FAC Explorer

Finding 1161186 (2024-001)

Material Weakness Repeat Finding
Requirement
A
Questioned Costs
$1
Year
2024
Accepted
2025-10-22
Audit: 371185
Organization: OHUB Foundation Inc. (GA)
Auditor: MCCONNELL JONES

AI Summary

  • Answer: OHUB Foundation lacked proper documentation for a $89 nonpayroll transaction.
  • Trend: This issue indicates a potential pattern of inadequate record-keeping within the Organization.
  • List: Recommend a review of documentation practices and training for staff on record retention requirements.

Finding Text

Condition: During our audit, we observed that OHUB Foundation (the “Organization”), a nonprofit incorporated in the United States, did not retain adequate documentation to support certain expenditures. Specifically, the Organization was unable to provide adequate support for one nonpayroll transaction, amounting to $89, out of a sample of twenty-five transactions selected for testing.

Corrective Action Plan

To prevent recurrence, management will implement the following actions: 1. Upgrade Accounting Services: The Foundation will upgrade its accounting services to ensure stronger internal controls and compliance with federal requirements. This will be accomplished either by enhancing the level of services provided by the current accounting firm or, if it is determined that the curret provider cannot meet the Foundation’s needs, byinitiating a formal RFP process to identify and engage a qualified service provider with expertise in nonprofit and federal grant compliance. This action is targeted for completion by March 31, 2026, and will be led by the Chief Executive Officer. 2. Consolidate Service Arrangements: Evaluate and move certain contracts and services currently managed through the affiliated LLC under the Foundation’s umbrella to reduce complexity and improve oversight. This action is targeted for completion by June 30, 2026 and will be led by the Chief Executive Officer.

Categories

Questioned Costs

Programs in Audit

ALN Program Name Expenditures
11.307 ECONOMIC ADJUSTMENT ASSISTANCE $1.00M