FAC Explorer

Audit 400655

FY End
2025-09-30
Total Expended
$1.36M
Findings
3
Programs
8
Organization: Capital Resource Conservation and Development Area Council, INC (PA)
Year: 2025 Accepted: 2026-05-05
Auditor: SMITH ELLIOTT KEARNS & COMPANY LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1213736 2025-002 Material Weakness Yes P
1213737 2025-002 Material Weakness Yes P
1213738 2025-002 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
10.912 ENVIRONMENTAL QUALITY INCENTIVES PROGRAM $239,157 Yes 0
10.924 CONSERVATION STEWARDSHIP PROGRAM $227,586 Yes 0
10.902 SOIL AND WATER CONSERVATION $194,681 Yes 0
10.069 CONSERVATION RESERVE PROGRAM $169,341 Yes 0
10.931 AGRICULTURAL CONSERVATION EASEMENT PROGRAM $169,341 Yes 0
66.964 GEOGRAPHIC PROGRAMS - CHESAPEAKE BAY PROGRAM IMPLEMENTATION, REGULATORY/ACCOUNTABILITY AND MONITORING GRANTS $115,721 Yes 0
10.932 REGIONAL CONSERVATION PARTNERSHIP PROGRAM $57,466 Yes 0
66.466 GEOGRAPHIC PROGRAMS - CHESAPEAKE BAY PROGRAM $42,837 Yes 1

Contacts

Name Title Type
MZT2L9TX8NJ5 Ann Basehore Auditee
7172414361 Gregory P. Hall Auditor
No contacts on file

Notes to SEFA

The schedule of expenditures of federal awards includes the federal grant activity of Capital Resource Conservation and Development Area Council, Inc. and is presented on the accrual basis of accounting. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Organization has elected to use the de minimis indirect cost rate in accordance with 2 CFR §200.414(f). For federal awards that limit indirect costs, the Organization charges indirect costs in accordance with the award’s terms and conditions. Accordingly, indirect costs charged to the federal awards presented on the SEFA are limited to the applicable award caps (generally 10% of modified total direct costs).

Finding Details

Finding 2025-002
Criteria: Internal control processes should include procedures to ensure that expenses incurred within the fiscal year are recorded and recognized in that period.Condition/Context: During our review of expenses, two invoices totaling $ 21,728 had a period of performance in fiscal year 2024 but were recorded in fiscal year 2025. This resulted in a prior period adjustment to the previously reported amounts for 2024. This impacted the schedule of expenditures of federal awards for fiscal year 2024 by understating expenses during the period. This resulted in revenue being understated for 2024 as revenue would have been recognized for a receivable since the revenue was earned. The Federal program impacted was assistance listing number 66.466 – Action For Clean Water grant. This was not a major program for 2024 and the exclusion of these items did not result in insufficient testing of federal awards.Cause: This was caused by expenses not being recorded in the period of performance.Effect: The above issue resulted in an understatement of revenues and expenses and assets and liabilities by $ 21,728. This impacted the Schedule of Expenditures of Federal Awards by understating federal expenses for one program. This resulted in the restatement of the prior year financial statements and reissuance of the prior year Data Collection Form.Questioned Costs: NoneRecommendation: For service agreements or contracts signed, there should be a follow-up process near year-end with those vendors to obtain an estimate of the costs incurred to date if they have not invoiced at year end. If this is not feasible, the Organization should make a good faith effort to estimate the unbilled costs at year-end using vendor information such as project schedules, quotes, and interim billings.Views of Responsible Officials and Planned Corrective Actions: Management will include as part of the approval of invoices, a process of follow-up with vendors near the end of the fiscal year to make sure all outstanding invoices or an estimate of costs incurred to date are received. If this is not feasible, management will estimate the unbilled costs at year end using vendor information