FAC Explorer

Finding 579996 (2022-002)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-12-06
Audit: 5561
Organization: YWCA of Eastern Union County, Inc. (NJ)
Auditor: Bkc CPAS PC

AI Summary

  • Core Issue: Key duties are not separated, increasing the risk of errors or fraud in cash management, accounts receivable, and payroll.
  • Impacted Requirements: Segregation of duties is necessary to ensure proper transaction handling and compliance with financial reporting standards.
  • Recommended Follow-Up: Separate duties by training non-financial staff and implementing alternative controls to mitigate risks.

Finding Text

Finding 2022 - 02 Segregation of duties Emergency Solutions Grant-Assistance Listing No. 14.231 and Victim Assistance Grant Listing No. 16.575 Criteria: The assignment of responsibilities should be segregated so that one person is not responsible for the authorization and recording of a transaction and the custody of the related asset. There needs to be a reconciliation or control activity to provide reasonable assurance that transactions are handled appropriately. Condition: Key duties and functions are not segregated among Organization personnel. This is especially a concern in the cash management, accounts receivable, and payroll functions. Effect: The risk exists that transactions could be mishandled, due to errors or fraud, that could lead to loss of assets, the reporting of misleading financial information, or noncompliance with allowable costs and cost principles. Cause: There are a limited number of personnel for certain functions. Recommendation: The duties should be separated as much as possible, by possibly training and utilizing non-financial personnel and utilizing alternative controls. Views of responsible officials: The Organization agrees with this finding and will implement the recommendations.

Categories

Allowable Costs / Cost Principles Cash Management Reporting

Other Findings in this Audit

  • 3546 2022-003
    Significant Deficiency
  • 3547 2022-003
    Significant Deficiency
  • 3548 2022-003
    Significant Deficiency
  • 3549 2022-002
    Significant Deficiency
  • 3550 2022-002
    Significant Deficiency
  • 3551 2022-002
    Significant Deficiency
  • 3552 2022-002
    Significant Deficiency
  • 3553 2022-002
    Significant Deficiency
  • 3554 2022-002
    Significant Deficiency
  • 3555 2022-002
    Significant Deficiency
  • 3556 2022-002
    Significant Deficiency
  • 579988 2022-003
    Significant Deficiency
  • 579989 2022-003
    Significant Deficiency
  • 579990 2022-003
    Significant Deficiency
  • 579991 2022-002
    Significant Deficiency
  • 579992 2022-002
    Significant Deficiency
  • 579993 2022-002
    Significant Deficiency
  • 579994 2022-002
    Significant Deficiency
  • 579995 2022-002
    Significant Deficiency
  • 579997 2022-002
    Significant Deficiency
  • 579998 2022-002
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.231 Emergency Solutions Grant Program $416,032
14.267 Continuum of Care Program $245,438
16.575 Crime Victim Assistance $86,331
16.588 Violence Against Women Formula Grants $52,101
93.671 Family Violence Prevention and Services/domestic Violence Shelter and Supportive Services $45,452
10.558 Child and Adult Care Food Program $22,850
97.024 Emergency Food and Shelter National Board Program $20,000
14.218 Community Development Block Grants/entitlement Grants $12,030
21.019 Coronavirus Relief Fund $6,664