FAC Explorer

Audit 366255

FY End
2024-12-31
Total Expended
$1.25M
Findings
1
Programs
2
Organization: Bedford County Conservation District (PA)
Year: 2024 Accepted: 2025-09-15
Auditor: Young Oakes Brown & Company PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1152928 2024-001 Material Weakness Yes AB

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.04M Yes 1
66.964 Chesapeake Bay Program Implementation, Regulatory/accountability and Monitoring Grants $212,911 Yes 0

Contacts

Name Title Type
KG3XTGD195E9 Jennifer Kovacs Auditee
8146238099 Daniel Bradley Auditor
No contacts on file

Notes to SEFA

An extensive compliance test, as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), was performed on the Coronavirus State and Local Fiscal Recovery Funds program, which represents 83% of the total expenditures reflected on the Schedule of Federal Financial Assistance. The 40% of coverage for a non-low risk auditee was satisfied as follows: Coronavirus State and Local Fiscal Recovery Funds 21.027 $1,037,708; Chesapeake Bay Program Implementation 66.964 $212,911 totals $1,250,619 times 40% equals $500,248 the minimum amount which must be tested. The Coronavirus State and Local Recovery Funds program exceeds $500,248, and, therefore, represents the only program to which the specific compliance requirements must be applied.

Finding Details

Finding 2024-001
Condition Audit adjustments that were material to the financial statements were required in order for the financial statements to be fairly presented in accordance with accounting principles generally accepted in the United States of America. Criteria An indicator of a material weakness is when the auditor identifies a material misstatement in the financial statements that was not detected by the entity's internal control. Cause The complex and infrequent nature of certain investment transactions resulted in the failure to properly record all 2024 investment activity, including additional investment in annuities, as well as the changing value of annuity contracts. Misstatements also occurred due to unrecorded interfund activity between the General Fund and the Dirt, Gravel, and Low Volume Road Fund; unrecorded liability for unearned grant revenue; and improper recording of cash transactions in advance of disbursement. Effect The effect of the misstatements, had they not been corrected through audit adjustments, would have been a material misstatement of the financial statements. Recommendation We recommend that management adjust the general ledger for the proposed audit adjustments effective December 31, 2024. We also recommend that management actively monitor investments throughout the year, including requesting monthly or quarterly statements on life insurance contracts to ensure timely and accurate recording of investment transactions and balances. As complex or infrequent transactions arise, accounting personnel should seek guidance on proper accounting treatment. Management's Response Management will address the proposed audit adjustments effective December 31 , 2024. Accounting personnel will obtain guidance from the auditor on the proper reporting of infrequent and unusual transactions as they arise. Further, management will request statements on life insurance contracts in order to properly monitor and record activity and investment balances.