Finding 2022-002: Internal Controls (Material Weakness) Criteria A-102 Common Rule, OMB Circular A-110 and 2 CFR section 200.303 require that non-Federal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. 2 CFR section 200.514 requires auditors to obtain an understanding of the non-Federal entity's internal control over Federal programs sufficient to plan the audit to support a low assessed level of control risk of noncompliance for major programs, and, unless internal control is likely to be ineffective, plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program and perform testing of internal control as planned. Condition As noted in finding 2022-001, we noted a lack of evidence to support the operation of internal controls for the fiscal year. Cause The Organization has experienced growth over the past couple of years, however has not evaluated and updated internal controls. Effect The Organization lacked internal controls to support a low assessed level of control risk for the assertions relevant to compliance requirements for the major program tested. Recommendation We recommend that the Organization institute a program to methodically identify and document its significant operational and accounting processes as they relate to Federal grants and compliance. Documenting a process involves identifying and gaining an understanding of the required compliance requirements, the automated or manual procedures used in performing the required process, the person(s) or position(s) responsible for performing the procedures, the source documents used or generated, the procedures for approval and review and correction of any errors detected, and the financial or operational entries or reports summarizing the result of the process. Views of Responsible Officials The Organization agrees with the auditor's findings. We have already begun to make adjustments to record all grants ahead of time in Quickbooks and deduct funding as we spend from these areas to directly show grant balances and that the restricted funding is spent in compliance with the funding received. We will also provide these findings to a certified public accountant to make sure they are adhered to correctly and meet the requirements of both state and federal funding.
Finding 2022-003: Federal Grants Procedures Manual (Uniform Guidance Compliance) Criteria On May 17, 2017, the Office of Management and Budget (OMB) issued an addendum to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) allowing nonfederal entities an additional year to implement the Uniform Guidance procurement requirements and the entity must document the decision to utilize the extension. Condition The Organization has not implemented the Uniform Guidance procurement requirements. Cause Organization management was not aware of the Uniform Guidance requirements and implementation dates. Effect The Organization's procurement policies and procedures are not in compliance with the Uniform Guidance. Recommendation We recommend the Organization review the Uniform Guidance procurement requirements and implement the requirements. Views of Responsible Officials The Organization agrees with the Auditor's findings. We will implement the Uniform Guidance procurement requirements as issued by the Office of Management and Budget (OMB). We will also have the process reviewed by a qualified public accountant to make sure it complies with the regulations set forth.
Finding 2022-004: Financial Reporting Timeliness (Uniform Guidance Compliance) Criteria In accordance with 2 CFR section 200.512 of the Uniform Guidance, the audit must be completed and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Condition The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of March 31, 2023. Cause This is the first year the Organization has been subject to the Uniform Guidance reporting requirements. Effect The filing of the Single Audit Reporting package and data collection form is past the due date. Recommendation We recommend the Organization strive to close the year with properly prepared reconciliations within 3 - 4 months after year-end in order to complete the annual financial audit timely. Views of Responsible Officials The Organization agrees with the auditor's findings. We will coordinate in advance of the audit to make sure we have had our processes reviewed and confirmed to be in compliance with the Uniform Guidance, as well as, have ledgers, bank reconciliations, invoices and receipts properly organized. We will engage the auditor early as well to make sure we are on a path to submit documentation to the Federal Audit Clearinghouse before March 31, 2024.
