FAC Explorer

Audit 366215

FY End
2023-12-31
Total Expended
$1.01M
Findings
4
Programs
3
Organization: Back of the Yards Neighborhood Council (IL)
Year: 2023 Accepted: 2025-09-12
Auditor: Cary J Hall & Associates LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
576374 2023-002 - - M
576375 2023-002 - - M
1152816 2023-002 - - M
1152817 2023-002 - - M

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds – Corridor Ambassadors Program $232,143 - 0
14.218 Community Development Block Grants (cdbg) – Sarfs Home Repair for Seniors $223,045 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds – Summer Youth Employment Program (syep) $60,535 Yes 1

Contacts

Name Title Type
L2LJF3KNLSJ1 Edwin Garcia Auditee
8722817832 Cary James Hall Auditor
No contacts on file

Notes to SEFA

Title: Significant Accounting Policies Accounting Policies: The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs and reconcile to the audited financial statements for the year ended December 31, 2023. De Minimis Rate Used: Y Rate Explanation: BYNC elected to use the 10% de minimis indirect cost rate under 2 CFR 200.414(f). The rate was applied to allowable modified total direct costs (MTDC) as defined by Uniform Guidance, excluding items such as equipment, capital expenditures, participant support costs, and the portion of subawards in excess of $25,000. The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs.
Title: Indirect Cost Rate Accounting Policies: The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs and reconcile to the audited financial statements for the year ended December 31, 2023. De Minimis Rate Used: Y Rate Explanation: BYNC elected to use the 10% de minimis indirect cost rate under 2 CFR 200.414(f). The rate was applied to allowable modified total direct costs (MTDC) as defined by Uniform Guidance, excluding items such as equipment, capital expenditures, participant support costs, and the portion of subawards in excess of $25,000. The Council has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: Relationship to Financial Statements Accounting Policies: The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs and reconcile to the audited financial statements for the year ended December 31, 2023. De Minimis Rate Used: Y Rate Explanation: BYNC elected to use the 10% de minimis indirect cost rate under 2 CFR 200.414(f). The rate was applied to allowable modified total direct costs (MTDC) as defined by Uniform Guidance, excluding items such as equipment, capital expenditures, participant support costs, and the portion of subawards in excess of $25,000. Expenditures reported on the SEFA agree to the federal expenditures reported in the audited financial statements for the year ended December 31, 2023.
Title: Pass-through Entities and Subrecipients Accounting Policies: The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs and reconcile to the audited financial statements for the year ended December 31, 2023. De Minimis Rate Used: Y Rate Explanation: BYNC elected to use the 10% de minimis indirect cost rate under 2 CFR 200.414(f). The rate was applied to allowable modified total direct costs (MTDC) as defined by Uniform Guidance, excluding items such as equipment, capital expenditures, participant support costs, and the portion of subawards in excess of $25,000. All federal awards were received as pass-through awards from the City of Chicago. No amounts were passed through to subrecipients during the year ended December 31, 2023.
Title: Major Program Identification Accounting Policies: The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs and reconcile to the audited financial statements for the year ended December 31, 2023. De Minimis Rate Used: Y Rate Explanation: BYNC elected to use the 10% de minimis indirect cost rate under 2 CFR 200.414(f). The rate was applied to allowable modified total direct costs (MTDC) as defined by Uniform Guidance, excluding items such as equipment, capital expenditures, participant support costs, and the portion of subawards in excess of $25,000. The major program tested was ALN 21.027 – U.S. Department of the Treasury, Coronavirus State and Local Fiscal Recovery Funds – Summer Youth Employment Program (SYEP).
Title: Other Matters Accounting Policies: The SEFA is prepared on the accrual basis of accounting in accordance with 2 CFR Part 200 (Uniform Guidance). Expenditures are recognized when the activity related to the federal award occurs and reconcile to the audited financial statements for the year ended December 31, 2023. De Minimis Rate Used: Y Rate Explanation: BYNC elected to use the 10% de minimis indirect cost rate under 2 CFR 200.414(f). The rate was applied to allowable modified total direct costs (MTDC) as defined by Uniform Guidance, excluding items such as equipment, capital expenditures, participant support costs, and the portion of subawards in excess of $25,000. The Council did not receive non-cash assistance, insurance, loans, or loan guarantees during the year ended December 31, 2023. The Council did not qualify as a low-risk auditee.

