policy, requested supporting documentation for monitoring activities included, and interviewed key members of management when documentation was not available. Performance of several of the policies noted as required under Uniform Guidance for subrecipient monitoring and per CAPND's internal policies could not be substantiated or were determined to not have occurred during the year under audit. Cause – There was missing required information on subawards granted to subrecipients. Context– Of the total federal expenditures under the program noted above, $283,852 are passed through to subrecipients. The following are specific items noted that were not in compliance with the criteria listed above:  We requested copies of all subawards awarded to subrecipients. Of the five subawards awarded to pass-through entities for the grant year October 2023 to September 2024, all five were missing the following required information under (2 CFR Section 200.331(a)): o Subrecipient's unique entity identifier. o Amount of federal funds obligated by this action by the pass-through entity to the subrecipient. Effect – Increased risk of potential noncompliance with subrecipient monitoring requirements under Uniform Guidance. Question costs – None. Repeat Finding – This is a repeat finding. Recommendation – The entity should include all required information as determined in CFR Section 200.331(a) in all subawards. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-002 Subrecipient Monitoring – Material Weakness Federal Programs – AL 93.569 – Community Service Block Grant Criteria – A good system of internal controls allows for the compliance with Uniform Guidance to monitor funds that are passed through to subrecipients and the continued stewardship of those federal dollars. Condition – For the year ended December 31, 2024, we discussed the policies and procedures in effect for CAPND employees to adequately monitor the subrecipients under the Community Services Block Grant (CSBG). Although the policies and procedures in effect during the year ended December 31, 2024 were appropriately designed, they were not completed throughout the year. Cause – There was a general misunderstanding between staff and management on the process of completing subrecipient monitoring controls throughout the year. Effect – Noncompliance will not be prevented or detected and corrected in a timely manner. Repeat Finding – This is a repeat finding. Recommendation - The subrecipient monitoring policies and procedures should be updated to include specific milestones and broken down into specific tasks that are to be achieved throughout the year. These could then be monitored through meetings between the board treasurer and the CSBG program coordinator. Redundancies and cross-training could be included to reduce the risk that lapses in monitoring occur due to staff turnover or extended absences. In addition, training for all staff upon employment and periodically throughout the year over CSBG policies and procedures would allow for better clarity and understanding. Views of Responsible Officials - Management recognizes the deficiency and plans to implement the auditor’s recommendation.
2024-006 Subrecipient Monitoring Federal Programs – AL 93.569 – Community Services Block Grant (CSBG) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). This includes the review of independent audits of subrecipients and response to deficiencies detected through audits (2CFR section 200.331 (f)). It also includes requiring all subawards granted to subrecipients have specific identifications with the award to ensure the subaward is clearly identifiable (2 CFR Section 200.331(a)). Condition – For the year ended December 31, 2024, we reviewed CAPND's subrecipient monitoring policy, requested supporting documentation for monitoring activities included, and interviewed key members of management when documentation was not available. Performance of several of the policies noted as required under Uniform Guidance for subrecipient monitoring and per CAPND's internal policies could not be substantiated or were determined to not have occurred during the year under audit. Cause – There was missing required information on subawards granted to subrecipients. Context– Of the total federal expenditures under the program noted above, $283,852 are passed through to subrecipients. The following are specific items noted that were not in compliance with the criteria listed above:  We requested copies of all subawards awarded to subrecipients. Of the five subawards awarded to pass-through entities for the grant year October 2023 to September 2024, all five were missing the following required information under (2 CFR Section 200.331(a)): o Subrecipient's unique entity identifier. o Amount of federal funds obligated by this action by the pass-through entity to the subrecipient. Effect – Increased risk of potential noncompliance with subrecipient monitoring requirements under Uniform Guidance. Question costs – None. Repeat Finding – This is a repeat finding. Recommendation – The entity should include all required information as determined in CFR Section 200.331(a) in all subawards. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-003 Subrecipient Monitoring and Allowable Costs – Material Weakness Federal Programs – AL 64.033 – VA Supportive Services for Veteran Families Criteria – A good system of internal controls allows for the compliance with Uniform Guidance to monitor funds that are passed through to subrecipients and the continued stewardship of those federal dollars. Condition – For the year ended December 31, 2024, we discussed the policies and procedures in effect for CAPND employees to adequately monitor the subrecipients under the Supportive Services for Veteran Families (SSVF) grant. Although the policies and procedures in effect during the year ended December 31, 2024 were appropriately designed, they were not completed throughout the year. Cause – There was a general misunderstanding between staff and management on the process of completing subrecipient monitoring controls throughout the year. Effect – Noncompliance will not be prevented or detected and corrected in a timely manner. Repeat Finding – This is not a repeat finding. Recommendation - The subrecipient monitoring policies and procedures should be updated to include specific milestones and broken down into specific tasks that are to be achieved throughout the year. These could then be monitored through meetings between the board treasurer and the SSVF program coordinator. Redundancies and cross-training could be included to reduce the risk that lapses in monitoring occur due to staff turnover or extended absences. In addition, training for all staff upon employment and periodically throughout the year over SSVF policies and procedures would allow for better clarity and understanding. Views of Responsible Officials - Management recognizes the deficiency and plans to implement the auditor’s recommendation.
