Finding Text
Fiscal Internal Controls
Questioned Costs: None
Condition: IMPACT Community Action Partnership, Inc. (IMPACT) did not reconcile cash, grant
revenue and receivables, prepaids, accounts payable, accrued liabilities, or refundable advances during fiscal year 2024.
Criteria or Specific Requirement: An accounting system should provide timely and accurate
information for management. The reconciliation of account balances is an integral internal
control activity to determine that stated account balances are accurate and fairly reported.
Organization management and accounting personnel should reconcile general ledger accounts to
subsidiary ledgers and other supporting documents in a timely and effective manner.
Uniform Guidance 200.302(b)(4) states each non-federal entity must provide for “effective
control over, and accountability for, all funds, property, and other assets.”
Effect: Without performing adequate account reconciliations, information provided to
management is inaccurate and can increase the number of days grants receivable are outstanding and awaiting reimbursement. Also, the probability that fraud or material errors will occur and go
undetected generally increases.
Cause: Rapid growth of new funding without a corresponding increase in fiscal personnel,
combined with the replacement of the CFO, resulted in significant delays in reconciliations and preparing for the September 30, 2024 audit.
Repeat: Yes - Years as Repeat Finding: Four 2023-001
Auditor's Recommendations: We recommend IMPACT implement procedures to ensure accounts
are reconciled timely and accurately.
View of Responsible Officials: Management agrees with the finding and has developed and
begun implementation of a corrective action plan.
Federal Program Information:
Funding agency:
Passed through:
Department of the Treasury
City of Des Moines
Title: COVID-19 Emergency Rental Assistance Program
AL number: 21.023
Award number: N/A
Funding agency:
Passed through:
Department of the Treasury
Polk County
Title: COVID-19 Emergency Rental Assistance Program
AL number: 21.023
Award number: N/A
Funding agency:
Passed through:
Department of Health and Human Services
Iowa Department of Health and Human Services
Title: Low-income Home Energy Assistance Program
AL number: 93.568
Award number: LIHEAP-23-12
LIHEAP-24-12
LIHEAP-23R-12
LIHEAP-23IIJA-12
LIHEAP-23ES-12
HEAP-23-12
HEAP-24-12