Audit 365982

FY End

2024-12-31

Total Expended

$868,243

Findings

4

Programs

2

Organization: Hope Chapel, INC (KS)

Year: 2024 Accepted: 2025-09-10

Auditor: Adams Brown LLC

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
576083	2024-003	Significant Deficiency	-	ABI
576084	2024-003	Significant Deficiency	-	ABI
1152525	2024-003	Significant Deficiency	-	ABI
1152526	2024-003	Significant Deficiency	-	ABI

ALN	Program	Spent	Major	Findings
21.027	Coronavirus State and Local Fiscal Recovery Funds	$500,050	Yes	1
93.575	Child Care and Development Block Grant	$368,193	-	1

Contacts

Name	Title	Type
KY3EGB1CS885	Ben Stears	Auditee
9138290712	Steven Peiffer	Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the schedule are presented in accordance with generally accepted accounting principles. Such expenditures are recognized following the cost principles contained in the Uniform Guidance cost principles, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The auditee did not use a de minimis cost rate. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Hope Chapel, Inc. under programs of the federal government for the year ended December 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), Audits of States, Local Governments, and Non-Profit Organizations. Because the schedule presents only a selected portion of the operations of the Church, it is not intended to and does not present the net position, changes in net position, or cash flows of the Church.

Title: Other Expenditures Accounting Policies: Expenditures reported on the schedule are presented in accordance with generally accepted accounting principles. Such expenditures are recognized following the cost principles contained in the Uniform Guidance cost principles, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available. De Minimis Rate Used: N Rate Explanation: The auditee did not use a de minimis cost rate. The Church did not receive any federal awards in the form of noncash assistance, insurance, loans, or loan guarantees and incurred no expenditures in relation thereof for the year ended December 31, 2024.

Finding Details

Finding 2024-003

2024-003 Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Procurement and Suspension and Debarment Criteria or specific requirement Entities are required to have written policies, procedures, and standards of conduct per 2 CFR 200, Subparts D and E. Condition During inquiry of Church management, it was determined that the Church did not have the required written policies. Context Although the Church operates based on procedures and controls that were sufficient to prevent any known noncompliance, those procedures and controls should be turned into a formal policy. Cause The Church has not received large amounts of federal funding in the past, and, as a result, it was not aware of the requirement. Effect The Church did not have the required written policies in place. Recommendation We recommend that the Church’s written policies be updated to properly reflect all requirements. Views of responsible officials See corrective action plan.

Finding 2024-003

2024-003 Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Procurement and Suspension and Debarment Criteria or specific requirement Entities are required to have written policies, procedures, and standards of conduct per 2 CFR 200, Subparts D and E. Condition During inquiry of Church management, it was determined that the Church did not have the required written policies. Context Although the Church operates based on procedures and controls that were sufficient to prevent any known noncompliance, those procedures and controls should be turned into a formal policy. Cause The Church has not received large amounts of federal funding in the past, and, as a result, it was not aware of the requirement. Effect The Church did not have the required written policies in place. Recommendation We recommend that the Church’s written policies be updated to properly reflect all requirements. Views of responsible officials See corrective action plan.

Finding 2024-003

2024-003 Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Procurement and Suspension and Debarment Criteria or specific requirement Entities are required to have written policies, procedures, and standards of conduct per 2 CFR 200, Subparts D and E. Condition During inquiry of Church management, it was determined that the Church did not have the required written policies. Context Although the Church operates based on procedures and controls that were sufficient to prevent any known noncompliance, those procedures and controls should be turned into a formal policy. Cause The Church has not received large amounts of federal funding in the past, and, as a result, it was not aware of the requirement. Effect The Church did not have the required written policies in place. Recommendation We recommend that the Church’s written policies be updated to properly reflect all requirements. Views of responsible officials See corrective action plan.

Finding 2024-003

2024-003 Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Procurement and Suspension and Debarment Criteria or specific requirement Entities are required to have written policies, procedures, and standards of conduct per 2 CFR 200, Subparts D and E. Condition During inquiry of Church management, it was determined that the Church did not have the required written policies. Context Although the Church operates based on procedures and controls that were sufficient to prevent any known noncompliance, those procedures and controls should be turned into a formal policy. Cause The Church has not received large amounts of federal funding in the past, and, as a result, it was not aware of the requirement. Effect The Church did not have the required written policies in place. Recommendation We recommend that the Church’s written policies be updated to properly reflect all requirements. Views of responsible officials See corrective action plan.