Finding 2022-002: Internal Controls (Material Weakness) Criteria A-102 Common Rule, OMB Circular A-110 and 2 CFR section 200.303 require that non-Federal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. 2 CFR section 200.514 requires auditors to obtain an understanding of the non-Federal entity's internal control over Federal programs sufficient to plan the audit to support a low assessed level of control risk of noncompliance for major programs, and, unless internal control is likely to be ineffective, plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program and perform testing of internal control as planned. Condition As noted in finding 2022-001, we noted a lack of evidence to support the operation of internal controls for the fiscal year. Cause The Organization has experienced growth over the past couple of years, however has not evaluated and updated internal controls. Effect The Organization lacked internal controls to support a low assessed level of control risk for the assertions relevant to compliance requirements for the major program tested. Recommendation We recommend that the Organization institute a program to methodically identify and document its significant operational and accounting processes as they relate to Federal grants and compliance. Documenting a process involves identifying and gaining an understanding of the required compliance requirements, the automated or manual procedures used in performing the required process, the person(s) or position(s) responsible for performing the procedures, the source documents used or generated, the procedures for approval and review and correction of any errors detected, and the financial or operational entries or reports summarizing the result of the process. Views of Responsible Officials The Organization agrees with the auditor's findings. We have already begun to make adjustments to record all grants ahead of time in Quickbooks and deduct funding as we spend from these areas to directly show grant balances and that the restricted funding is spent in compliance with the funding received. We will also provide these findings to a certified public accountant to make sure they are adhered to correctly and meet the requirements of both state and federal funding.
Finding 2022-003: Federal Grants Procedures Manual (Uniform Guidance Compliance) Criteria On May 17, 2017, the Office of Management and Budget (OMB) issued an addendum to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) allowing nonfederal entities an additional year to implement the Uniform Guidance procurement requirements and the entity must document the decision to utilize the extension. Condition The Organization has not implemented the Uniform Guidance procurement requirements. Cause Organization management was not aware of the Uniform Guidance requirements and implementation dates. Effect The Organization's procurement policies and procedures are not in compliance with the Uniform Guidance. Recommendation We recommend the Organization review the Uniform Guidance procurement requirements and implement the requirements. Views of Responsible Officials The Organization agrees with the Auditor's findings. We will implement the Uniform Guidance procurement requirements as issued by the Office of Management and Budget (OMB). We will also have the process reviewed by a qualified public accountant to make sure it complies with the regulations set forth.
Finding 2022-004: Financial Reporting Timeliness (Uniform Guidance Compliance) Criteria In accordance with 2 CFR section 200.512 of the Uniform Guidance, the audit must be completed and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Condition The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of March 31, 2023. Cause This is the first year the Organization has been subject to the Uniform Guidance reporting requirements. Effect The filing of the Single Audit Reporting package and data collection form is past the due date. Recommendation We recommend the Organization strive to close the year with properly prepared reconciliations within 3 - 4 months after year-end in order to complete the annual financial audit timely. Views of Responsible Officials The Organization agrees with the auditor's findings. We will coordinate in advance of the audit to make sure we have had our processes reviewed and confirmed to be in compliance with the Uniform Guidance, as well as, have ledgers, bank reconciliations, invoices and receipts properly organized. We will engage the auditor early as well to make sure we are on a path to submit documentation to the Federal Audit Clearinghouse before March 31, 2024.
Finding 2022-002: Internal Controls (Material Weakness) Criteria A-102 Common Rule, OMB Circular A-110 and 2 CFR section 200.303 require that non-Federal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. 2 CFR section 200.514 requires auditors to obtain an understanding of the non-Federal entity's internal control over Federal programs sufficient to plan the audit to support a low assessed level of control risk of noncompliance for major programs, and, unless internal control is likely to be ineffective, plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program and perform testing of internal control as planned. Condition As noted in finding 2022-001, we noted a lack of evidence to support the operation of internal controls for the fiscal year. Cause The Organization has experienced growth over the past couple of years, however has not evaluated and updated internal controls. Effect The Organization lacked internal controls to support a low assessed level of control risk for the assertions relevant to compliance requirements for the major program tested. Recommendation We recommend that the Organization institute a program to methodically identify and document its significant operational and accounting processes as they relate to Federal grants and compliance. Documenting a process involves identifying and gaining an understanding of the required compliance requirements, the automated or manual procedures used in performing the required process, the person(s) or position(s) responsible for performing the procedures, the source documents used or generated, the procedures for approval and review and correction of any errors detected, and the financial or operational entries or reports summarizing the result of the process. Views of Responsible Officials The Organization agrees with the auditor's findings. We have already begun to make adjustments to record all grants ahead of time in Quickbooks and deduct funding as we spend from these areas to directly show grant balances and that the restricted funding is spent in compliance with the funding received. We will also provide these findings to a certified public accountant to make sure they are adhered to correctly and meet the requirements of both state and federal funding.
