Audit 363689

FY End
2023-12-31
Total Expended
$4.04M
Findings
36
Programs
5
Year: 2023 Accepted: 2025-08-05

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
572520 2023-006 Material Weakness - AB
572521 2023-006 Material Weakness - AB
572522 2023-006 Material Weakness - AB
572523 2023-007 Significant Deficiency Yes AB
572524 2023-007 Significant Deficiency Yes AB
572525 2023-007 Significant Deficiency Yes AB
572526 2023-008 Material Weakness - AB
572527 2023-008 Material Weakness - AB
572528 2023-008 Material Weakness - AB
572529 2023-009 Material Weakness Yes I
572530 2023-009 Material Weakness Yes I
572531 2023-009 Material Weakness Yes I
572532 2023-010 Material Weakness Yes I
572533 2023-010 Material Weakness Yes I
572534 2023-010 Material Weakness Yes I
572535 2023-011 Material Weakness - L
572536 2023-011 Material Weakness - L
572537 2023-011 Material Weakness - L
1148962 2023-006 Material Weakness - AB
1148963 2023-006 Material Weakness - AB
1148964 2023-006 Material Weakness - AB
1148965 2023-007 Significant Deficiency Yes AB
1148966 2023-007 Significant Deficiency Yes AB
1148967 2023-007 Significant Deficiency Yes AB
1148968 2023-008 Material Weakness - AB
1148969 2023-008 Material Weakness - AB
1148970 2023-008 Material Weakness - AB
1148971 2023-009 Material Weakness Yes I
1148972 2023-009 Material Weakness Yes I
1148973 2023-009 Material Weakness Yes I
1148974 2023-010 Material Weakness Yes I
1148975 2023-010 Material Weakness Yes I
1148976 2023-010 Material Weakness Yes I
1148977 2023-011 Material Weakness - L
1148978 2023-011 Material Weakness - L
1148979 2023-011 Material Weakness - L

Programs

Contacts

Name Title Type
RML9Z7L6Q8E5 Devlyn Brooks Auditee
2186567032 Jeremy Ulmer Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Expenditures reported in the schedule of expenditures of federal awards (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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: Churches United for the Homeless has not elected to use the 10% de minimis cost rate. The accompanying schedule includes the federal award activity of Churches United for the Homeless under programs of the federal government for the year ended December 31, 2023. The information 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 a selected portion of the operations of Churches United for the Homeless, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Churches United for the Homeless.

Finding Details

2023‐006 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that costs reimbursed under federal programs are in accordance with 2 CFR Part 200, Subpart E. Condition ‐ We reviewed the supporting documentation for a sample of the expenditures reimbursed under the federal grant for the remodel project. This included supporting documentation for the amount and allowability under the grant. It was determined that two expenditures were for another grant, one expenditure was paid from an estimate, and six expenditures were for expenses not included in the grant proposal. Cause ‐ During the course of our engagement, we noted that internal controls were not adequately designed to allow for the compliance with Uniform Guidance. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 9 out of the 46 transactions were not in accordance with Subpart E of Uniform Guidance. These transactions totaled $24,913 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are handled appropriately under Uniform Guidance, Subpart #. Views of Responsible Officials ‐ Management is in agreement with this finding. Repeat Finding – This is a new finding.
2023‐006 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that costs reimbursed under federal programs are in accordance with 2 CFR Part 200, Subpart E. Condition ‐ We reviewed the supporting documentation for a sample of the expenditures reimbursed under the federal grant for the remodel project. This included supporting documentation for the amount and allowability under the grant. It was determined that two expenditures were for another grant, one expenditure was paid from an estimate, and six expenditures were for expenses not included in the grant proposal. Cause ‐ During the course of our engagement, we noted that internal controls were not adequately designed to allow for the compliance with Uniform Guidance. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 9 out of the 46 transactions were not in accordance with Subpart E of Uniform Guidance. These transactions totaled $24,913 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are handled appropriately under Uniform Guidance, Subpart #. Views of Responsible Officials ‐ Management is in agreement with this finding. Repeat Finding – This is a new finding.
2023‐006 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that costs reimbursed under federal programs are in accordance with 2 CFR Part 200, Subpart E. Condition ‐ We reviewed the supporting documentation for a sample of the expenditures reimbursed under the federal grant for the remodel project. This included supporting documentation for the amount and allowability under the grant. It was determined that two expenditures were for another grant, one expenditure was paid from an estimate, and six expenditures were for expenses not included in the grant proposal. Cause ‐ During the course of our engagement, we noted that internal controls were not adequately designed to allow for the compliance with Uniform Guidance. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 9 out of the 46 transactions were not in accordance with Subpart E of Uniform Guidance. These transactions totaled $24,913 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are handled appropriately under Uniform Guidance, Subpart #. Views of Responsible Officials ‐ Management is in agreement with this finding. Repeat Finding – This is a new finding.
