FAC Explorer

Audit 50609

FY End
2022-06-30
Total Expended
$2.51M
Findings
2
Programs
4
Organization: Valdese Economic Development Investment Corporation (NC)
Year: 2022 Accepted: 2023-03-29
Auditor: Boggs Crump & Brown PA

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
45572 2022-002 - Yes P
622014 2022-002 - Yes P

Programs

ALN Program Spent Major Findings
10.767 Intermediary Relending Program $200,000 Yes 0
10.769 Rural Business Enterprise Grants $131,138 - 0
23.002 Appalachian Area Development $100,000 - 0
10.870 Rural Microentrepreneur Assistance Program $29,640 - 0

Contacts

Name Title Type
MSWTLAXK1PE5 Kerri Poteat Auditee
8288746731 Daniel Boggs Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances 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. COST PRINCIPLES FOR NON-PROFIT ORGANIZATIONS WHEREIN CERTAIN TYPES OF EXPENDITURES ARE NOT ALLOWABLE OR ARE LIMITED AS TO REIMBURSEMENT. De Minimis Rate Used: N Rate Explanation: VALDESE ECONOMIC DEVELOPMENT INVESTMENT CORPORATION HAS ELECTED NOT TO USE THE 10 PERCENT DE MINIMIS INDIRECT COST RATE AS ALLOWED UNDER THE UNIFORM GUIDANCE. INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 128856. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM (10.870) - Balances outstanding at the end of the audit period were 303107. RURAL MICROENTREPRENEUR ASSISTANCE PROGRAM (10.870) - Balances outstanding at the end of the audit period were 29640. INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 337969. RURAL BUSINESS ENTERPRISE GRANTS (10.769) - Balances outstanding at the end of the audit period were 131138. INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 371566. INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 329894. INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 582100. INTERMEDIARY RELENDING PROGRAM (10.767) - Balances outstanding at the end of the audit period were 200000. APPALACHIAN AREA DEVELOPMENT (23.002) - Balances outstanding at the end of the audit period were 100000.

Finding Details

Finding 2022-002
2022-002 Criteria: The United States Department of Agriculture reporting requirements of the Intermediary Relending Program requires that the audit report be completed within 90 days after year end. Condition: The audit report was not completed within 90 days after year end. Effect: Noncompliance with the reporting requirements. Cause: The audit firm did not complete the audit within 90 days. Generally, federal submission audit requirements for federal funds are within nine months of year end. Recommendation: The audit engagement letter will stipulate the 90 day requirement for audit submission. Views of responsible officials and planned corrective actions: The Board of Directors agree with this finding.
Finding 2022-002
2022-002 Criteria: The United States Department of Agriculture reporting requirements of the Intermediary Relending Program requires that the audit report be completed within 90 days after year end. Condition: The audit report was not completed within 90 days after year end. Effect: Noncompliance with the reporting requirements. Cause: The audit firm did not complete the audit within 90 days. Generally, federal submission audit requirements for federal funds are within nine months of year end. Recommendation: The audit engagement letter will stipulate the 90 day requirement for audit submission. Views of responsible officials and planned corrective actions: The Board of Directors agree with this finding.