Finding 2022-003: Federal Grants Procedures Manual (Uniform Guidance Compliance) Criteria On May 17, 2017, the Office of Management and Budget (OMB) issued an addendum to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) allowing nonfederal entities an additional year to implement the Uniform Guidance procurement requirements and the entity must document the decision to utilize the extension. Condition The Organization has not implemented the Uniform Guidance procurement requirements. Cause Organization management was not aware of the Uniform Guidance requirements and implementation dates. Effect The Organization's procurement policies and procedures are not in compliance with the Uniform Guidance. Recommendation We recommend the Organization review the Uniform Guidance procurement requirements and implement the requirements. Views of Responsible Officials The Organization agrees with the Auditor's findings. We will implement the Uniform Guidance procurement requirements as issued by the Office of Management and Budget (OMB). We will also have the process reviewed by a qualified public accountant to make sure it complies with the regulations set forth.
Finding 2022-004: Financial Reporting Timeliness (Uniform Guidance Compliance) Criteria In accordance with 2 CFR section 200.512 of the Uniform Guidance, the audit must be completed and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Condition The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of March 31, 2023. Cause This is the first year the Organization has been subject to the Uniform Guidance reporting requirements. Effect The filing of the Single Audit Reporting package and data collection form is past the due date. Recommendation We recommend the Organization strive to close the year with properly prepared reconciliations within 3 - 4 months after year-end in order to complete the annual financial audit timely. Views of Responsible Officials The Organization agrees with the auditor's findings. We will coordinate in advance of the audit to make sure we have had our processes reviewed and confirmed to be in compliance with the Uniform Guidance, as well as, have ledgers, bank reconciliations, invoices and receipts properly organized. We will engage the auditor early as well to make sure we are on a path to submit documentation to the Federal Audit Clearinghouse before March 31, 2024.
Finding 2022-002: Internal Controls (Material Weakness) Criteria A-102 Common Rule, OMB Circular A-110 and 2 CFR section 200.303 require that non-Federal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. 2 CFR section 200.514 requires auditors to obtain an understanding of the non-Federal entity's internal control over Federal programs sufficient to plan the audit to support a low assessed level of control risk of noncompliance for major programs, and, unless internal control is likely to be ineffective, plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program and perform testing of internal control as planned. Condition As noted in finding 2022-001, we noted a lack of evidence to support the operation of internal controls for the fiscal year. Cause The Organization has experienced growth over the past couple of years, however has not evaluated and updated internal controls. Effect The Organization lacked internal controls to support a low assessed level of control risk for the assertions relevant to compliance requirements for the major program tested. Recommendation We recommend that the Organization institute a program to methodically identify and document its significant operational and accounting processes as they relate to Federal grants and compliance. Documenting a process involves identifying and gaining an understanding of the required compliance requirements, the automated or manual procedures used in performing the required process, the person(s) or position(s) responsible for performing the procedures, the source documents used or generated, the procedures for approval and review and correction of any errors detected, and the financial or operational entries or reports summarizing the result of the process. Views of Responsible Officials The Organization agrees with the auditor's findings. We have already begun to make adjustments to record all grants ahead of time in Quickbooks and deduct funding as we spend from these areas to directly show grant balances and that the restricted funding is spent in compliance with the funding received. We will also provide these findings to a certified public accountant to make sure they are adhered to correctly and meet the requirements of both state and federal funding.
Finding 2022-003: Federal Grants Procedures Manual (Uniform Guidance Compliance) Criteria On May 17, 2017, the Office of Management and Budget (OMB) issued an addendum to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) allowing nonfederal entities an additional year to implement the Uniform Guidance procurement requirements and the entity must document the decision to utilize the extension. Condition The Organization has not implemented the Uniform Guidance procurement requirements. Cause Organization management was not aware of the Uniform Guidance requirements and implementation dates. Effect The Organization's procurement policies and procedures are not in compliance with the Uniform Guidance. Recommendation We recommend the Organization review the Uniform Guidance procurement requirements and implement the requirements. Views of Responsible Officials The Organization agrees with the Auditor's findings. We will implement the Uniform Guidance procurement requirements as issued by the Office of Management and Budget (OMB). We will also have the process reviewed by a qualified public accountant to make sure it complies with the regulations set forth.
