FAC Explorer

Audit 361807

FY End
2022-12-31
Total Expended
$1.24M
Findings
4
Programs
5
Organization: Niagara Area Management Corporation (NY)
Year: 2022 Accepted: 2025-07-09
Auditor: Lumsden & McCormick LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
570872 2022-001 Significant Deficiency - L
570873 2022-002 - - P
1147314 2022-001 Significant Deficiency - L
1147315 2022-002 - - P

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund and American Rescue Plan (arp) Rural Distribution $561,414 Yes 2
16.575 Crime Victim Assistance $294,126 - 0
93.332 Cooperative Agreement to Support Navigators in Federally-Facilitated Exchanges $212,636 - 0
93.778 Medical Assistance Program $164,266 - 0
10.558 Child and Adult Care Food Program $11,766 - 0

Contacts

Name Title Type
VJBRXARQ79N5 Matthew T. Dubois Auditee
7162784399 Jill Johnson Auditor
No contacts on file

Notes to SEFA

Title: 1. Summary of Significant Accounting Policies Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs administered by Niagara Area Management Corporation (NAMC), an entity as defined in Note 1 to the NAMC’s financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other governmental agencies, are included on the Schedule. Basis of Accounting NAMC uses the accrual basis of accounting for each federal program, consistent with the financial statements. The amounts reported as federal expenditures generally were obtained from the appropriate federal financial reports for the applicable programs and periods. The amounts reported in these federal financial reports are prepared from records maintained for each program, which are periodically reconciled with NAMC’s financial reporting system. Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution – Assistance Listing Number 93.498 For U.S. Department of Health and Human Services (HHS) awards related to the Provider Relief Fund and ARP Rural Distribution (PRF) program, HHS has indicated amounts on the Schedule be reported corresponding to reporting requirements of Health Resources and Services Administration (HRSA) PRF Reporting Portal. Payments from HHS for PRF are assigned to “Payment Received Periods” based on the date each payment from PRF was received. Each period has a specified “Period of Availability” and timing of reporting requirements. Entities report on the HRSA PRF Reporting Portal after each period’s deadline to use the fund ends. The Schedule includes $561,414 received from HHS from July 1, 2021 through December 31, 2021 and were presented in accordance with guidance from HHS in Period 4. No amounts were received or reported between January 1, 2021 and June 30, 2021 in Period 3. Such amounts were recognized as grant income in NAMC’s financial statements for the year ended December 31, 2021. Due to PRF reporting requirements, these amounts are not the total PRF received and/or recognized as grant income in the year presented on the Schedule. Indirect Costs NAMC has not elected to use the de minimis indirect cost rate allowed by the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Indirect Costs NAMC has not elected to use the de minimis indirect cost rate allowed by the Uniform Guidance. Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs administered by Niagara Area Management Corporation (NAMC), an entity as defined in Note 1 to the NAMC’s financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other governmental agencies, are included on the Schedule. Basis of Accounting NAMC uses the accrual basis of accounting for each federal program, consistent with the financial statements. The amounts reported as federal expenditures generally were obtained from the appropriate federal financial reports for the applicable programs and periods. The amounts reported in these federal financial reports are prepared from records maintained for each program, which are periodically reconciled with NAMC’s financial reporting system. Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution – Assistance Listing Number 93.498 For U.S. Department of Health and Human Services (HHS) awards related to the Provider Relief Fund and ARP Rural Distribution (PRF) program, HHS has indicated amounts on the Schedule be reported corresponding to reporting requirements of Health Resources and Services Administration (HRSA) PRF Reporting Portal. Payments from HHS for PRF are assigned to “Payment Received Periods” based on the date each payment from PRF was received. Each period has a specified “Period of Availability” and timing of reporting requirements. Entities report on the HRSA PRF Reporting Portal after each period’s deadline to use the fund ends. The Schedule includes $561,414 received from HHS from July 1, 2021 through December 31, 2021 and were presented in accordance with guidance from HHS in Period 4. No amounts were received or reported between January 1, 2021 and June 30, 2021 in Period 3. Such amounts were recognized as grant income in NAMC’s financial statements for the year ended December 31, 2021. Due to PRF reporting requirements, these amounts are not the total PRF received and/or recognized as grant income in the year presented on the Schedule. Indirect Costs NAMC has not elected to use the de minimis indirect cost rate allowed by the Uniform Guidance.

