Finding 1223019 (2024-001)

Material Weakness Repeat Finding
Requirement
B
Questioned Costs
-
Year
2024
Accepted
2026-07-07

AI Summary

  • Core Issue: There is a material weakness in internal controls over financial reporting, raising concerns about the reliability of financial statements.
  • Impacted Requirements: Compliance with the Allowable Costs / Cost Principles under the American Rescue Plan Technical Assistance Investment Program.
  • Recommended Follow-up: Implement effective safeguards to enhance the reliability of financial reporting and address the identified deficiencies.

Finding Text

Finding No: 2024-001 Type: Material Weakness in internal control over financial reporting - this finding is also reported as a financial statement finding in Section II, Finding 2024-001 Major Program Affected: Agency: U.S. Department of Agriculture Program Name: American Rescue Plan Technical Assistance Investment Program Assistance Listing No.: 10.234 Award No.: 2023-70417-39226 Compliance Requirement: Allowable Costs / Cost Principles B Condition: The audit has a reasonable possibility that material misstatements in the entity's financial statements may not be prevented, detected, or corrected in a timely manner. Criteria: The Internal Control—Integrated Framework (2013), issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) Amount: Undeterminable Cause: Lack of effective safeguards that could impact the reliability of the financial reporting process. Effect or Potential Effect: This deficiency raises concerns about the reliability of the financial reporting process, indicating that existing controls may be inadequate to safeguard against errors or fraudulent activities that could impact the financial statements. Repeat Audit Finding: Yes

Corrective Action Plan

Planned Corrective Action: We are in the process of implementing a monthly reconciliation process, which will involve a documented regular review of transactions. This documentation will be relayed to the Board Treasurer. (240) 685-6898 ujima@ourspaceworld.org Contact Name and Title Responsible for Corrective Action Kwabena Sika, Founding Director Status: In-progress

Categories

Allowable Costs / Cost Principles Material Weakness Reporting

Other Findings in this Audit

  • 1223020 2024-002
    Material Weakness Repeat
  • 1223021 2024-003
    Material Weakness Repeat
  • 1223022 2024-004
    Material Weakness Repeat
  • 1223023 2024-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
10.234 AMERICAN RESCUE PLAN TECHNICAL ASSISTANCE INVESTMENT PROGRAM $712,373
10.328 FOOD SAFETY OUTREACH PROGRAM $124,014