Audit 359492

FY End
2024-12-31
Total Expended
$7.78M
Findings
2
Programs
11
Organization: Operation Stand Down Tennessee (TN)
Year: 2024 Accepted: 2025-06-23

Organization Exclusion Status:

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Contacts

Name Title Type
DLL2E1TCH4X9 Jason Evans Auditee
6152481981 Scott Lynn Auditor
No contacts on file

Notes to SEFA

Title: HUD Expenditures Incurred in Prior Years Accounting Policies: Basis of Accounting: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with accounting principles generally accepted in the United States of America as applicable to not-for-profit organizations and the requirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Summary of Significant Accounting Policies: 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. The Organization did not expend any federal awards during 2024 in the form of noncash assistance. De Minimis Rate Used: Y Rate Explanation: The Organization elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance unless otherwise specified by the grantor. The amounts reported for HUD (14.251) include $584,815 incurred in prior year.
Title: Subrecipients Accounting Policies: Basis of Accounting: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with accounting principles generally accepted in the United States of America as applicable to not-for-profit organizations and the requirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Summary of Significant Accounting Policies: 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. The Organization did not expend any federal awards during 2024 in the form of noncash assistance. De Minimis Rate Used: Y Rate Explanation: The Organization elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance unless otherwise specified by the grantor. The Organization did not have expenditures to subrecipients during the fiscal year.
Title: Contigencies Accounting Policies: Basis of Accounting: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the Organization and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with accounting principles generally accepted in the United States of America as applicable to not-for-profit organizations and the requirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Summary of Significant Accounting Policies: 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. The Organization did not expend any federal awards during 2024 in the form of noncash assistance. De Minimis Rate Used: Y Rate Explanation: The Organization elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance unless otherwise specified by the grantor. These programs are subject to financial and compliance audits by grantor agencies. The amount, if any, of expenditures that may be disallowed by the grantor agencies cannot be determined at this time, although the Organization expects such amounts, if any, to be immaterial.

Finding Details

Criteria: The Uniform Guidance and The US Department of Housing and Urban Development require the entity to submit certain reports. Per Uniform Guidance, the federal agency or the pass-through entity may have developed its own forms for financial reporting. These forms may be in addition to or in lieu of the standard federal financial reports and may include electronic submissions. The US Department of Housing and Urban Development requires a written request to closeout assistance listing number 14.251 the Economic Development Initiative, Community Project Funding, and Miscellaneous Grant (CFR part 200, subpart D). A financial report is provided giving the amount and types of project costs charged to the grant (that meet the allowability and allocability requirements of 2 CFR part 200, subpart E); a certification of the costs; and the amounts and sources of other project funds. The financial report provided had duplicate invoices and purchase orders. Condition: Based on 3 reports selected for testing, 1 had duplicate data. Cause: The federal financial reports submitted to the grantor did not have adequate administrative review prior to submission. Effect: The Organization was not in compliance with reporting requirements. Recommendation: We recommend that the Organization enhance its policies and procedures over reporting. Completion Date: May 28, 2025
Criteria: The Uniform Guidance and The US Department of Housing and Urban Development require the entity to submit certain reports. Per Uniform Guidance, the federal agency or the pass-through entity may have developed its own forms for financial reporting. These forms may be in addition to or in lieu of the standard federal financial reports and may include electronic submissions. The US Department of Housing and Urban Development requires a written request to closeout assistance listing number 14.251 the Economic Development Initiative, Community Project Funding, and Miscellaneous Grant (CFR part 200, subpart D). A financial report is provided giving the amount and types of project costs charged to the grant (that meet the allowability and allocability requirements of 2 CFR part 200, subpart E); a certification of the costs; and the amounts and sources of other project funds. The financial report provided had duplicate invoices and purchase orders. Condition: Based on 3 reports selected for testing, 1 had duplicate data. Cause: The federal financial reports submitted to the grantor did not have adequate administrative review prior to submission. Effect: The Organization was not in compliance with reporting requirements. Recommendation: We recommend that the Organization enhance its policies and procedures over reporting. Completion Date: May 28, 2025