FAC Explorer

Audit 370478

FY End
2023-09-30
Total Expended
$6.18M
Findings
1
Programs
6
Organization: Virgin Islands Economic Development Authority (VI)
Year: 2023 Accepted: 2025-10-06
Auditor: Bert Smith and Company

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1159996 2023-001 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $4.00M Yes 1
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.36M Yes 0
11.307 Economic Adjustment Assistance $734,883 Yes 0
21.031 State Small Business Credit Initiative Technical Assistance Grant Program $43,236 Yes 0
15.875 Economic, Social, and Political Development of the Territories $31,708 Yes 0
59.061 State Trade Expansion $3,733 Yes 0

Contacts

Name Title Type
HGT8YJ2N73B3 Kelly Thompson-Webbe Auditee
3407141700 Keisha Bridgewater Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of the Virgin Islands Economic Development Authority under programs of the federal government for the year ended September 30, 2023. 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). Because the Schedule presents only a selected portion of the operations of the Virgin Islands Economic Development Authority, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Virgin Islands Economic Development Authority.
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.
The Authority uses an approved cost allocation program for federal programs
After a presidentially declared disaster, the Federal Emergency Management Agency (FEMA) provides Disaster Grants – Public Assistance (Presidentially Declared Disasters) (CFDA 97.036) to reimburse eligible costs associated with repair, replacement, or restoration of disaster-damaged facilities. FEMA expenditures are included in the Schedule when eligible expenditures are incurred, and the project worksheets (PWs) are approved.
The Authority had the following note receivable balances outstanding at September 30, 2023: Program Title Federal CFDA Number Amount Outstanding Revolving Loan Fund 11.307 $343,321
The calculation of amount included as expenditures of federal funds for the EDA RLF grant funds is as follows: RLF 1 RLF 2 Balance of RLF principal outstanding on loans as of September 30, 2023 $104,248 $239,073 Cash and investments balance as of September 30, 2023 160,784 297,036 265,032 536,109 Federal Participation Rate 75% 100% EDA RLF Expenditures of Federal Awards $198,774 $536,109
The Authority received federal funding from the Federal Emergency Management Agency. The funding is being used for restoration of buildings destroyed during hurricanes Irma and Maria. The grants are administered by the Virgin Islands Disaster Recovery Office (VI DOR) and the Virgin Islands Territorial Emergency Management Agency (VITEMA) on behalf of the Authority and are recorded by VITEMA. Expenditures for these grants are not included in the Authority’s financial statements.

Finding Details

Finding 2023-001
Finding Number: 2023-001 Prior Year Finding Number: 2022-001 Compliance Requirement: Data Collection Form and Single Audit Reporting Package Program: Economic Adjustment Assistance CFDA #: 21.027 Award #: SLFRP 3818 Award Years: 05/01/2022 – 12/31/2023 10/01/2022 – 12/31/2026 Criteria: 2 CFR 200.512 requires that an entity’s single audit is to be submitted the earlier of thirty days after the receipt of the auditor’s report or nine months after the end of the audit period to the Federal Audit Clearinghouse (FAC). Condition: The Economic Development Authority (the Authority) audited financial statements for the September 30, 2023, year-end was not submitted to the Federal Audit Clearinghouse within the stipulated nine months after year-end. Questioned Costs: $-0- Context: This is a condition identified based on review of Uniform Guidance requirements and the grant agreements. Effect: The project is not in compliance with the reporting compliance of the Office of Management and Budget for non-profit, state and local government entities. Cause: There were transitions in financial personnel which resulted in delays in the audit process. Recommendation: We recommend that the Authority meets the reporting deadline by establishing an audit timeline to ensure that the reporting package is submitted to the FAC annually within the required timeframe. Views of Responsible Management Official and Corrective Action Plan: Management concurs with finding. See Current Year Corrective Action Plan