2023‐007 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Significant Deficiency in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program. Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved. Cause ‐ During the course of our engagement, we noted that two costs under the program were not formally approved. Effect ‐ The Organization’s internal controls failed to formally approve costs under the program. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 2 out of the 46 transactions did not have formal approval. These transactions totaled $400 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-006.
2023‐007 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Significant Deficiency in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program. Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved. Cause ‐ During the course of our engagement, we noted that two costs under the program were not formally approved. Effect ‐ The Organization’s internal controls failed to formally approve costs under the program. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 2 out of the 46 transactions did not have formal approval. These transactions totaled $400 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-006.
2023‐007 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Significant Deficiency in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program. Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved. Cause ‐ During the course of our engagement, we noted that two costs under the program were not formally approved. Effect ‐ The Organization’s internal controls failed to formally approve costs under the program. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 2 out of the 46 transactions did not have formal approval. These transactions totaled $400 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-006.
2023‐008 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200, Subpart E requires that all expenses reimbursed under the Uniform Guidance be adequately documented. Condition ‐ We requested supporting schedules for all expenditures reimbursed under the federal program. For the expenditures reimbursed under the COVID-19 Fiscal Recovery program and the funding awarded for the Silver Linings building project. A listing of specific expenditures for these programs was not available for our testing procedures. Cause ‐ The Organization did not have proper procedures to ensure tracking of expenditure submitted for reimbursement. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ $239,614 Context/Sampling ‐ No sampling was performed as a listing of expenditures was not available for testing. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper tracking of all expenditures reimbursed under federal programs. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a new finding.
2023‐008 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200, Subpart E requires that all expenses reimbursed under the Uniform Guidance be adequately documented. Condition ‐ We requested supporting schedules for all expenditures reimbursed under the federal program. For the expenditures reimbursed under the COVID-19 Fiscal Recovery program and the funding awarded for the Silver Linings building project. A listing of specific expenditures for these programs was not available for our testing procedures. Cause ‐ The Organization did not have proper procedures to ensure tracking of expenditure submitted for reimbursement. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ $239,614 Context/Sampling ‐ No sampling was performed as a listing of expenditures was not available for testing. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper tracking of all expenditures reimbursed under federal programs. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a new finding.
2023‐008 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200, Subpart E requires that all expenses reimbursed under the Uniform Guidance be adequately documented. Condition ‐ We requested supporting schedules for all expenditures reimbursed under the federal program. For the expenditures reimbursed under the COVID-19 Fiscal Recovery program and the funding awarded for the Silver Linings building project. A listing of specific expenditures for these programs was not available for our testing procedures. Cause ‐ The Organization did not have proper procedures to ensure tracking of expenditure submitted for reimbursement. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ $239,614 Context/Sampling ‐ No sampling was performed as a listing of expenditures was not available for testing. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper tracking of all expenditures reimbursed under federal programs. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a new finding.
2023‐009 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance. Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors. Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance. Questioned Costs ‐ None Reported. Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety. Repeat Finding – This is a repeat finding of 2022-007. Recommendation ‐ We recommend the Organization ensures its procurement policies are updated to conform to the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding.
2023‐009 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance. Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors. Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance. Questioned Costs ‐ None Reported. Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety. Repeat Finding – This is a repeat finding of 2022-007. Recommendation ‐ We recommend the Organization ensures its procurement policies are updated to conform to the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding.
2023‐009 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance. Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors. Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance. Questioned Costs ‐ None Reported. Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety. Repeat Finding – This is a repeat finding of 2022-007. Recommendation ‐ We recommend the Organization ensures its procurement policies are updated to conform to the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding.
2023‐010 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts. Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance. Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts. Questioned Costs ‐ $3,227,905 Context/Sampling ‐ A nonstatistical sample of 2 contracts were selected for testing. 2 out of the 2 contracts did not follow procurement compliance requirements. These transactions totaled $3,227,905 of $3,274,092 costs tested. Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-008.
2023‐010 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts. Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance. Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts. Questioned Costs ‐ $3,227,905 Context/Sampling ‐ A nonstatistical sample of 2 contracts were selected for testing. 2 out of the 2 contracts did not follow procurement compliance requirements. These transactions totaled $3,227,905 of $3,274,092 costs tested. Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-008.