2024-004 Allowable Costs Federal Programs – AL 64.033 – Supportive Services for Veteran Families (SSVF) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). Condition – For the year ended December 31, 2024, we noted one instance in which noneligible expense by a subrecipient were reimbursed and CAPND drew down on the grant for. Cause – There was a request for by a subrecipient to reimburse expenses that did not exist. This request was authorized by CAPND and the payment was sent to the subrecipient for noneligible expenses. CAPND then drew down on the grant for the non-existing expense. Effect – Noncompliance with the grant. Questioned costs – $159.73 Repeat Finding – This is not a repeat finding. Recommendation – Implement a system of internal control in which all expenses that subrecipient request to be reimbursed have supporting documentation. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-005 Subrecipient Monitoring Federal Programs – AL 64.033 – Supportive Services for Veteran Families (SSVF) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). Condition – For the year ended December 31, 2024, we noted one instance in which noneligible expense by a subrecipient were reimbursed and CAPND drew down on the grant for. Cause – There was a request for by a subrecipient to reimburse expenses that did not exist. This request was authorized by CAPND and the payment was sent to the subrecipient for noneligible expenses. CAPND then drew down on the grant for the non-existing expense. Effect – Noncompliance with the grant. Questioned costs – $159.73 Repeat Finding – This is not a repeat finding. Recommendation – Implement a system of internal control in which all expenses that subrecipient request to be reimbursed have supporting documentation. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-002 Subrecipient Monitoring – Material Weakness Federal Programs – AL 93.569 – Community Service Block Grant Criteria – A good system of internal controls allows for the compliance with Uniform Guidance to monitor funds that are passed through to subrecipients and the continued stewardship of those federal dollars. Condition – For the year ended December 31, 2024, we discussed the policies and procedures in effect for CAPND employees to adequately monitor the subrecipients under the Community Services Block Grant (CSBG). Although the policies and procedures in effect during the year ended December 31, 2024 were appropriately designed, they were not completed throughout the year. Cause – There was a general misunderstanding between staff and management on the process of completing subrecipient monitoring controls throughout the year. Effect – Noncompliance will not be prevented or detected and corrected in a timely manner. Repeat Finding – This is a repeat finding. Recommendation - The subrecipient monitoring policies and procedures should be updated to include specific milestones and broken down into specific tasks that are to be achieved throughout the year. These could then be monitored through meetings between the board treasurer and the CSBG program coordinator. Redundancies and cross-training could be included to reduce the risk that lapses in monitoring occur due to staff turnover or extended absences. In addition, training for all staff upon employment and periodically throughout the year over CSBG policies and procedures would allow for better clarity and understanding. Views of Responsible Officials - Management recognizes the deficiency and plans to implement the auditor’s recommendation.
