Audit 385435

FY End
2025-06-30
Total Expended
$3.06M
Findings
2
Programs
5
Year: 2025 Accepted: 2026-02-04

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
1172382 2025-001 Material Weakness Yes P
1172383 2025-003 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
84.425 EDUCATION STABILIZATION FUND $1.71M Yes 2
21.019 CORONAVIRUS RELIEF FUND $490,624 Yes 0
17.235 SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM $383,369 Yes 0
21.009 VOLUNTEER INCOME TAX ASSISTANCE (VITA) MATCHING GRANT PROGRAM $240,772 Yes 0
84.287 TWENTY-FIRST CENTURY COMMUNITY LEARNING CENTERS $237,223 Yes 0

Contacts

Name Title Type
MXNPU4AXN447 Reggie Smith Auditee
4237561762 Nelson Dixon III Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Federal Expenditures of Federal Awards (the schedule) includes the federal of Urban League of Greater Chattanooga for the year ended June 30, 2025. The information in this schedule is presented in accordance with the requirements of the Code of Federal Regulations, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Title 2, Section 200 (the Uniform Guidance). Because the schedule presents only selected portions of the operations of Urban League of Greater Chattanooga it is not intended to and does not present the financial position, changes in net assets, or cash flows of Urban League of Greater Chattanooga.
Expenditures reported on the schedule are reported on the modified 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 Urban League of Greater Chattanooga has not elected to use the 15% de minimis indirect cost rate permitted under the Uniform Guidance (2 CFR §200.414(f)). Instead, the Organization entered into certain agreements where an approved indirect cost rate greater than 15% was applied in accordance with the terms of those agreements.
The amounts shown as expenditure represent only the federal award portion of the program costs. Entire program costs are more than shown. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement.

Finding Details

The Urban League of Greater Chattanooga’s process for allocating indirect costs to programs where indirect costs are reimbursable needs improvement. There is no process to prevent or detect if the indirect cost pool costs support the amounts charged to federal and state programs.
The detailed expenses recorded to the general ledger were not in agreement with the expenses reported in the schedule of expenditures of federal awards. While these differences were identified during the audit process, no auditor-proposed adjustments were required.