2023‐010 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts. Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance. Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts. Questioned Costs ‐ $3,227,905 Context/Sampling ‐ A nonstatistical sample of 2 contracts were selected for testing. 2 out of the 2 contracts did not follow procurement compliance requirements. These transactions totaled $3,227,905 of $3,274,092 costs tested. Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-008.
2023‐011 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200.328 and 31 CFR Section 354(c), the federal program requires quarterly and annual project and expenditure reporting be submitted to the granting oversight agency. Condition ‐ We requested copies of the submitted reports and supporting documentation for the year under audit in order to perform the compliance testing. These items could not be reproduced to verify that the reporting was submitted as required under the audit. Cause ‐ The Organization did not have proper procedures to ensure preparation and submission of the required reporting under the federal award. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None reported. Context/Sampling ‐ No sampling was performed as supporting documentation to allow for testing of the reporting requirement was unavailable. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper identification of all reporting requirements, preparation and review of reports to be submitted, and accumulation of appropriate supporting documentation and schedules. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a not a repeat finding.
2023‐011 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200.328 and 31 CFR Section 354(c), the federal program requires quarterly and annual project and expenditure reporting be submitted to the granting oversight agency. Condition ‐ We requested copies of the submitted reports and supporting documentation for the year under audit in order to perform the compliance testing. These items could not be reproduced to verify that the reporting was submitted as required under the audit. Cause ‐ The Organization did not have proper procedures to ensure preparation and submission of the required reporting under the federal award. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None reported. Context/Sampling ‐ No sampling was performed as supporting documentation to allow for testing of the reporting requirement was unavailable. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper identification of all reporting requirements, preparation and review of reports to be submitted, and accumulation of appropriate supporting documentation and schedules. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a not a repeat finding.
2023‐011 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200.328 and 31 CFR Section 354(c), the federal program requires quarterly and annual project and expenditure reporting be submitted to the granting oversight agency. Condition ‐ We requested copies of the submitted reports and supporting documentation for the year under audit in order to perform the compliance testing. These items could not be reproduced to verify that the reporting was submitted as required under the audit. Cause ‐ The Organization did not have proper procedures to ensure preparation and submission of the required reporting under the federal award. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None reported. Context/Sampling ‐ No sampling was performed as supporting documentation to allow for testing of the reporting requirement was unavailable. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper identification of all reporting requirements, preparation and review of reports to be submitted, and accumulation of appropriate supporting documentation and schedules. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a not a repeat finding.
2023‐006 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that costs reimbursed under federal programs are in accordance with 2 CFR Part 200, Subpart E. Condition ‐ We reviewed the supporting documentation for a sample of the expenditures reimbursed under the federal grant for the remodel project. This included supporting documentation for the amount and allowability under the grant. It was determined that two expenditures were for another grant, one expenditure was paid from an estimate, and six expenditures were for expenses not included in the grant proposal. Cause ‐ During the course of our engagement, we noted that internal controls were not adequately designed to allow for the compliance with Uniform Guidance. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 9 out of the 46 transactions were not in accordance with Subpart E of Uniform Guidance. These transactions totaled $24,913 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are handled appropriately under Uniform Guidance, Subpart #. Views of Responsible Officials ‐ Management is in agreement with this finding. Repeat Finding – This is a new finding.
2023‐006 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that costs reimbursed under federal programs are in accordance with 2 CFR Part 200, Subpart E. Condition ‐ We reviewed the supporting documentation for a sample of the expenditures reimbursed under the federal grant for the remodel project. This included supporting documentation for the amount and allowability under the grant. It was determined that two expenditures were for another grant, one expenditure was paid from an estimate, and six expenditures were for expenses not included in the grant proposal. Cause ‐ During the course of our engagement, we noted that internal controls were not adequately designed to allow for the compliance with Uniform Guidance. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 9 out of the 46 transactions were not in accordance with Subpart E of Uniform Guidance. These transactions totaled $24,913 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are handled appropriately under Uniform Guidance, Subpart #. Views of Responsible Officials ‐ Management is in agreement with this finding. Repeat Finding – This is a new finding.
