Audit 362261

FY End
2022-09-30
Total Expended
$5.71M
Findings
6
Programs
19

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
571312 2022-001 Significant Deficiency Yes L
571313 2022-001 Significant Deficiency Yes L
571314 2022-001 Significant Deficiency Yes L
1147754 2022-001 Significant Deficiency Yes L
1147755 2022-001 Significant Deficiency Yes L
1147756 2022-001 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $963,802 Yes 0
10.769 Rural Business Enterprise Grants $576,203 - 0
20.507 Federal Transit Formula Grants $504,501 - 0
10.767 Intermediary Relending Program $298,329 - 0
93.044 Special Programs for the Aging, Title Iii, Part B, Grants for Supportive Services and Senior Centers $213,783 Yes 0
93.052 National Family Caregiver Support, Title Iii, Part E $155,383 - 0
11.302 Economic Development Support for Planning Organizations $82,734 - 0
17.235 Senior Community Service Employment Program $58,804 - 0
20.509 Formula Grants for Rural Areas and Tribal Transit Program $52,500 - 0
23.009 Appalachian Local Development District Assistance $41,434 - 0
93.324 State Health Insurance Assistance Program $26,483 - 0
11.307 Economic Adjustment Assistance $20,603 Yes 1
93.043 Special Programs for the Aging, Title Iii, Part D, Disease Prevention and Health Promotion Services $17,444 - 0
93.042 Special Programs for the Aging, Title Vii, Chapter 2, Long Term Care Ombudsman Services for Older Individuals $16,426 - 0
97.039 Hazard Mitigation Grant $9,800 - 0
93.791 Money Follows the Person Rebalancing Demonstration $8,706 - 0
93.071 Medicare Enrollment Assistance Program $7,547 - 0
93.048 Special Programs for the Aging, Title Iv, and Title Ii, Discretionary Projects $5,912 - 0
93.041 Special Programs for the Aging, Title Vii, Chapter 3, Programs for Prevention of Elder Abuse, Neglect, and Exploitation $2,044 - 0

Contacts

Name Title Type
VLJMHLLDLY84 Crystal Julien Auditee
2563554515 Ben Valiente Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 – BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The modified accrual basis differs from the full accrual basis of accounting in that expenditures for property and equipment are expensed when incurred, rather than being capitalized and depreciated over their useful lives. 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 Agency has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the Agency (the Parent organization only) and is presented on the accrual basis of accounting. 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 reported in this schedule may differ from amounts presented in, or used in the preparation of, the requests for reimbursement. These differences are temporary in nature and are resolved at the conclusion and final request for reimbursement of each program year. For purposes of the Schedule, federal awards include all grants, contracts, and similar agreements entered into directly with the federal government and other pass through entities. Payments received for goods or services provided as a vendor do not constitute federal awards for purposes of the Schedule. The Agency has obtained Catalog of Federal Domestic Assistance (CFDA) numbers to ensure that all programs have been identified in the Schedule. CFDA numbers have been appropriately listed by applicable programs.
Title: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The modified accrual basis differs from the full accrual basis of accounting in that expenditures for property and equipment are expensed when incurred, rather than being capitalized and depreciated over their useful lives. 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 Agency has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The modified accrual basis differs from the full accrual basis of accounting in that expenditures for property and equipment are expensed when incurred, rather than being capitalized and depreciated over their useful lives. 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 Agency has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: NOTE 3 – NONCASH ASSISTANCE, INSURANCE, AND LOANS Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The modified accrual basis differs from the full accrual basis of accounting in that expenditures for property and equipment are expensed when incurred, rather than being capitalized and depreciated over their useful lives. 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 Agency has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The Agency (the Parent organization only) did not receive any noncash awards during the year ended September 30, 2022. Federal loan programs had a total beginning balance of loans outstanding of $3,077,337 and processed $1,558,907 in new loans during the fiscal year ended September 30, 2022. The loans outstanding at year end totaled $4,159,608. There were no new federal loan draw downs in 2022. The amount recorded on the Schedule of Federal Expenditures as calculated using the following formula: See the notes to the SEFA for chart/table
Title: NOTE 4 – CONTINGENCIES Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The modified accrual basis differs from the full accrual basis of accounting in that expenditures for property and equipment are expensed when incurred, rather than being capitalized and depreciated over their useful lives. 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 Agency has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. Grant monies received and disbursed by the Agency are for specific purposes and are subject to review by the grantor agencies. Such audits may result in requests for reimbursement due to disallowed expenditures. Based upon prior experience, the Agency does not believe that such disallowance, if any, would have a material effect on the financial position of the Agency. As of September 30, 2022, there were no material questioned or disallowed costs as a result of grant audits in process or completed.

