Finding 1130478 (2024-008)

Material Weakness
Requirement
P
Questioned Costs
-
Year
2024
Accepted
2025-04-03

AI Summary

  • Core Issue: Year-end bank reconciliations had large discrepancies and lacked independent review.
  • Impacted Requirements: Internal controls over financial reporting were inadequate.
  • Recommended Follow-Up: Implement monthly reviews and approvals of bank reconciliations to enhance accuracy and transparency.

Finding Text

Year-end Bank Reconciliations Material Weakness Condition: At the time of our audit test work, the year end bank reconciliations, prepared by the Director of Finance, included several large reconciling items and were not reviewed independent of preparation. Criteria: Adequate internal control functions over the financial reporting process. Cause: Oversight by management. Effect: Opportunity for misappropriation of assets, and possibility that a misstatement of the Organization's financial statements will not be prevented, or detected and corrected, on a timely basis. Recommendation: We recommend all bank reconciliations be reviewed and approved as part of month-end procedures to improve internal controls of accuracy and transparency of financial reporting. View of Responsible Official and Planned Corrective Action: Management agrees with the finding. See corrective action plan.

Categories

Internal Control / Segregation of Duties Material Weakness Reporting

Other Findings in this Audit

  • 554029 2024-001
    Material Weakness
  • 554030 2024-002
    Material Weakness
  • 554031 2024-003
    Material Weakness
  • 554032 2024-004
    Material Weakness
  • 554033 2024-005
    Material Weakness
  • 554034 2024-006
    Material Weakness
  • 554035 2024-007
    Material Weakness
  • 554036 2024-008
    Material Weakness
  • 1130471 2024-001
    Material Weakness
  • 1130472 2024-002
    Material Weakness
  • 1130473 2024-003
    Material Weakness
  • 1130474 2024-004
    Material Weakness
  • 1130475 2024-005
    Material Weakness
  • 1130476 2024-006
    Material Weakness
  • 1130477 2024-007
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $666,624
14.247 Self-Help Homeownership Opportunity Program $403,800
93.093 Health Profession Opportunity Grants $382,000
21.025 Small Dollar Loan Program $37,738
14.169 Housing Counseling Assistance Program $31,944