2023‐006 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that costs reimbursed under federal programs are in accordance with 2 CFR Part 200, Subpart E. Condition ‐ We reviewed the supporting documentation for a sample of the expenditures reimbursed under the federal grant for the remodel project. This included supporting documentation for the amount and allowability under the grant. It was determined that two expenditures were for another grant, one expenditure was paid from an estimate, and six expenditures were for expenses not included in the grant proposal. Cause ‐ During the course of our engagement, we noted that internal controls were not adequately designed to allow for the compliance with Uniform Guidance. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 9 out of the 46 transactions were not in accordance with Subpart E of Uniform Guidance. These transactions totaled $24,913 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are handled appropriately under Uniform Guidance, Subpart #. Views of Responsible Officials ‐ Management is in agreement with this finding. Repeat Finding – This is a new finding.
2023‐007 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Significant Deficiency in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program. Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved. Cause ‐ During the course of our engagement, we noted that two costs under the program were not formally approved. Effect ‐ The Organization’s internal controls failed to formally approve costs under the program. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 2 out of the 46 transactions did not have formal approval. These transactions totaled $400 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-006.
2023‐007 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Significant Deficiency in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program. Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved. Cause ‐ During the course of our engagement, we noted that two costs under the program were not formally approved. Effect ‐ The Organization’s internal controls failed to formally approve costs under the program. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 2 out of the 46 transactions did not have formal approval. These transactions totaled $400 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-006.
2023‐007 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Significant Deficiency in Internal Control over Compliance Criteria ‐ A good system of internal controls includes a process to ensure that proper approvals are obtained relating to costs under the program. Condition ‐ We noted that the Organization’s internal controls did not have adequate internal controls to ensure costs are properly approved. Cause ‐ During the course of our engagement, we noted that two costs under the program were not formally approved. Effect ‐ The Organization’s internal controls failed to formally approve costs under the program. Questioned Costs ‐ None Reported. Context/Sampling ‐ A nonstatistical sample of 46 costs were selected for expense testing. 2 out of the 46 transactions did not have formal approval. These transactions totaled $400 of $3,274,092 costs tested. Recommendation ‐ Management should implement internal controls to ensure all costs under the program are formally approved. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-006.
2023‐008 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200, Subpart E requires that all expenses reimbursed under the Uniform Guidance be adequately documented. Condition ‐ We requested supporting schedules for all expenditures reimbursed under the federal program. For the expenditures reimbursed under the COVID-19 Fiscal Recovery program and the funding awarded for the Silver Linings building project. A listing of specific expenditures for these programs was not available for our testing procedures. Cause ‐ The Organization did not have proper procedures to ensure tracking of expenditure submitted for reimbursement. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ $239,614 Context/Sampling ‐ No sampling was performed as a listing of expenditures was not available for testing. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper tracking of all expenditures reimbursed under federal programs. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a new finding.
2023‐008 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200, Subpart E requires that all expenses reimbursed under the Uniform Guidance be adequately documented. Condition ‐ We requested supporting schedules for all expenditures reimbursed under the federal program. For the expenditures reimbursed under the COVID-19 Fiscal Recovery program and the funding awarded for the Silver Linings building project. A listing of specific expenditures for these programs was not available for our testing procedures. Cause ‐ The Organization did not have proper procedures to ensure tracking of expenditure submitted for reimbursement. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ $239,614 Context/Sampling ‐ No sampling was performed as a listing of expenditures was not available for testing. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper tracking of all expenditures reimbursed under federal programs. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a new finding.
2023‐008 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Allowable Costs and Allowable Activities Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200, Subpart E requires that all expenses reimbursed under the Uniform Guidance be adequately documented. Condition ‐ We requested supporting schedules for all expenditures reimbursed under the federal program. For the expenditures reimbursed under the COVID-19 Fiscal Recovery program and the funding awarded for the Silver Linings building project. A listing of specific expenditures for these programs was not available for our testing procedures. Cause ‐ The Organization did not have proper procedures to ensure tracking of expenditure submitted for reimbursement. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ $239,614 Context/Sampling ‐ No sampling was performed as a listing of expenditures was not available for testing. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper tracking of all expenditures reimbursed under federal programs. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a new finding.
2023‐009 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance. Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors. Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance. Questioned Costs ‐ None Reported. Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety. Repeat Finding – This is a repeat finding of 2022-007. Recommendation ‐ We recommend the Organization ensures its procurement policies are updated to conform to the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding.
2023‐009 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance. Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors. Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance. Questioned Costs ‐ None Reported. Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety. Repeat Finding – This is a repeat finding of 2022-007. Recommendation ‐ We recommend the Organization ensures its procurement policies are updated to conform to the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding.