Finding 2022-004: Financial Reporting Timeliness (Uniform Guidance Compliance) Criteria In accordance with 2 CFR section 200.512 of the Uniform Guidance, the audit must be completed and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Condition The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of March 31, 2023. Cause This is the first year the Organization has been subject to the Uniform Guidance reporting requirements. Effect The filing of the Single Audit Reporting package and data collection form is past the due date. Recommendation We recommend the Organization strive to close the year with properly prepared reconciliations within 3 - 4 months after year-end in order to complete the annual financial audit timely. Views of Responsible Officials The Organization agrees with the auditor's findings. We will coordinate in advance of the audit to make sure we have had our processes reviewed and confirmed to be in compliance with the Uniform Guidance, as well as, have ledgers, bank reconciliations, invoices and receipts properly organized. We will engage the auditor early as well to make sure we are on a path to submit documentation to the Federal Audit Clearinghouse before March 31, 2024.
Finding 2022-002: Internal Controls (Material Weakness) Criteria A-102 Common Rule, OMB Circular A-110 and 2 CFR section 200.303 require that non-Federal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. 2 CFR section 200.514 requires auditors to obtain an understanding of the non-Federal entity's internal control over Federal programs sufficient to plan the audit to support a low assessed level of control risk of noncompliance for major programs, and, unless internal control is likely to be ineffective, plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program and perform testing of internal control as planned. Condition As noted in finding 2022-001, we noted a lack of evidence to support the operation of internal controls for the fiscal year. Cause The Organization has experienced growth over the past couple of years, however has not evaluated and updated internal controls. Effect The Organization lacked internal controls to support a low assessed level of control risk for the assertions relevant to compliance requirements for the major program tested. Recommendation We recommend that the Organization institute a program to methodically identify and document its significant operational and accounting processes as they relate to Federal grants and compliance. Documenting a process involves identifying and gaining an understanding of the required compliance requirements, the automated or manual procedures used in performing the required process, the person(s) or position(s) responsible for performing the procedures, the source documents used or generated, the procedures for approval and review and correction of any errors detected, and the financial or operational entries or reports summarizing the result of the process. Views of Responsible Officials The Organization agrees with the auditor's findings. We have already begun to make adjustments to record all grants ahead of time in Quickbooks and deduct funding as we spend from these areas to directly show grant balances and that the restricted funding is spent in compliance with the funding received. We will also provide these findings to a certified public accountant to make sure they are adhered to correctly and meet the requirements of both state and federal funding.
Finding 2022-003: Federal Grants Procedures Manual (Uniform Guidance Compliance) Criteria On May 17, 2017, the Office of Management and Budget (OMB) issued an addendum to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) allowing nonfederal entities an additional year to implement the Uniform Guidance procurement requirements and the entity must document the decision to utilize the extension. Condition The Organization has not implemented the Uniform Guidance procurement requirements. Cause Organization management was not aware of the Uniform Guidance requirements and implementation dates. Effect The Organization's procurement policies and procedures are not in compliance with the Uniform Guidance. Recommendation We recommend the Organization review the Uniform Guidance procurement requirements and implement the requirements. Views of Responsible Officials The Organization agrees with the Auditor's findings. We will implement the Uniform Guidance procurement requirements as issued by the Office of Management and Budget (OMB). We will also have the process reviewed by a qualified public accountant to make sure it complies with the regulations set forth.
Finding 2022-004: Financial Reporting Timeliness (Uniform Guidance Compliance) Criteria In accordance with 2 CFR section 200.512 of the Uniform Guidance, the audit must be completed and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Condition The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of March 31, 2023. Cause This is the first year the Organization has been subject to the Uniform Guidance reporting requirements. Effect The filing of the Single Audit Reporting package and data collection form is past the due date. Recommendation We recommend the Organization strive to close the year with properly prepared reconciliations within 3 - 4 months after year-end in order to complete the annual financial audit timely. Views of Responsible Officials The Organization agrees with the auditor's findings. We will coordinate in advance of the audit to make sure we have had our processes reviewed and confirmed to be in compliance with the Uniform Guidance, as well as, have ledgers, bank reconciliations, invoices and receipts properly organized. We will engage the auditor early as well to make sure we are on a path to submit documentation to the Federal Audit Clearinghouse before March 31, 2024.