Finding Details

U.S. Economic Development Administration ALN# 11.307 Significant Deficiency: 2022-001 Reporting Criteria: the Organization is required to submit certain reports to the appropriate federal agency for revolving loan funds and grants. Condition: The financial report was due 90 days after the end of the reporting period. The report was not filed in a timely manner. Effect: The report was filed late. Cause: The Organization was in the middle of a transition of leadership in the Finance Department. The new Finance Director had to be set up as an authorized representative before submitting reports. Recommendation: The organization should ensure that procedures are put in place to meet reporting requirements. Views of responsible officials and planned corrective actions: NARCOG agrees with the finding and will adhere to the corrective action plan on page 61 of the financial report.
U.S. Economic Development Administration ALN# 11.307 Significant Deficiency: 2022-001 Reporting Criteria: the Organization is required to submit certain reports to the appropriate federal agency for revolving loan funds and grants. Condition: The financial report was due 90 days after the end of the reporting period. The report was not filed in a timely manner. Effect: The report was filed late. Cause: The Organization was in the middle of a transition of leadership in the Finance Department. The new Finance Director had to be set up as an authorized representative before submitting reports. Recommendation: The organization should ensure that procedures are put in place to meet reporting requirements. Views of responsible officials and planned corrective actions: NARCOG agrees with the finding and will adhere to the corrective action plan on page 61 of the financial report.
U.S. Economic Development Administration ALN# 11.307 Significant Deficiency: 2022-001 Reporting Criteria: the Organization is required to submit certain reports to the appropriate federal agency for revolving loan funds and grants. Condition: The financial report was due 90 days after the end of the reporting period. The report was not filed in a timely manner. Effect: The report was filed late. Cause: The Organization was in the middle of a transition of leadership in the Finance Department. The new Finance Director had to be set up as an authorized representative before submitting reports. Recommendation: The organization should ensure that procedures are put in place to meet reporting requirements. Views of responsible officials and planned corrective actions: NARCOG agrees with the finding and will adhere to the corrective action plan on page 61 of the financial report.
U.S. Economic Development Administration ALN# 11.307 Significant Deficiency: 2022-001 Reporting Criteria: the Organization is required to submit certain reports to the appropriate federal agency for revolving loan funds and grants. Condition: The financial report was due 90 days after the end of the reporting period. The report was not filed in a timely manner. Effect: The report was filed late. Cause: The Organization was in the middle of a transition of leadership in the Finance Department. The new Finance Director had to be set up as an authorized representative before submitting reports. Recommendation: The organization should ensure that procedures are put in place to meet reporting requirements. Views of responsible officials and planned corrective actions: NARCOG agrees with the finding and will adhere to the corrective action plan on page 61 of the financial report.
U.S. Economic Development Administration ALN# 11.307 Significant Deficiency: 2022-001 Reporting Criteria: the Organization is required to submit certain reports to the appropriate federal agency for revolving loan funds and grants. Condition: The financial report was due 90 days after the end of the reporting period. The report was not filed in a timely manner. Effect: The report was filed late. Cause: The Organization was in the middle of a transition of leadership in the Finance Department. The new Finance Director had to be set up as an authorized representative before submitting reports. Recommendation: The organization should ensure that procedures are put in place to meet reporting requirements. Views of responsible officials and planned corrective actions: NARCOG agrees with the finding and will adhere to the corrective action plan on page 61 of the financial report.
U.S. Economic Development Administration ALN# 11.307 Significant Deficiency: 2022-001 Reporting Criteria: the Organization is required to submit certain reports to the appropriate federal agency for revolving loan funds and grants. Condition: The financial report was due 90 days after the end of the reporting period. The report was not filed in a timely manner. Effect: The report was filed late. Cause: The Organization was in the middle of a transition of leadership in the Finance Department. The new Finance Director had to be set up as an authorized representative before submitting reports. Recommendation: The organization should ensure that procedures are put in place to meet reporting requirements. Views of responsible officials and planned corrective actions: NARCOG agrees with the finding and will adhere to the corrective action plan on page 61 of the financial report.