Audit 360915

FY End
2024-12-31
Total Expended
$8.32M
Findings
2
Programs
16
Year: 2024 Accepted: 2025-06-30

Organization Exclusion Status:

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Contacts

Name Title Type
UGD9JGAMWL23 Ann Joppru Auditee
2187459140 Matt Laughlin Auditor
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Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the accompanying schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting, which is described in Note 1 to the Commission’s basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Commission has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Commission's indirect cost allocation plan provides for allocation of personnel fringe benefits and indirect expenses with rates of 41.81% and 14.00% respectively. The amounts shown in the financial statements for personnel fringe benefits and indirect expenses have been adjusted to represent actual rates at 37.73% and 13.64%, respectively. The indirect cost allocation plan was prepared in accordance with Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The accompanying schedule of expenditures of federal awards includes the federal award activity of the Northwest Regional Development Commission. The information in this Schedule is presented in accordance with Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this Schedule may differ from amounts presented in the preparation of the basic financial statements.
Title: REVOLVING LOAN FUND Accounting Policies: Expenditures reported on the accompanying schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting, which is described in Note 1 to the Commission’s basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Commission has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Commission's indirect cost allocation plan provides for allocation of personnel fringe benefits and indirect expenses with rates of 41.81% and 14.00% respectively. The amounts shown in the financial statements for personnel fringe benefits and indirect expenses have been adjusted to represent actual rates at 37.73% and 13.64%, respectively. The indirect cost allocation plan was prepared in accordance with Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. The value of the Revolving Loan Fund Program at December 31, 2024 was calculated as follows: See the Notes to the SEFA for chart/table
Title: RECONCILIATION Accounting Policies: Expenditures reported on the accompanying schedule of expenditures of federal awards (the Schedule) are reported on the modified accrual basis of accounting, which is described in Note 1 to the Commission’s basic financial statements. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Commission has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Commission's indirect cost allocation plan provides for allocation of personnel fringe benefits and indirect expenses with rates of 41.81% and 14.00% respectively. The amounts shown in the financial statements for personnel fringe benefits and indirect expenses have been adjusted to represent actual rates at 37.73% and 13.64%, respectively. The indirect cost allocation plan was prepared in accordance with Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Reconciliation of the Schedule of Expenditures of Federal Awards to the Statement of Activities: (See the Notes to the SEFA for chart/table

Finding Details

2024-001: Significant Deficiency Economic Adjustment Assistance – 11.307 – Reporting Criteria Federal reporting requirements require all reports to be completed accurately. Condition One report was not accurately completed. Cause The Organization did not have sufficient procedures in place to ensure that the reports were completed accurately. Effect One report was completed inaccurately, resulting in noncompliance with reporting requirements. Questioned Costs These errors noted were due to missing two loans on the report. No questioned costs. Context Two reports were selected for testing – ED-209 and ED-917. Only the ED-917 report contained errors. With the ED-917 report, the reporting period was for July 2023 to June 2024, but two loans from late 2023 were not included in the report due to management oversight. Repeat Finding No. Recommendation The Organization should implement procedures to ensure that reports are completed accurately and the person reviewing the report should compare information reported to the supporting documentation. Views of Responsible Officials and Planned Corrective Actions The Organization agrees with the recommendation and will implement immediately.
2024-001: Significant Deficiency Economic Adjustment Assistance – 11.307 – Reporting Criteria Federal reporting requirements require all reports to be completed accurately. Condition One report was not accurately completed. Cause The Organization did not have sufficient procedures in place to ensure that the reports were completed accurately. Effect One report was completed inaccurately, resulting in noncompliance with reporting requirements. Questioned Costs These errors noted were due to missing two loans on the report. No questioned costs. Context Two reports were selected for testing – ED-209 and ED-917. Only the ED-917 report contained errors. With the ED-917 report, the reporting period was for July 2023 to June 2024, but two loans from late 2023 were not included in the report due to management oversight. Repeat Finding No. Recommendation The Organization should implement procedures to ensure that reports are completed accurately and the person reviewing the report should compare information reported to the supporting documentation. Views of Responsible Officials and Planned Corrective Actions The Organization agrees with the recommendation and will implement immediately.