FAC Explorer

Audit 363403

FY End
2024-10-31
Total Expended
$1.21M
Findings
2
Programs
1
Organization: Hawaii Council for the Humanities (HI)
Year: 2024 Accepted: 2025-07-30
Auditor: Kmh LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
572349 2024-001 Significant Deficiency - L
1148791 2024-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
45.129 Promotion of the Humanities Federal/state Partnership $1.21M Yes 1

Contacts

Name Title Type
NEW3AGCDUNG7 Aiko Yamashiro Auditee
8087325402 Robin Freitas Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: 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. De Minimis Rate Used: N Rate Explanation: The Council has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of the Hawaii Council for the Humanities (the Council) under programs of the federal government for the fiscal year ended October 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 of Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Council, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Council.
Title: Summary of Significant Accounting Policies Accounting Policies: 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. De Minimis Rate Used: N Rate Explanation: The Council has elected not to use the 10-percent de minimis indirect cost rate 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: Indirect Cost Rate Accounting Policies: 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. De Minimis Rate Used: N Rate Explanation: The Council has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The Council has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2024-001
Finding No.: 2024-001 Federal Financial Reports Federal Agency: National Endowment for the Humanities Federal Assistance Listing No.: 45.129 Program: Promotion of the Humanities-Federal State Partnership Requirement: Reporting Type of Finding: Significant Deficiency Federal award no. and year: SO-283113-22 Criteria: 2 CFR 200.328 states that recipients of federal awards must submit financial reports that include OMB-approved government-wide data elements which consist of the Federal Financial Report, as required by the federal award. The Federal Financial Report Instructions provided by the federal awarding agency include instructions for each line item reported in the Federal Financial Report. Condition: The amount of the federal share of expenditures line item reported in one of the Federal Financial Reports submitted in the current year was not reported in accordance with the Federal Financial Report Instructions. Context: We selected all four of the Federal Financial Reports submitted during the current year and noted that for one of the Federal Financial Reports submitted during the year, the amount reported in the federal share of expenditures line item was under reported by approximately $47,000. Cause: The Council has a process in place to support the accurate preparation and review of the Federal Financial Reports, however the Council was not diligent in following this policy. Effect: Failure to properly adhere to the processes in place over the preparation and review of the Federal Financial Reports resulted in an error to one of the submitted Federal Financial Reports. Questioned costs: None Identification of a repeat finding: N/A Recommendations: The Council should diligently follow its existing policy. Views of Responsible Official(s) and Planned Corrective Action: Management concurs with the finding. The report found lacking was reviewed by the Executive Director, and the error was based on a difference between cash and accrual accounting. Management will review federal financial reports with contracted accountants and retrieve source documents before submitting. Management will also review scope of contracted accounting services to ensure it includes review of all NEH reports.
Finding 2024-001
Finding No.: 2024-001 Federal Financial Reports Federal Agency: National Endowment for the Humanities Federal Assistance Listing No.: 45.129 Program: Promotion of the Humanities-Federal State Partnership Requirement: Reporting Type of Finding: Significant Deficiency Federal award no. and year: SO-283113-22 Criteria: 2 CFR 200.328 states that recipients of federal awards must submit financial reports that include OMB-approved government-wide data elements which consist of the Federal Financial Report, as required by the federal award. The Federal Financial Report Instructions provided by the federal awarding agency include instructions for each line item reported in the Federal Financial Report. Condition: The amount of the federal share of expenditures line item reported in one of the Federal Financial Reports submitted in the current year was not reported in accordance with the Federal Financial Report Instructions. Context: We selected all four of the Federal Financial Reports submitted during the current year and noted that for one of the Federal Financial Reports submitted during the year, the amount reported in the federal share of expenditures line item was under reported by approximately $47,000. Cause: The Council has a process in place to support the accurate preparation and review of the Federal Financial Reports, however the Council was not diligent in following this policy. Effect: Failure to properly adhere to the processes in place over the preparation and review of the Federal Financial Reports resulted in an error to one of the submitted Federal Financial Reports. Questioned costs: None Identification of a repeat finding: N/A Recommendations: The Council should diligently follow its existing policy. Views of Responsible Official(s) and Planned Corrective Action: Management concurs with the finding. The report found lacking was reviewed by the Executive Director, and the error was based on a difference between cash and accrual accounting. Management will review federal financial reports with contracted accountants and retrieve source documents before submitting. Management will also review scope of contracted accounting services to ensure it includes review of all NEH reports.