Finding Details

Finding 2023-002
Criteria: 2 CFR 200.328 (financial and performance reporting) and the terms and conditions of the U.S. Department of the Treasury SLFRF award (ALN 21.027) as administered by the City of Chicago Department of Family & Support Services (DFSS). Required program reports must be complete, accurate, and submitted by the specified due dates. Condition: During the audit period ended December 31, 2023, certain required SYEP program reports were submitted after their due dates. One report required resubmission due to errors identified during review. Cause: A centralized compliance calendar and documented pre‑submission review process were not in place; responsibilities and deadlines were not consistently tracked across program and finance staff. Effect: Noncompliance with reporting requirements increased the risk of delayed reimbursements and impaired management and grantor oversight. Questioned Costs: None were identified. Context: Reporting deviations occurred during 2023 for ALN 21.027 (SYEP). Other reports reviewed were timely and supported by the underlying records. Recommendation: Establish and maintain a Uniform Guidance compliance calendar; implement a pre‑submission peer review checklist that ties reports to the general ledger/SEFA; standardize reporting templates; and provide training to staff on 2 CFR 200 and DFSS contract reporting requirements. Views of Responsible Officials: Management concurs with the finding and has implemented the corrective actions described in the Corrective Action Plan for Finding 2023‑002, including a reporting calendar, pre‑submission reviews, standardized templates, automated reminders, and staff training.
Finding 2023-002
Criteria: 2 CFR 200.328 (financial and performance reporting) and the terms and conditions of the U.S. Department of the Treasury SLFRF award (ALN 21.027) as administered by the City of Chicago Department of Family & Support Services (DFSS). Required program reports must be complete, accurate, and submitted by the specified due dates. Condition: During the audit period ended December 31, 2023, certain required SYEP program reports were submitted after their due dates. One report required resubmission due to errors identified during review. Cause: A centralized compliance calendar and documented pre‑submission review process were not in place; responsibilities and deadlines were not consistently tracked across program and finance staff. Effect: Noncompliance with reporting requirements increased the risk of delayed reimbursements and impaired management and grantor oversight. Questioned Costs: None were identified. Context: Reporting deviations occurred during 2023 for ALN 21.027 (SYEP). Other reports reviewed were timely and supported by the underlying records. Recommendation: Establish and maintain a Uniform Guidance compliance calendar; implement a pre‑submission peer review checklist that ties reports to the general ledger/SEFA; standardize reporting templates; and provide training to staff on 2 CFR 200 and DFSS contract reporting requirements. Views of Responsible Officials: Management concurs with the finding and has implemented the corrective actions described in the Corrective Action Plan for Finding 2023‑002, including a reporting calendar, pre‑submission reviews, standardized templates, automated reminders, and staff training.
Finding 2023-002
Criteria: 2 CFR 200.328 (financial and performance reporting) and the terms and conditions of the U.S. Department of the Treasury SLFRF award (ALN 21.027) as administered by the City of Chicago Department of Family & Support Services (DFSS). Required program reports must be complete, accurate, and submitted by the specified due dates. Condition: During the audit period ended December 31, 2023, certain required SYEP program reports were submitted after their due dates. One report required resubmission due to errors identified during review. Cause: A centralized compliance calendar and documented pre‑submission review process were not in place; responsibilities and deadlines were not consistently tracked across program and finance staff. Effect: Noncompliance with reporting requirements increased the risk of delayed reimbursements and impaired management and grantor oversight. Questioned Costs: None were identified. Context: Reporting deviations occurred during 2023 for ALN 21.027 (SYEP). Other reports reviewed were timely and supported by the underlying records. Recommendation: Establish and maintain a Uniform Guidance compliance calendar; implement a pre‑submission peer review checklist that ties reports to the general ledger/SEFA; standardize reporting templates; and provide training to staff on 2 CFR 200 and DFSS contract reporting requirements. Views of Responsible Officials: Management concurs with the finding and has implemented the corrective actions described in the Corrective Action Plan for Finding 2023‑002, including a reporting calendar, pre‑submission reviews, standardized templates, automated reminders, and staff training.
Finding 2023-002
Criteria: 2 CFR 200.328 (financial and performance reporting) and the terms and conditions of the U.S. Department of the Treasury SLFRF award (ALN 21.027) as administered by the City of Chicago Department of Family & Support Services (DFSS). Required program reports must be complete, accurate, and submitted by the specified due dates. Condition: During the audit period ended December 31, 2023, certain required SYEP program reports were submitted after their due dates. One report required resubmission due to errors identified during review. Cause: A centralized compliance calendar and documented pre‑submission review process were not in place; responsibilities and deadlines were not consistently tracked across program and finance staff. Effect: Noncompliance with reporting requirements increased the risk of delayed reimbursements and impaired management and grantor oversight. Questioned Costs: None were identified. Context: Reporting deviations occurred during 2023 for ALN 21.027 (SYEP). Other reports reviewed were timely and supported by the underlying records. Recommendation: Establish and maintain a Uniform Guidance compliance calendar; implement a pre‑submission peer review checklist that ties reports to the general ledger/SEFA; standardize reporting templates; and provide training to staff on 2 CFR 200 and DFSS contract reporting requirements. Views of Responsible Officials: Management concurs with the finding and has implemented the corrective actions described in the Corrective Action Plan for Finding 2023‑002, including a reporting calendar, pre‑submission reviews, standardized templates, automated reminders, and staff training.