2023‐009 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must use its own documented procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies were not updated to conform to applicable standards under Uniform Guidance. Cause ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance relating to suspended and debarred vendors. Effect ‐ The Organization did not have proper procedures to ensure its procurement policies were updated to conform to the requirements identified in Uniform Guidance. Questioned Costs ‐ None Reported. Context/Sampling ‐ No sampling was performed as the procurement policy was examined in its entirety. Repeat Finding – This is a repeat finding of 2022-007. Recommendation ‐ We recommend the Organization ensures its procurement policies are updated to conform to the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding.
2023‐010 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts. Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance. Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts. Questioned Costs ‐ $3,227,905 Context/Sampling ‐ A nonstatistical sample of 2 contracts were selected for testing. 2 out of the 2 contracts did not follow procurement compliance requirements. These transactions totaled $3,227,905 of $3,274,092 costs tested. Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-008.
2023‐010 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts. Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance. Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts. Questioned Costs ‐ $3,227,905 Context/Sampling ‐ A nonstatistical sample of 2 contracts were selected for testing. 2 out of the 2 contracts did not follow procurement compliance requirements. These transactions totaled $3,227,905 of $3,274,092 costs tested. Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-008.
2023‐010 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Procurement, Suspension, and Debarment Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires that a non‐Federal entity must follow procurement procedures which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal law and standards. Condition ‐ Procurement policies under Uniform Guidance were not followed when obtaining bids for two contracts. Cause ‐ Due to grant timing restraints, the Organization did not follow proper procurement procedures for obtaining bids for two contracts under Uniform Guidance. Effect ‐ The Organization did not have proper procedures to ensure procurement compliance requirements under Uniform Guidance were followed when obtaining bids for contracts. Questioned Costs ‐ $3,227,905 Context/Sampling ‐ A nonstatistical sample of 2 contracts were selected for testing. 2 out of the 2 contracts did not follow procurement compliance requirements. These transactions totaled $3,227,905 of $3,274,092 costs tested. Recommendation ‐ We recommend the Organization follow applicable procurement policies under the requirements identified in Uniform Guidance. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a repeat finding of 2022-008.
2023‐011 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200.328 and 31 CFR Section 354(c), the federal program requires quarterly and annual project and expenditure reporting be submitted to the granting oversight agency. Condition ‐ We requested copies of the submitted reports and supporting documentation for the year under audit in order to perform the compliance testing. These items could not be reproduced to verify that the reporting was submitted as required under the audit. Cause ‐ The Organization did not have proper procedures to ensure preparation and submission of the required reporting under the federal award. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None reported. Context/Sampling ‐ No sampling was performed as supporting documentation to allow for testing of the reporting requirement was unavailable. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper identification of all reporting requirements, preparation and review of reports to be submitted, and accumulation of appropriate supporting documentation and schedules. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a not a repeat finding.
2023‐011 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200.328 and 31 CFR Section 354(c), the federal program requires quarterly and annual project and expenditure reporting be submitted to the granting oversight agency. Condition ‐ We requested copies of the submitted reports and supporting documentation for the year under audit in order to perform the compliance testing. These items could not be reproduced to verify that the reporting was submitted as required under the audit. Cause ‐ The Organization did not have proper procedures to ensure preparation and submission of the required reporting under the federal award. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None reported. Context/Sampling ‐ No sampling was performed as supporting documentation to allow for testing of the reporting requirement was unavailable. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper identification of all reporting requirements, preparation and review of reports to be submitted, and accumulation of appropriate supporting documentation and schedules. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a not a repeat finding.
2023‐011 Department of Treasury Federal Financial Assistance Listing/ALN 21.027 COVID‐19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Noncompliance and Material Weakness in Internal Control over Compliance Criteria ‐ In accordance with 2 CFR Part 200.328 and 31 CFR Section 354(c), the federal program requires quarterly and annual project and expenditure reporting be submitted to the granting oversight agency. Condition ‐ We requested copies of the submitted reports and supporting documentation for the year under audit in order to perform the compliance testing. These items could not be reproduced to verify that the reporting was submitted as required under the audit. Cause ‐ The Organization did not have proper procedures to ensure preparation and submission of the required reporting under the federal award. Effect ‐ The deficiency in internal controls resulted in material noncompliance to the Organization. Questioned Costs ‐ None reported. Context/Sampling ‐ No sampling was performed as supporting documentation to allow for testing of the reporting requirement was unavailable. Recommendation ‐ We recommend the Organization update its policies and procedures to allow for the proper identification of all reporting requirements, preparation and review of reports to be submitted, and accumulation of appropriate supporting documentation and schedules. Views of Responsible Officials ‐ Management is in agreement with the finding. Repeat Finding – This is a not a repeat finding.