FAC Explorer

Finding 370196 (2023-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-02-22
Audit: 291757
Organization: District IV Human Resources Development Council (MT)
Auditor: Carver Florek & James Cpa's

AI Summary

  • Core Issue: The Schedule of Federal Expenditures did not accurately report USDA Loans.
  • Impacted Requirements: Compliance with 2 CFR § 200.502 regarding the reporting of federal awards and loan programs.
  • Recommended Follow-up: Ensure the Schedule correctly includes and measures loans and loan guarantees as per federal guidelines.

Finding Text

2023 – 001 BASIS FOR DETERMINING FEDERAL AWARDS EXPENDED – SEFA EXPENDITURES Criteria: 2 CFR § 200.502 explains that the value of Federal awards expended under loan programs, the use of loan proceeds under loan and loan guarantee programs are to be reported on the Schedule of Federal Expenditures of Federal Awards. Condition: The Schedule of Federal Expenditures of Federal Awards did not appropriately present the USDA Loans. Cause: The Council should make sure that expenditures are appropriately characterized as loans or federal grant expenditures. Effect: Loans may not be correctly reported on the Schedule of Expenditures of Federal Awards. Questioned Cost: -0-. Recommendation: We recommend that the Schedule of Federal Expenditures of Federal Awards appropriately includes and measures loans and loan guarantees in accordance with 2 CFR § 200.502(b) and (c) of the Uniform Guidance.

Corrective Action Plan

CORRECTIVE ACTION PLAN - FY 2023 AUDIT FINDING 2023 - 001 BASIS FOR DETERMINING FEDERAL AWARDS EXPENDED - SEFA EXPENDITURES Finding: Department of Agriculture - Rural Development Loan was not recorded correctly on the SEFA Expenditures Report. District 4 Human Resources Development Council Response: The Council concurs with the finding and understands the importance of appropriately including and measuring loans and loan guarantees in accordance with 2 CFR § 200.502(b) and (c) of the Uniform Guidance. The oversite has been corrected and the loans have been accounted for correctly on the current SEFA. The Council will ensure the loans are correctly reported on the SEFA in the future.

Categories

Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 946638 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.600 Head Start $2.47M
10.766 Community Facilities Loans and Grants $262,321
93.568 Low-Income Home Energy Assistance $251,876
93.569 Community Services Block Grant $207,528
10.415 Rural Rental Housing Loans $138,974
93.558 Temporary Assistance for Needy Families $97,757
17.259 Wia Youth Activities $92,611
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $76,957
16.575 Crime Victim Assistance $68,520
84.002 Adult Education - Basic Grants to States $41,180
14.231 Emergency Solutions Grant Program $19,867
93.499 Low Income Household Water Assistance Program $18,255
10.558 Child and Adult Care Food Program $18,009
16.588 Violence Against Women Formula Grants $3,878
21.027 Coronavirus State and Local Fiscal Recovery Funds $1,836
21.023 Emergency Rental Assistance Program $1,473
84.060 Indian Education_grants to Local Educational Agencies $813
81.042 Weatherization Assistance for Low-Income Persons $109