Finding Details

Finding 2022-001
Criteria: NAMC should have sufficient internal control over Health Resources and Services Administration (HRSA) PRF Portal reporting. Condition: Documentation was not maintained to support the HRSA PRF Portal reported expenditures and there was not evidence of review and approval of the HRSA PRF Portal submission. Cause: All supporting documentation was not maintained in line with retention requirements and evidence of review and approval was not documented. Effect: HRSA PRF Portal reporting may be inaccurate. Questioned Costs: None Auditors’ Recommendation: We recommend management retain supporting documentation in line with retention requirements and maintain evidence of review and approval of HRSA PRF Portal reporting. Views of Responsible Officials: Management agrees with the recommendation and will retain supporting documentation in line with retention requirements maintain evidence of review and approval on future HRSA PRF Portal reporting submissions.
Finding 2022-002
Criteria: 2 CFR requires a non-federal entity that expends $750,000 or more in federal awards during its fiscal year must undergo an audit in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and submit their audited annual financial reports and the data collection form to the Federal Audit Clearinghouse within thirty (30) days after receipt of the auditors’ report, or nine (9) months of the close of the auditee's fiscal year. Condition: NAMC did not undergo the annual audit requirement in accordance with the Uniform Guidance and submit the annual audited financial statements and the data collection form to the Federal Audit Clearinghouse within 9 months after year-end as required by the Uniform Guidance. Cause: Due to turnover in key finance positions, NAMC did not undergo the required audit. Effect: NAMC is not in compliance with applicable federal regulations. Questioned Costs: None Auditors’ Recommendation: NAMC should implement policies and procedures to ensure compliance with all audit requirements and timely filing of required reports. Views of Responsible Officials: NAMC has appropriately staffed the open finance department roles and completed its 2022 audit and reporting requirements as of April 2025.
Finding 2022-001
Criteria: NAMC should have sufficient internal control over Health Resources and Services Administration (HRSA) PRF Portal reporting. Condition: Documentation was not maintained to support the HRSA PRF Portal reported expenditures and there was not evidence of review and approval of the HRSA PRF Portal submission. Cause: All supporting documentation was not maintained in line with retention requirements and evidence of review and approval was not documented. Effect: HRSA PRF Portal reporting may be inaccurate. Questioned Costs: None Auditors’ Recommendation: We recommend management retain supporting documentation in line with retention requirements and maintain evidence of review and approval of HRSA PRF Portal reporting. Views of Responsible Officials: Management agrees with the recommendation and will retain supporting documentation in line with retention requirements maintain evidence of review and approval on future HRSA PRF Portal reporting submissions.
Finding 2022-002
Criteria: 2 CFR requires a non-federal entity that expends $750,000 or more in federal awards during its fiscal year must undergo an audit in accordance with Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and submit their audited annual financial reports and the data collection form to the Federal Audit Clearinghouse within thirty (30) days after receipt of the auditors’ report, or nine (9) months of the close of the auditee's fiscal year. Condition: NAMC did not undergo the annual audit requirement in accordance with the Uniform Guidance and submit the annual audited financial statements and the data collection form to the Federal Audit Clearinghouse within 9 months after year-end as required by the Uniform Guidance. Cause: Due to turnover in key finance positions, NAMC did not undergo the required audit. Effect: NAMC is not in compliance with applicable federal regulations. Questioned Costs: None Auditors’ Recommendation: NAMC should implement policies and procedures to ensure compliance with all audit requirements and timely filing of required reports. Views of Responsible Officials: NAMC has appropriately staffed the open finance department roles and completed its 2022 audit and reporting requirements as of April 2025.