FAC Explorer

Audit 44233

FY End
2022-08-31
Total Expended
$4.16M
Findings
2
Programs
1
Organization: Fulton Theatre Company (PA)
Year: 2022 Accepted: 2023-03-29
Auditor: Rkl LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
44819 2022-001 Material Weakness - A
621261 2022-001 Material Weakness - A

Programs

ALN Program Spent Major Findings
59.075 Shuttered Venue Operators Grant Program $4.16M Yes 1

Contacts

Name Title Type
QM8TH6M7JX85 Jane Cornett Auditee
7173947133 Jill Gilbert Auditor
No contacts on file

Notes to SEFA

Accounting Policies: 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, where certain types of expenditures are not allowed or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
Financial Statement Findings Finding 2022-001 Oversight of the Financial Reporting Process Criteria Management is responsible for establishing and maintaining internal controls and for the fair presentation of the financial statements and footnote disclosures in the financial statements, in accordance with U.S. GAAP. Condition The Theatre does not currently have a system of internal controls that would enable management to conclude that the financial statements and related footnote disclosures are complete and presented in accordance with U.S. GAAP. Effect There is the potential that management may report materially misstated financial statements due to this internal control not being in place. Cause Management is able to review the statements for accuracy in relation to its internal records and can update the note disclosures based on a prior year template. The outsourcing of the financial statement presentation services is a result of management's cost benefit decision to rely on accounting expertise outside the Theatre rather than incurring this internal resource cost. Recommendation Management should continue to evaluate the cost benefit of implementing an internal control process to determine the proper presentation and completeness of the financial statements and related note disclosures in accordance with U.S. GAAP, compared to continuing to outsource the financial statement presentation process.
Finding 2022-001
Financial Statement Findings Finding 2022-001 Oversight of the Financial Reporting Process Criteria Management is responsible for establishing and maintaining internal controls and for the fair presentation of the financial statements and footnote disclosures in the financial statements, in accordance with U.S. GAAP. Condition The Theatre does not currently have a system of internal controls that would enable management to conclude that the financial statements and related footnote disclosures are complete and presented in accordance with U.S. GAAP. Effect There is the potential that management may report materially misstated financial statements due to this internal control not being in place. Cause Management is able to review the statements for accuracy in relation to its internal records and can update the note disclosures based on a prior year template. The outsourcing of the financial statement presentation services is a result of management's cost benefit decision to rely on accounting expertise outside the Theatre rather than incurring this internal resource cost. Recommendation Management should continue to evaluate the cost benefit of implementing an internal control process to determine the proper presentation and completeness of the financial statements and related note disclosures in accordance with U.S. GAAP, compared to continuing to outsource the financial statement presentation process.