Audit 361571

FY End
2024-06-30
Total Expended
$1.06M
Findings
2
Programs
2
Organization: City of Shepherdsville (KY)
Year: 2024 Accepted: 2025-07-07
Auditor: Lbmc PC

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
570554 2024-005 - Yes L
1146996 2024-005 - Yes L

Programs

ALN Program Spent Major Findings
97.083 Staffing for Adequate Fire and Emergency Response (safer) $1.00M Yes 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $60,714 - 1

Contacts

Name Title Type
VPNAF1SC5DE7 Angela Middaugh Auditee
5022151529 Jim Stevison Auditor
No contacts on file

Notes to SEFA

Title: Note A‐‐Basis of Presentation Accounting Policies: Expenditures reported on the 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: The City has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (“SEFA”) includes the federal grant activity of the City of Shepherdsville, Kentucky (the “City”) under programs of the federal government for the year ended June 30, 2024. The information in this SEFA 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”). Therefore, some amounts presented in the SEFA differ from amounts presented in, or used in the preparation, of the financial statements.
Title: Note B‐‐Summary of Significant Accoun􀆟ng Policies Accounting Policies: Expenditures reported on the 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: The City has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. Expenditures reported on the 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.
Title: Note C‐‐Indirect Cost Rate Accounting Policies: Expenditures reported on the 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: The City has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The City has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Federal Program: 21.027 – Coronavirus State and Local Fiscal Recovery Funds Federal Agency: U.S. Department of the Treasury Award Number: PON211221000000422 Questioned Costs: $0 Condi􀆟on: The Single Audit was not completed by the deadline. Criteria: Single audit repor􀆟ng packages must have a report date no later than nine months a􀅌er the fiscal year‐end (2 CFR Part 200 Subpart F). Cause: The City con􀆟nued to experience delays in its financial repor􀆟ng and comple􀆟on of audits since 2020 when the City faced staffing difficul􀆟es. Effect: The City was not in compliance with federal regula􀆟ons and guidelines for the single audit submission. Recommenda􀆟on: The City should implement controls for filing federal financial reports in a 􀆟mely manner. Management’s Response and Planned Correc􀆟ve Ac􀆟on: The City has retained a consultant to clean up old data, and we are commi􀆩ed to closing the books by August 31, 2025. As a result of improving our processes and 􀆟ghtening internal controls, we can begin our audit process much sooner than in prior years and have all aspects of the audit completed 􀆟mely. This will be overseen by the Finance Director.
Federal Program: 21.027 – Coronavirus State and Local Fiscal Recovery Funds Federal Agency: U.S. Department of the Treasury Award Number: PON211221000000422 Questioned Costs: $0 Condi􀆟on: The Single Audit was not completed by the deadline. Criteria: Single audit repor􀆟ng packages must have a report date no later than nine months a􀅌er the fiscal year‐end (2 CFR Part 200 Subpart F). Cause: The City con􀆟nued to experience delays in its financial repor􀆟ng and comple􀆟on of audits since 2020 when the City faced staffing difficul􀆟es. Effect: The City was not in compliance with federal regula􀆟ons and guidelines for the single audit submission. Recommenda􀆟on: The City should implement controls for filing federal financial reports in a 􀆟mely manner. Management’s Response and Planned Correc􀆟ve Ac􀆟on: The City has retained a consultant to clean up old data, and we are commi􀆩ed to closing the books by August 31, 2025. As a result of improving our processes and 􀆟ghtening internal controls, we can begin our audit process much sooner than in prior years and have all aspects of the audit completed 􀆟mely. This will be overseen by the Finance Director.