Finding 1169835 (2024-001)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2024
Accepted
2026-01-21
Audit: 382989
Organization: College Dreams, INC (OR)

AI Summary

  • Core Issue: There is a material weakness in preparing the Schedule of Expenditures of Federal Awards (SEFA), leading to incomplete reporting of federal funds.
  • Impacted Requirements: The Organization must ensure all federal awards are accurately identified and reported to comply with federal regulations.
  • Recommended Follow-Up: Implement better tracking systems for federal awards and establish a review process for SEFA preparation to enhance accuracy and compliance.

Finding Text

Finding # 2024-001: Type: Material weakness over preparation of schedule of expenditures of federal awards (SEFA). Assistance Listing Number: 93.677 Social Services Block Grant – Department of Health and Human Services; 21.027 Coronavirus State and Local Fiscal Recovery Funds – Department of the Treasury 84.425 Education Stabilization Fund Requirement: The Organization should have systems in place to prepare a complete and accurate SEFA. Condition/Context: The Organization did not identify all federal awards and adjustments were made to the SEFA prepared by management. Cause: The Organization had new funding sources that were not included in the SEFA. Effect: Federal rules and regulations may not be followed. Inaccuracies of the SEFA may impact Single audit and major program determination. Questioned Costs: None. Recommendation: The Organization should implement additional procedures and controls to accurately capture all activity under federal awards in preparing the SEFA. Management’s Response The Executive Director and Director of Finance and will use a grant and contract tracking log to ensure they are aware of all federal awards. The SEFA will be prepared by the bookkeeper and reviewed and approved by the Director of Finance and Administration prior to being submitted.

Corrective Action Plan

Finding # 2024-001: Material weakness over preparation of schedule of expenditures of federal awards (SEFA). 93.677 Social Services Block Grant – Department of Health and Human Services; 21.027 Coronavirus State and Local Fiscal Recovery Funds – Department of the Treasury Finding: The Organization should have systems in place to prepare a complete and accurate SEFA. The Organization did not identify all federal awards and adjustments were made to the SEFA prepared by management. Recommendation: The Organization should implement additional procedures and controls to accurately capture all activity under federal awards in preparing the SEFA. Corrective Action: The Executive Director and Director of Finance and will use a grant and contract tracking log to ensure they are aware of all federal awards. The SEFA will be prepared by the bookkeeper and reviewed and approved by the Director of Finance and Administration prior to being submitted. Anticipated Completion Date: April 2025

Categories

Reporting Material Weakness

Other Findings in this Audit

  • 1169829 2024-002
    Material Weakness Repeat
  • 1169830 2024-001
    Material Weakness Repeat
  • 1169831 2024-001
    Material Weakness Repeat
  • 1169832 2024-001
    Material Weakness Repeat
  • 1169833 2024-001
    Material Weakness Repeat
  • 1169834 2024-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
17.259 WIA YOUTH ACTIVITIES $628,726
84.044 TRIO_TALENT SEARCH $288,470
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $243,364
93.667 SOCIAL SERVICES BLOCK GRANT $70,497
84.425 EDUCATION STABILIZATION FUND $7,655