Audit 362424

FY End
2024-03-31
Total Expended
$1.17M
Findings
2
Programs
5
Year: 2024 Accepted: 2025-07-16

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
571490 2024-011 Significant Deficiency Yes L
1147932 2024-011 Significant Deficiency Yes L

Contacts

Name Title Type
RLF1NJG2CLM5 Stephanie Polites Auditee
5012621660 Amanda J. Kastler, CPA Auditor
No contacts on file

Notes to SEFA

Title: NOTE A: BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedules 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 Organization has elected not to use the 10% de minimums indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activities of the Organization under programs of the federal and state governments for the year ended March 31, 2024. The information in this Schedule 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 Schedule presents only selected portions of the operations of the Organization, they are not intended to and do not present the financial position, changes in net assets, or cash flows of Assemblies of God Family Services Agency, d/b/a COMPACT Family Services.
Title: NOTE B: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the schedules 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 Organization has elected not to use the 10% de minimums indirect cost rate as allowed under the Uniform Guidance. Expenditures reported on the Schedule 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 schedules 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 Organization has elected not to use the 10% de minimums indirect cost rate as allowed under the Uniform Guidance. The entity has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: NOTE D: SUBRECIPIENTS Accounting Policies: Expenditures reported on the schedules 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 Organization has elected not to use the 10% de minimums indirect cost rate as allowed under the Uniform Guidance. The Organization did not provide federal awards to subrecipients during the year ended March 31, 2024.

Finding Details

Condition: The data collection form was not available for submission by December 31, 2024, which was nine months after the Organization’s year-end. Effect: Untimely filing of the data collection form could cause granting agencies to consider the Organization high-risk. Cause: Audit was not completed in time due to delays in reconciliation by management of certain account discrepancies in net assets and beneficial interests, in turn caused by overly complex accounting for the aforementioned balances. Criteria: Per CFR 200.512 related to report submission of the data collection form, "The audit must be completed and submitted within the earlier of 30 calendar days after receipt of the auditors’ report, or nine months after the end of the audit period." Recommendation: It is recommended that the Board of Directors and Management streamline processes related to accounting for net assets, investments, and beneficial interests, as well as work to simplify the accounting records to enable more clear and accurate presentation of these balances. Response: The Board and management will consult with the auditors to identify best practices to be performed to enhance the quality of the accounting processes. Note: This is a repeat finding.
Condition: The data collection form was not available for submission by December 31, 2024, which was nine months after the Organization’s year-end. Effect: Untimely filing of the data collection form could cause granting agencies to consider the Organization high-risk. Cause: Audit was not completed in time due to delays in reconciliation by management of certain account discrepancies in net assets and beneficial interests, in turn caused by overly complex accounting for the aforementioned balances. Criteria: Per CFR 200.512 related to report submission of the data collection form, "The audit must be completed and submitted within the earlier of 30 calendar days after receipt of the auditors’ report, or nine months after the end of the audit period." Recommendation: It is recommended that the Board of Directors and Management streamline processes related to accounting for net assets, investments, and beneficial interests, as well as work to simplify the accounting records to enable more clear and accurate presentation of these balances. Response: The Board and management will consult with the auditors to identify best practices to be performed to enhance the quality of the accounting processes. Note: This is a repeat finding.