Audit 359771

FY End
2024-12-31
Total Expended
$6.38M
Findings
2
Programs
1
Year: 2024 Accepted: 2025-06-24
Auditor: Frost PLLC

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
566904 2024-001 Significant Deficiency - L
1143346 2024-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
15.U12 Infrastructure Investment and Jobs Act $6.38M Yes 1

Contacts

Name Title Type
QWJ6EFMBDMQ9 Perla Garcia Auditee
9286278824 Douglass Snell Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: The accompanying schedule of expenditures of federal awards (“SEFA”) includes the federal grant activity of the Yuma County Water Users’ Association (the “Association”) and is presented in accordance with accounting principles generally accepted in the United States of America. The information in the SEFA 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 SEFA presents only a selected portion of the operations of the Association, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Association. Expenditures reported on the SEFA are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles in the Office of Management and Budget A-110 or 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: The Association has not elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, Section 206.414. The accompanying schedule of expenditures of federal awards (“SEFA”) includes the federal grant activity of the Yuma County Water Users’ Association (the “Association”) and is presented in accordance with accounting principles generally accepted in the United States of America. The information in the SEFA 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 SEFA presents only a selected portion of the operations of the Association, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Association. Expenditures reported on the SEFA are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles in the Office of Management and Budget A-110 or the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Indirect Cost Rate Accounting Policies: The accompanying schedule of expenditures of federal awards (“SEFA”) includes the federal grant activity of the Yuma County Water Users’ Association (the “Association”) and is presented in accordance with accounting principles generally accepted in the United States of America. The information in the SEFA 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 SEFA presents only a selected portion of the operations of the Association, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Association. Expenditures reported on the SEFA are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles in the Office of Management and Budget A-110 or 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: The Association has not elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, Section 206.414. The Association has not elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, Section 206.414.
Title: Summary of Department of Interior Loan Activity Accounting Policies: The accompanying schedule of expenditures of federal awards (“SEFA”) includes the federal grant activity of the Yuma County Water Users’ Association (the “Association”) and is presented in accordance with accounting principles generally accepted in the United States of America. The information in the SEFA 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 SEFA presents only a selected portion of the operations of the Association, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Association. Expenditures reported on the SEFA are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles in the Office of Management and Budget A-110 or 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: The Association has not elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, Section 206.414. Expenditures reported consist of loan advances of $6,378,781 for the year ended December 31, 2024. Balances of outstanding loans totaled $6,378,781 at December 31, 2024.

Finding Details

Significant Deficiency Finding: 2024-001 Identification of the Federal Program: Assistance Listing Number N/A – Infrastructure Investment and Jobs Act Criteria: The Association must follow the requirements of the loan agreements received through the Infrastructure Investments and Jobs Act. One requirement of these loan agreements is quarterly financial reporting. Condition and Context: The Association did not perform the required quarterly financial reporting. Cause: The Association’s management has not implemented procedures to monitor the quarterly financial reporting. Effect or Potential Effect: Controls over compliance are not functioning correctly, which can lead to default of the loans. Questioned Costs: None Recommendation: We recommend the Association put controls in place to monitor financial reporting to ensure compliance with the loan agreements.
Significant Deficiency Finding: 2024-001 Identification of the Federal Program: Assistance Listing Number N/A – Infrastructure Investment and Jobs Act Criteria: The Association must follow the requirements of the loan agreements received through the Infrastructure Investments and Jobs Act. One requirement of these loan agreements is quarterly financial reporting. Condition and Context: The Association did not perform the required quarterly financial reporting. Cause: The Association’s management has not implemented procedures to monitor the quarterly financial reporting. Effect or Potential Effect: Controls over compliance are not functioning correctly, which can lead to default of the loans. Questioned Costs: None Recommendation: We recommend the Association put controls in place to monitor financial reporting to ensure compliance with the loan agreements.