FAC Explorer

Finding 1229777 (2025-004)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2025
Accepted
2026-09-15
Audit: 411078
Organization: Neuse River Council of Governments D/b/a Eastern Carolina Council (NC)
Auditor: THOMPSON PRICE SCOTT ADAMS & CO P A

AI Summary

  • Core Issue: There is a material weakness in internal controls over financial reporting related to the Aging Cluster programs.
  • Impacted Requirements: Compliance with activities allowed, allowable costs, and cash management is not adequately ensured.
  • Recommended Follow-Up: Review the management's corrective action plan to address the identified weaknesses.

Finding Text

MATERIAL WEAKNESS IN INTERNAL CONTROL Finding 2025 – 004 Internal Controls over Financial Reporting U.S. Department of Health and Human Services Passed thru the North Carolina Department of Health and Human Services Program name: Aging Cluster: 93.044 Special programs for the Aging – Title III B – Grant for Supportive Services and Senior Center 93.045 Special Programs for the Aging – Title III C – Nutrition Services 93.053 Nutrition Services Incentive Program (NSIP) Award Year: 2025 Compliance requirements: Activities Allowed or Unallowed, Allowable Costs/Cost Principles, Cash Management Refer to Section II. Financial Statement Findings, Finding 2025 – 003 Questioned costs: None Management’s response: See Corrective Action Plan

Corrective Action Plan

Finding 2025 – 004 Internal Controls over Financial Reporting Name of Contact Person: David Rosado, Executive Director Corrective Action: The Council agrees with this finding. The Council has hired a new Finance Director effective January 2, 2025, with the appropriate skills, knowledge, and experience to oversee the Finance Department. The Finance Director has identified and corrected internal control issues. All coding and processing of Aging Expenditures has been updated, and documents complied with State and Federal policies are in place. Completion Date: December 8, 2025

Categories

Allowable Costs / Cost Principles Cash Management Material Weakness Reporting

Programs in Audit

ALN Program Name Expenditures
93.052 NATIONAL FAMILY CAREGIVER SUPPORT, TITLE III, PART E $215,121
20.205 HIGHWAY PLANNING AND CONSTRUCTION $181,760
93.053 NUTRITION SERVICES INCENTIVE PROGRAM $160,822
97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED DISASTERS) $112,657
11.303 ECONOMIC DEVELOPMENT TECHNICAL ASSISTANCE $108,953
11.302 ECONOMIC DEVELOPMENT SUPPORT FOR PLANNING ORGANIZATIONS $65,019
93.U00 SPECIAL PROGRAMS FOR THE AGING - ARPA SOCIAL ISOLATION DIGITAL EQUITY $58,277
93.045 SPECIAL PROGRAMS FOR THE AGING, TITLE III, PART C, NUTRITION SERVICES $39,228
93.043 SPECIAL PROGRAMS FOR THE AGING, TITLE III, PART D, DISEASE PREVENTION AND HEALTH PROMOTION SERVICES $32,535
93.041 SPECIAL PROGRAMS FOR THE AGING, TITLE VII, CHAPTER 3, PROGRAMS FOR PREVENTION OF ELDER ABUSE, NEGLECT, AND EXPLOITATION $7,668
93.044 SPECIAL PROGRAMS FOR THE AGING, TITLE III, PART B, GRANTS FOR SUPPORTIVE SERVICES AND SENIOR CENTERS $-2,307