Finding 2022-002: Internal Controls (Material Weakness) Criteria A-102 Common Rule, OMB Circular A-110 and 2 CFR section 200.303 require that non-Federal entities receiving Federal awards establish and maintain internal controls designed to reasonably ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. 2 CFR section 200.514 requires auditors to obtain an understanding of the non-Federal entity's internal control over Federal programs sufficient to plan the audit to support a low assessed level of control risk of noncompliance for major programs, and, unless internal control is likely to be ineffective, plan the testing of internal control over major programs to support a low assessed level of control risk for the assertions relevant to the compliance requirements for each major program and perform testing of internal control as planned. Condition As noted in finding 2022-001, we noted a lack of evidence to support the operation of internal controls for the fiscal year. Cause The Organization has experienced growth over the past couple of years, however has not evaluated and updated internal controls. Effect The Organization lacked internal controls to support a low assessed level of control risk for the assertions relevant to compliance requirements for the major program tested. Recommendation We recommend that the Organization institute a program to methodically identify and document its significant operational and accounting processes as they relate to Federal grants and compliance. Documenting a process involves identifying and gaining an understanding of the required compliance requirements, the automated or manual procedures used in performing the required process, the person(s) or position(s) responsible for performing the procedures, the source documents used or generated, the procedures for approval and review and correction of any errors detected, and the financial or operational entries or reports summarizing the result of the process. Views of Responsible Officials The Organization agrees with the auditor's findings. We have already begun to make adjustments to record all grants ahead of time in Quickbooks and deduct funding as we spend from these areas to directly show grant balances and that the restricted funding is spent in compliance with the funding received. We will also provide these findings to a certified public accountant to make sure they are adhered to correctly and meet the requirements of both state and federal funding.
Finding 2022-003: Federal Grants Procedures Manual (Uniform Guidance Compliance) Criteria On May 17, 2017, the Office of Management and Budget (OMB) issued an addendum to Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) allowing nonfederal entities an additional year to implement the Uniform Guidance procurement requirements and the entity must document the decision to utilize the extension. Condition The Organization has not implemented the Uniform Guidance procurement requirements. Cause Organization management was not aware of the Uniform Guidance requirements and implementation dates. Effect The Organization's procurement policies and procedures are not in compliance with the Uniform Guidance. Recommendation We recommend the Organization review the Uniform Guidance procurement requirements and implement the requirements. Views of Responsible Officials The Organization agrees with the Auditor's findings. We will implement the Uniform Guidance procurement requirements as issued by the Office of Management and Budget (OMB). We will also have the process reviewed by a qualified public accountant to make sure it complies with the regulations set forth.
Finding 2022-004: Financial Reporting Timeliness (Uniform Guidance Compliance) Criteria In accordance with 2 CFR section 200.512 of the Uniform Guidance, the audit must be completed and the data collection form and reporting package must be submitted to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. Condition The 2021 Single Audit reporting package and data collection form have not been submitted to the Federal Audit Clearinghouse by the deadline of March 31, 2023. Cause This is the first year the Organization has been subject to the Uniform Guidance reporting requirements. Effect The filing of the Single Audit Reporting package and data collection form is past the due date. Recommendation We recommend the Organization strive to close the year with properly prepared reconciliations within 3 - 4 months after year-end in order to complete the annual financial audit timely. Views of Responsible Officials The Organization agrees with the auditor's findings. We will coordinate in advance of the audit to make sure we have had our processes reviewed and confirmed to be in compliance with the Uniform Guidance, as well as, have ledgers, bank reconciliations, invoices and receipts properly organized. We will engage the auditor early as well to make sure we are on a path to submit documentation to the Federal Audit Clearinghouse before March 31, 2024.