Finding 567993 (2024-003)

Requirement

Questioned Costs

Year

2024

Accepted

2025-06-27

Audit: 360333

Organization: Capital Area Development Corporation of West Virginia (WV)

Auditor: Brown Edwards and Company LLP

AI Summary

Issue: The Alliance failed to submit 4 out of 12 required quarterly reports for the grant agreement in 2024.
Requirements Impacted: Quarterly reconciliation reports must be filed within 5 days after each quarter ends.
Follow-Up: The Alliance should ensure all future reports are submitted on time to maintain compliance.

Finding Text

Condition: The Alliance did not submit all reports required by a grant agreement with the pass through entity. Criteria: The pass through grant agreements require quarterly reconciliation reports to be filed with the grantor 5 days after the conclusion of the quarter. For the year ended December 31, 2024, we noted 4 out of 12 quarterly reports due during the year were not filed with the grantor. Cause: The Alliance did not file certain required grant reports for the year ended December 31, 2024. Effect: The Alliance was not in compliance with the requirements of their grant agreement. Questioned Costs: N/A Recommendation: We recommend the Alliance complete and submit all future required grant reports prior to the required deadline to ensure all compliance requirements are met. Views of Responsible Officials: We acknowledge the audit finding and will submit required reports on a timely basis.

Corrective Action Plan

Description of Finding: Pass-through grant agreements required quarterly reconciliation reports to be filed with the grantor within 5 days after the conclusion of the quarter. Four quarterly reports were not filed with the grantor, resulting in noncompliance with one grant agreement. We acknowledge that, purely due to oversight, quarterly reports were not filed for one pass-through grant. We did, however, provide progress reports on the funded project when we submitted reimbursement and advance payment requests to the grantor towards the end of the year, resulting in payment without question or feedback regarding quarterly report omission. Corrective Action: The Charleston Area Alliance is committed to timely and accurate grant reporting and grant compliance. We will promptly submit all past due grant reports, and will review our grant administration process, creating reminders to ensure future grant reports are submitted on a timely basis. Contact Persons: Debra S. James, CPA, Chief Financial Officer 304-340-4253 djames@charlestonareaalliance.org Mara C. Boggs, Chief Executive Officer 304-340-4253 mboggs@charlestonareaalliance.org Anticipated Completion Date: July 5, 2025

Other Findings in this Audit

567990 2024-002

Significant Deficiency
567991 2024-002

Significant Deficiency
567992 2024-002

Significant Deficiency
1144432 2024-002

Significant Deficiency
1144433 2024-002

Significant Deficiency
1144434 2024-002

Significant Deficiency
1144435 2024-003

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Programs in Audit

ALN	Program Name	Expenditures
21.027	Coronavirus State and Local Fiscal Recovery Funds	$57,863
11.307	Economic Adjustment Assistance	$46,812
23.002	Appalachian Area Development	$42,294