FAC Explorer

Audit 397839

FY End
2025-08-31
Total Expended
$1.31M
Findings
2
Programs
1
Organization: Wisconsin School of Professional Psychology, Inc. (WI)
Year: 2025 Accepted: 2026-04-07
Auditor: LUCIDA LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1206025 2025-001 Material Weakness Yes P
1206026 2025-002 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
84.268 FEDERAL DIRECT STUDENT LOANS $1.31M Yes 2

Contacts

Name Title Type
FSS40979JKW7 Brian Smothers Auditee
4144649777 Brian Eineke Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Wisconsin School of Professional Psychology, Inc. (the School) under programs of the federal government for the year ended August 31, 2025. 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 School, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the School.
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 School’s federal oversight agency for audit is the U.S. Department of Education.
There were no awards passed through to subrecipients.
The School has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.

Finding Details

Finding 2025-001
PREPARATION OF ANNUAL FINANCIAL STATEMENTS Condition: The audited financial statements and the accompanying footnote disclosures were prepared by the auditors. Criteria: It is the responsibility of management to prepare the financials and related disclosures to be audited. This criteria is derived from the audit engagement letter and demonstrates the general proficiency over financial reporting. . Cause: Employees at Wisconsin School of Professional Psychology, Inc. do not have experience preparing financial statements and disclosures in accordance with generally accepted accounting principles in the United States. Effect: Without staff knowledgeable about the preparation of financial statements in accordance with generally acceptable accounting principles, there may be material misstatements in the financials or disclosures that would not be prevented or detected in a timely manner. Recommendation: It is not cost effective for the auditee to employ additional personnel solely for financial reporting purposes. Therefore, the School should continue to utilize the financial expertise of their contracted bookkeeping service performed by CPAs. Management Response: The School will continue to use a CPA bookkeeping service.
Finding 2025-002
PREPARATION OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS Condition: The audited schedule of expenditures of federal awards was prepared by the auditors. Criteria: It is the responsibility of management to prepare the schedule of expenditures of federal awards to be audited. This criteria is derived from the audit engagement letter and demonstrates the general proficiency over supplemental information – schedule of expenditures of federal awards. Cause: Employees at Wisconsin School of Professional Psychology, Inc. do not have experience preparing the schedule of expenditures of federal awards with Governmental Audit Quality Center Uniform Single Audit Guidance in the United States. Effect: Without staff knowledgeable about the preparation of financial statements in accordance with Governmental Audit Quality Center Uniform Single Audit Guidance, there may be material misstatements schedule of expenditures of federal awards that would not be prevented or detected in a timely manner. Recommendation: It is not cost effective for the auditee to employ additional personnel solely for financial reporting purposes. Therefore, the School should continue to utilize the expertise of their auditors to assist with preparation of the Schedule of Expenditures of Federal Awards. Management Response: The School will continue to use our auditors for these additional services.