Finding 1174623 (2024-007)

Material Weakness Repeat Finding

Requirement

Questioned Costs

Year

2024

Accepted

2026-02-19

Audit: 388128

Organization: Four Square Community Action, Inc. (NC)

Auditor: SMART SOLUTIONS CPA INC

AI Summary

Answer: Management has not set up a risk assessment process for compliance obligations.
Trend: This lack of process increases the likelihood of missing non-compliance issues.
List: Recommend establishing a risk assessment process to identify and manage compliance risks.

Finding Text

There is no risk assessment process established or implemented by management to identify risks related to non-compliance with required compliance obligations as outlined in the OMB Supplement 2024. The absence of such a process has led to the inability to assess risks effectively, which may result in overlooked instances of non-compliance.

Corrective Action Plan

Management understands the importance of implementing a risk assessment process. This observation has been noted for future compliance, and steps will be taken to establish a process that aligns with the required compliance obligations.

Other Findings in this Audit

1174617 2024-001

Material Weakness Repeat
1174618 2024-002

Material Weakness Repeat
1174619 2024-003

Material Weakness Repeat
1174620 2024-004

Material Weakness Repeat
1174621 2024-005

Material Weakness Repeat
1174622 2024-006

Material Weakness Repeat
1174624 2024-008

Material Weakness Repeat

Programs in Audit

ALN	Program Name	Expenditures
14.871	SECTION 8 HOUSING CHOICE VOUCHERS	$1.98M
93.600	HEAD START	$1.46M
93.568	LOW-INCOME HOME ENERGY ASSISTANCE	$436,250
10.558	CHILD AND ADULT CARE FOOD PROGRAM	$165,767
81.042	WEATHERIZATION ASSISTANCE FOR LOW-INCOME PERSONS	$151,620
93.569	COMMUNITY SERVICES BLOCK GRANT	$136,816
14.239	HOME INVESTMENT PARTNERSHIPS PROGRAM	$44,165