FAC Explorer

Audit 392557

FY End
2024-06-30
Total Expended
$972,930
Findings
2
Programs
2
Organization: Neighborhood Defender Service, Inc. (NY)
Year: 2024 Accepted: 2026-03-18
Auditor: CBIZ CPAS PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1181340 2024-006 Material Weakness Yes A
1181341 2024-007 Material Weakness Yes I

Programs

ALN Program Spent Major Findings
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $739,889 Yes 2
93.558 TEMPORARY ASSISTANCE FOR NEEDY FAMILIES $42,749 Yes 0

Contacts

Name Title Type
ZJVND94D9FX3 Anthonia Ibe Auditee
2128765500 Hope Goldstein Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Neighborhood Defender Service, Inc. and Subsidiaries (the "Agency") for the year ended June 30, 2024. The information in the 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 (the “Uniform Guidance”). Because the Schedule presents only a selected portion of the operations of the Agency, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Agency.
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 limited as to reimbursement.
The Agency has elected not to use the 10% de-minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Finding 2024-006
Criteria: In accordance with 2 CFR Part 200.403 of the Uniform Guidance, charges to Federal awards must be necessary and reasonable for the performance of the Federal award and be allocable thereto under these principles. Condition: For the year ended June 30, 2024, the Agency did not maintain individual support for the allocation of allocable salaries. These were charged based on a flat rate. Furthermore, there are instances where an independent approved pay rate was not maintained by the human resources department. Cause: The allocable salaries and wages are not charged based on actual work performed. The approved pay rate was not properly documented by the human resources department. Effect: The Agency is not in compliance with 2 CFR Part 200.403 of the Uniform Guidance. Questioned Costs: None reported. Context: A random sampling of the federal expenditures. Repeat Finding: Not applicable. Recommendation: We recommend that the Agency establish a system to determine and document the time spent and amount charged to their programs. We also recommend the Agency ensure the staff’s approved salary is properly documented. View of Responsible Officials: See management’s corrective action plan.
Finding 2024-007
Criteria: The Uniform Guidance 2 CFR Part 200.318 require that the Agency have documented procurement procedures for procurement transactions under a Federal award or subaward Condition: The Agency has a procurement policy in place; however, it is not fully aligned with the procurement standards set forth in 2 CFR Part 200.317–200.327 of the Uniform Guidance. Specifically, the policy does not incorporate all required procurement methods or procedures, such as competitive bidding (sealed bids), even though no purchases during the audit period met the threshold requiring formal bidding. Cause: The Agency's current policy has not been updated to fully address the specific requirements of 2 CFR Part 200.317–200.327 of the Uniform Guidance. Effect: The Agency is not in compliance with 2 CFR Part 200.317–200.327 of the Uniform Guidance. Questioned Costs: None reported. Context: Not applicable. Repeat Finding: Not applicable. Recommendation: Although there were no purchases in the audit period meeting the threshold for competitive bidding, we recommend that the Agency review and revise its procurement policy to ensure compliance. This should include procedures for all procurement methods including sealed bids. View of Responsible Officials: See management’s corrective action plan.