FAC Explorer

Finding 1186849 (2025-007)

Material Weakness Repeat Finding
Requirement
H
Questioned Costs
-
Year
2025
Accepted
2026-03-26
Audit: 394595
Organization: Seda Council of Governments (PA)
Auditor: LARSON KELLETT & ASSOCIATES PC

AI Summary

  • Core Issue: The Council failed to record all accounts payable, leading to inaccuracies in financial statements.
  • Impacted Requirements: Accrual basis accounting mandates that all amounts due before year-end be included.
  • Recommended Follow-up: Ensure proper recording of accounts payable in the correct period to avoid future understatements.

Finding Text

U.S. DEPARTMENT OF TREASURY COVID-19-Coronavirus State and Local Fiscal Recovery Funds - Assistance Listing No. 21.027; Passed through the Pennsylvania Department of Economic Development, Grant period - Year ended June 30, 2025. See finding 2025-003 – listed below. ACCOUNTS PAYABLE Criteria: Accrual basis financial statements should include amounts due prior to year-end. Condition: The Council did not record all accounts payable. Cause: Accounts payable were not recorded in the proper period. Effect: Accounts payable and expenses were understated. Questioned Costs: Not applicable. Perspective Information: Not applicable. Identification of Repeat Findings: Not applicable.

Corrective Action Plan

U.S DEPARTMENT OF TREASURY COVID-19-Coronavirus State and Local Fiscal Recovery Funds- Assistance Listing No. 21.027; Passed through the Pennsylvania Department of Economic Development, Grant period - Year ended June 30, 2025. See finding 2025-003 - Listed below. ACCOUNTS PAYABLE Recommendation: Procedures should be implemented to ensure accounts payable are recorded in the proper period. Management Response: Management concurs with finding. Planned Corrective Action: All accounts payable invoices and vouchers will be reviewed through October 15th of the following fiscal year to ensure all expenses are recorded in the correct fiscal year. Persons Responsible: Jamie Carnes, Fiscal Controller Anticipated Completion Date: March 31, 2026

Categories

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Other Findings in this Audit

  • 1186848 2025-007
    Material Weakness Repeat
  • 1186850 2025-008
    Material Weakness Repeat
  • 1186851 2025-008
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
11.307 ECONOMIC ADJUSTMENT ASSISTANCE $5.54M
93.568 LOW-INCOME HOME ENERGY ASSISTANCE $1.62M
81.042 WEATHERIZATION ASSISTANCE FOR LOW-INCOME PERSONS $939,435
23.011 APPALACHIAN RESEARCH, TECHNICAL ASSISTANCE, AND DEMONSTRATION PROJECTS $678,078
10.767 INTERMEDIARY RELENDING PROGRAM $294,894
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $283,996
12.002 PROCUREMENT TECHNICAL ASSISTANCE FOR BUSINESS FIRMS $240,802
20.939 SAFE STREETS AND ROADS FOR ALL $128,614
23.009 APPALACHIAN LOCAL DEVELOPMENT DISTRICT ASSISTANCE $68,663
11.302 ECONOMIC DEVELOPMENT SUPPORT FOR PLANNING ORGANIZATIONS $36,265
20.205 HIGHWAY PLANNING AND CONSTRUCTION $34,994
23.002 APPALACHIAN AREA DEVELOPMENT $22,950
66.818 BROWNFIELDS MULTIPURPOSE, ASSESSMENT, REVOLVING LOAN FUND, AND CLEANUP COOPERATIVE AGREEMENTS $17,156
23.001 APPALACHIAN REGIONAL DEVELOPMENT (SEE INDIVIDUAL APPALACHIAN PROGRAMS) $12,698