Finding Text
2023-001: Prior Period Restatement
Condition: During our audit it was noted that the Organization had HEERF accounts receivable
and revenue amount recorded incorrectly. Management determined this amount was not a valid
accounts receivable and a prior period adjustment was required.
Criteria: The Organization should maintain adequate internal controls to ensure accounts
receivables and revenue represent valid claims for the Organization.
Cause: The Organization had outsource bookkeeping company that did not understand the
HEERF funding model.
Effect: Prior period accounts receivables and revenue were overstated by $180,430.
Recommendation: We recommend that the Organization assess the internal controls over
accounts receivable and revenue to ensure valid claims.
Views of Responsible Officials and Corrective Action: See Corrective Action Plan.