2024-006 Subrecipient Monitoring Federal Programs – AL 93.569 – Community Services Block Grant (CSBG) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). This includes the review of independent audits of subrecipients and response to deficiencies detected through audits (2CFR section 200.331 (f)). It also includes requiring all subawards granted to subrecipients have specific identifications with the award to ensure the subaward is clearly identifiable (2 CFR Section 200.331(a)). Condition – For the year ended December 31, 2024, we reviewed CAPND's subrecipient monitoring policy, requested supporting documentation for monitoring activities included, and interviewed key members of management when documentation was not available. Performance of several of the policies noted as required under Uniform Guidance for subrecipient monitoring and per CAPND's internal policies could not be substantiated or were determined to not have occurred during the year under audit. Cause – There was missing required information on subawards granted to subrecipients. Context– Of the total federal expenditures under the program noted above, $283,852 are passed through to subrecipients. The following are specific items noted that were not in compliance with the criteria listed above:  We requested copies of all subawards awarded to subrecipients. Of the five subawards awarded to pass-through entities for the grant year October 2023 to September 2024, all five were missing the following required information under (2 CFR Section 200.331(a)): o Subrecipient's unique entity identifier. o Amount of federal funds obligated by this action by the pass-through entity to the subrecipient. Effect – Increased risk of potential noncompliance with subrecipient monitoring requirements under Uniform Guidance. Question costs – None. Repeat Finding – This is a repeat finding. Recommendation – The entity should include all required information as determined in CFR Section 200.331(a) in all subawards. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.
2024-002 Subrecipient Monitoring – Material Weakness Federal Programs – AL 93.569 – Community Service Block Grant Criteria – A good system of internal controls allows for the compliance with Uniform Guidance to monitor funds that are passed through to subrecipients and the continued stewardship of those federal dollars. Condition – For the year ended December 31, 2024, we discussed the policies and procedures in effect for CAPND employees to adequately monitor the subrecipients under the Community Services Block Grant (CSBG). Although the policies and procedures in effect during the year ended December 31, 2024 were appropriately designed, they were not completed throughout the year. Cause – There was a general misunderstanding between staff and management on the process of completing subrecipient monitoring controls throughout the year. Effect – Noncompliance will not be prevented or detected and corrected in a timely manner. Repeat Finding – This is a repeat finding. Recommendation - The subrecipient monitoring policies and procedures should be updated to include specific milestones and broken down into specific tasks that are to be achieved throughout the year. These could then be monitored through meetings between the board treasurer and the CSBG program coordinator. Redundancies and cross-training could be included to reduce the risk that lapses in monitoring occur due to staff turnover or extended absences. In addition, training for all staff upon employment and periodically throughout the year over CSBG policies and procedures would allow for better clarity and understanding. Views of Responsible Officials - Management recognizes the deficiency and plans to implement the auditor’s recommendation.
2024-006 Subrecipient Monitoring Federal Programs – AL 93.569 – Community Services Block Grant (CSBG) Criteria – Uniform Guidance requires, for any funds passed through to a subrecipient, that the pass-through entity (CAPND) must perform certain activities to ensure that the subrecipient uses the funds within provisions of the grant award and Uniform Guidance (2 CFR sections 200.331 (d) through (f)). This includes the review of independent audits of subrecipients and response to deficiencies detected through audits (2CFR section 200.331 (f)). It also includes requiring all subawards granted to subrecipients have specific identifications with the award to ensure the subaward is clearly identifiable (2 CFR Section 200.331(a)). Condition – For the year ended December 31, 2024, we reviewed CAPND's subrecipient monitoring policy, requested supporting documentation for monitoring activities included, and interviewed key members of management when documentation was not available. Performance of several of the policies noted as required under Uniform Guidance for subrecipient monitoring and per CAPND's internal policies could not be substantiated or were determined to not have occurred during the year under audit. Cause – There was missing required information on subawards granted to subrecipients. Context– Of the total federal expenditures under the program noted above, $283,852 are passed through to subrecipients. The following are specific items noted that were not in compliance with the criteria listed above:  We requested copies of all subawards awarded to subrecipients. Of the five subawards awarded to pass-through entities for the grant year October 2023 to September 2024, all five were missing the following required information under (2 CFR Section 200.331(a)): o Subrecipient's unique entity identifier. o Amount of federal funds obligated by this action by the pass-through entity to the subrecipient. Effect – Increased risk of potential noncompliance with subrecipient monitoring requirements under Uniform Guidance. Question costs – None. Repeat Finding – This is a repeat finding. Recommendation – The entity should include all required information as determined in CFR Section 200.331(a) in all subawards. Views of Responsible Officials – Management recognized the deficiency and plans to implement the auditor’s recommendation.