FAC Explorer

Audit 45113

FY End
2022-06-30
Total Expended
$1.02M
Findings
2
Programs
4
Organization: Hacienda, Inc. (AZ)
Year: 2022 Accepted: 2023-04-04
Auditor: Forvis LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
43247 2022-002 Significant Deficiency - A
619689 2022-002 Significant Deficiency - A

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $804,593 Yes 1
21.027 Coronavirus State and Local Fiscal Recovery Funds $148,660 - 0
20.513 Enhanced Mobility of Seniors and Individuals with Disabilities $61,489 - 0
14.218 Community Development Block Grants/entitlement Grants $3,704 - 0

Contacts

Name Title Type
DZUMRDJLBH25 Laura Worthy Auditee
6022434231 Christopher Jones Auditor
No contacts on file

Notes to SEFA

Title: Note 1: Basis of Presentation 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 or other regulatory requirements, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, 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. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Hacienda, Inc. (Organization) under programs of the federal government for the year ended June 30, 2022. 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 Organization, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Organization.
Title: Note 4: Federal Loan Programs 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 or other regulatory requirements, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, 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. The Organization did not have any federal loan programs during the year ended June 30, 2022.
Title: Note 5: Personal Protective Equipment 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 or other regulatory requirements, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, 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. For the year ended June 30, 2022, the Organization received no donated PPE in response to the COVID-19 pandemic.

Finding Details

Finding 2022-002
COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Compliance Requirement: Activities Allowed or Unallowed Criteria: ? Law (Pub. L. No 116-136, 134 Stat. 563 and Pub. L. No 116-139, 134 Stat. 622 and 623); Allowable Costs/Cost Principles/Reporting ? Charges to PRF must be necessary, reasonable, accorded consistent treatment, and conform to the limitations and exclusions of the terms and conditions of the award; and Reporting ? Provider Relief Fund Portal Condition: The Organization is required to prepare and submit the period two provider relief fund report to the U.S. Department of Health and Human Services. This report is to be prepared using accurate financial information and submitted by the deadline established. The Organization incorrectly counted salaries of certain employees twice on the period two report provider relief fund report. Context: The period two provider relief fund report was tested. During the testing procedures, it was discovered that the salaries of certain employees were included twice in the report. However, it was noted that the Organization had sufficient expenditures that covered the portion expenditures that were unallowed. Questioned Costs: $29,135 Effect: Errors were made in reporting expenditures in the period two provider relief fund report to the U.S. Department of Health and Human Services. Cause: The Organization?s internal controls around compliance were not effective in discovering errors in the expenditures reported. Identification as a Repeat Finding: Not a repeat finding. Recommendation: We recommend that management review all expenditures for accuracy and allowability under the criterial provided by the Department of Health and Human Services.
Finding 2022-002
COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Compliance Requirement: Activities Allowed or Unallowed Criteria: ? Law (Pub. L. No 116-136, 134 Stat. 563 and Pub. L. No 116-139, 134 Stat. 622 and 623); Allowable Costs/Cost Principles/Reporting ? Charges to PRF must be necessary, reasonable, accorded consistent treatment, and conform to the limitations and exclusions of the terms and conditions of the award; and Reporting ? Provider Relief Fund Portal Condition: The Organization is required to prepare and submit the period two provider relief fund report to the U.S. Department of Health and Human Services. This report is to be prepared using accurate financial information and submitted by the deadline established. The Organization incorrectly counted salaries of certain employees twice on the period two report provider relief fund report. Context: The period two provider relief fund report was tested. During the testing procedures, it was discovered that the salaries of certain employees were included twice in the report. However, it was noted that the Organization had sufficient expenditures that covered the portion expenditures that were unallowed. Questioned Costs: $29,135 Effect: Errors were made in reporting expenditures in the period two provider relief fund report to the U.S. Department of Health and Human Services. Cause: The Organization?s internal controls around compliance were not effective in discovering errors in the expenditures reported. Identification as a Repeat Finding: Not a repeat finding. Recommendation: We recommend that management review all expenditures for accuracy and allowability under the criterial provided by the Department of Health and Human Services.