FAC Explorer

Finding 1172383 (2025-003)

Material Weakness Repeat Finding
Requirement
P
Questioned Costs
-
Year
2025
Accepted
2026-02-04
Audit: 385435
Organization: Urban League of Greater Chattanooga (TN)
Auditor: HOSKINS & COMPANY

AI Summary

  • Answer: There were discrepancies between the general ledger expenses and the federal awards expenditure schedule.
  • Trend: This issue highlights a recurring problem with expense reporting accuracy.
  • List: No adjustments were needed from auditors, but follow-up on expense reporting practices is recommended.

Finding Text

The detailed expenses recorded to the general ledger were not in agreement with the expenses reported in the schedule of expenditures of federal awards. While these differences were identified during the audit process, no auditor-proposed adjustments were required.

Corrective Action Plan

Effective immediately, ULGC will seek to engage an external financial consultant to provide formal training under the direction of Reginald F. Smith II, President and CEO. Training will be targeted to the accounting team, including the Director of Accounting, and will focus on GAAP compliance, timely month-end closing procedures, grant revenue recognition, indirect cost allocation, accurate cash application to accounts receivable, and SEFA preparation.

Categories

Reporting

Other Findings in this Audit

  • 1172382 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 EDUCATION STABILIZATION FUND $1.71M
21.019 CORONAVIRUS RELIEF FUND $490,624
17.235 SENIOR COMMUNITY SERVICE EMPLOYMENT PROGRAM $383,369
21.009 VOLUNTEER INCOME TAX ASSISTANCE (VITA) MATCHING GRANT PROGRAM $240,772
84.287 TWENTY-FIRST CENTURY COMMUNITY LEARNING CENTERS $237,223