FAC Explorer

Finding 1175735 (2025-002)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-02-27
Audit: 389648
Organization: Rebuilding Together Metro Chicago (IL)
Auditor: JOSEPH I DAVID CPA LTD

AI Summary

  • Core Issue: There is a significant deficiency in internal controls affecting the management of the Coronavirus Relief Fund.
  • Impacted Requirements: Accurate financial reporting is essential for compliance with federal award terms.
  • Recommended Follow-Up: RTMC should implement the corrective action plan from Finding 2025-001 and enhance financial data reviews.

Finding Text

Finding 2025-002: Internal Control Over Compliance •Federal Program: Corona virus Relief Fund (ALN 21.019)•Criteria/Condition: The significant deficiency in internal controls over financial reporting described in Finding 2025-001 also impacts the administration of Federal Awards. Accurate reporting is required to ensure compliance with federal award terms and conditions.•Questioned Costs: None.•Recommendation: RTMC should follow the corrective action plan outlined in Finding 2025-001. Enhancing the review of financial data will ensure that federal expenditures are accurately tracked, reconciled, and reported to the granting agency.•Views of Responsible Officials: Management concurs and will include federal program tracking in the new monthly review process.

Corrective Action Plan

Action To Be Taken: To ensure federal compliance for the Corona virus Relief Fund (ALN 21.019), the organization will implement a secondary review process. After the Executive Director prepares the federal financial reports, a designated member of the Board Finance Committee will review the supporting documentation (General Ledger and invoices) for accuracy before the report is submitted to the granting agency.•Responsible Party: Executive Director and Board Finance Committee. Anticipated Completion Date: February 28, 2026.

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties

Programs in Audit

ALN Program Name Expenditures
21.019 CORONAVIRUS RELIEF FUND $750,642
21.026 HOMEOWNER ASSISTANCE FUND $699,005
14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $95,184
14.921 OLDER ADULTS HOME MODIFICATION GRANT PROGRAM $9,439