Finding 1086212 (2023-001)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2023
Accepted
2024-11-22
Audit: 329466
Organization: Bishop's Commons, Inc. (NY)
Auditor: Bonadio & CO LLP

AI Summary

  • Core Issue: Major general ledger accounts were not fully reconciled at year-end due to staffing shortages.
  • Impacted Requirements: Timely and accurate reconciliations are essential for effective internal controls over financial reporting.
  • Recommended Follow-Up: Management should review and improve reconciliation policies to address gaps and ensure timely completion.

Finding Text

2023-001 - Account Reconciliations Criteria: An effective system of internal controls over financial reporting requires consistent, timely reconciliations of major general ledger accounts. Condition: Several general ledger accounts were not fully reconciled at year end. Cause: Staffing shortages and turn over continued to put strain on the finance department by requiring existing staff to perform multiple job responsibilities. This caused a lack of time to perform complete and accurate reconciliations on a timely basis. Effect: Several accounts were not completely reconciled, causing a delay in the completion of the audit. Recommendation: We continue to recommend management review its current reconciliation policies and procedures to identify any gaps in process or changes in responsibilities in an effort to complete general ledger reconciliations on a timely basis. It will also improve the accuracy and timing of the financial information presented to the Board of Directors on a regular basis throughout the year.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 509770 2023-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
14.129 Mortgage Insurance Nursing Homes, Intermediate Care Facilities, Board and Care Homes and Assisted Living Facilities $4.95M
93.498 Provider Relief Fund and American Rescue Plan (arp) Rural Distribution $138,066
21.027 Coronavirus State and Local Fiscal Recovery Funds $62,553