Audit 397425

FY End
2025-06-30
Total Expended
$817,820
Findings
1
Programs
1
Year: 2025 Accepted: 2026-04-01
Auditor: UHY LLP

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
1205715 2025-002 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $817,820 Yes 1

Contacts

Name Title Type
J9DZNAMMZG93 Daniel Casey Auditee
8109829511 Karen Shafik Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the Economic Development Alliance of St. Clair County (the “Organization”) for the year ended June 30, 2025. Expenditures reported on the Schedule are reported on the same basis of accounting as the financial statements, the accrual basis, although the basis for determining when federal awards are expended is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Organization has elected not to use the 10 percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. Because the Schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
The following schedule reconciles intergovernmental revenue activity reported in the financial statements to the expenditures of federal awards reported on the Schedule: Financial Statements - Grants $3,053,708 Less: local sources (2,235,888) Total Expenditures of Federal Awatds $817,820

Finding Details

2025-002: Written Policies Required by the Uniform Guidance Finding Type: Material weakness and noncompliance. Criteria: The Uniform Guidance requires a non-federal entity that has expended federal awards for a grant awarded on or after December 26, 2014 to have written policies pertaining to allowability of costs [§200.302(b)(7)], cash management payments[§200.302(b)(6)], and compensation charged to federal programs [§200.430-431], Conflict of Interest Policy [§200.318(c)], procurement procedures [§200.319(c)], conducting technical evaluations of proposals and selecting participants [§200.320(d)D(3)], and travel policy [§200.474(b)]. Condition: Formal written policies for the compliance areas identified above have not been prepared in accordance with the Uniform Guidance. Cause: This condition appears to be the result of a time lag in identifying the requirement and developing a plan for compliance. Effect: As a result of this condition, Economic Development Alliance of St. Clair County did not fully comply with the Uniform Guidance. Recommendation: We recommend the Economic Development Alliance of St. Clair County ensures these policies are updated to conform with the Uniform Guidance as soon as practical, but no later than the end of fiscal year 2026. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.