Audit 364304

FY End
2025-03-31
Total Expended
$1.10M
Findings
2
Programs
1
Year: 2025 Accepted: 2025-08-14
Auditor: Bdo USA PC

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
573663 2025-001 - - L
1150105 2025-001 - - L

Programs

ALN Program Spent Major Findings
98.001 Usaid Foreign Assistance for Programs Overseas $1.10M Yes 1

Contacts

Name Title Type
L19HL4LG7VA4 Lorena Ferro Auditee
7708708182 Joseph Savage Auditor
No contacts on file

Notes to SEFA

Title: 1. 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: Y Rate Explanation: The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of GSMA Mobile for Development Foundation, Inc. (the Foundation) under programs of the federal government for the year ended March 31, 2025. The information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Foundation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Foundation. All of the Foundation’s federal awards were in the form of cash assistance. The Foundation did not have any subrecipient expenditures during the year ended March 31, 2025.
Title: 2. 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: Y Rate Explanation: The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025. 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: 3. 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: Y Rate Explanation: The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025. The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025.
Title: 4. Contingency 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: Y Rate Explanation: The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025. The grant revenue amounts received are subject to audit and adjustment. If any expenditures are disallowed by the grantor agencies as a result of such an audit, any claim for reimbursement to the grantor agencies would become a liability of the Foundation. In the opinion of management, all grant expenditures are in compliance with the terms of the grant agreements and applicable federal laws and regulations.
Title: 5. Reconciliation of Schedule of Expenditures of Federal Awards to the Statement of Activities 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: Y Rate Explanation: The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025. Year ended March 31, 2025 U.S. Government $ 1,102,860 GSMA member 2,634,215 Other government and nongovernment organizations: Foreign, Commonwealth, and Development Office 16,420,816 Swedish International Development Cooperation Agency 2,178,212 Other 4,144,495 Total Revenues and Other Support $ 26,480,598
Title: 6. Termination of Grant 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: Y Rate Explanation: The Foundation has elected to use the de minimis indirect cost rate allowed under the Uniform Guidance, which increased from 10% to 15% during the year ended March 31, 2025. On January 27, 2025, an Executive Order concerning the Reevaluation and Realignment of United States Foreign Assistance Programs initiated a 90-day “pause” on new funding obligations to facilitate a review by the new administration. The Foundation received a termination notice for its grant ALN 98.001 during February 2025, effective immediately. The unused funds from this grant at the time of termination totaled approximately $21,704,306 and the unused authorized funds from this grant at the time of termination totaled approximately $9,681,141. As of March 31, 2025 and July 16, 2025, the current accounts receivable balance for this terminated grant were $327,804 and $210,139, respectively, which is in process for collection with termination settlement and final billings. Management is currently assessing the implications of this termination on the projected decrease in grants revenue, as well as the corresponding program expenses for the year ending March 31, 2026. The loss of grant ALN 98.001 is not material to the Foundation, as it represents the entirety of federal funds received.

Finding Details

During our testing of required reports, we noted that for 1 of 4 quarterly reports was submitted 6 calendar days after the required timeframe, and therefore the Foundation did not submit the report within the required timeframe.
During our testing of required reports, we noted that for 1 of 4 quarterly reports was submitted 6 calendar days after the required timeframe, and therefore the Foundation did not submit the report within the required timeframe.