EIN: 150581887
UEI: HS55GVY9J724
Data as of August 23, 2026
Management decision deadline — for entities that funded this organization
The FAC accepted this audit on June 1, 2022. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by December 1, 2022 (1361 days ago).
What is a management decision? →Condition and Criteria: No written policies, procedures, and standards of conduct as required by 2 CFR 200, Subparts D and E. Effects: The expenses to major programs could be over or understated for the period. Cause: No procedures in place to ensure that sections of the Uniform Guidance are being followed. Context: Discussions with management uncovered the lack of written policies, procedures, and standards of conduct to the Uniform Guidance. Auditor's Recommendations: The responsible members of management should develop written policies, procedures, and standards of conduct that follow the Uniform Guidance as they relate to receiving federal awards. Views of Responsible Officials and Planned Corrective Action: Racker management and its Finance Committee have reviewed the disclosed audit finding. See the attached management response letter submitted by Racker detailing their corrective action plan for the audit year ended December 31, 2021.
Show full finding ▾Hide full finding ▴Condition and Criteria: No written policies, procedures, and standards of conduct as required by 2 CFR 200, Subparts D and E. Effects: The expenses to major programs could be over or understated for the period. Cause: No procedures in place to ensure that sections of the Uniform Guidance are being followed. Context: Discussions with management uncovered the lack of written policies, procedures, and standards of conduct to the Uniform Guidance. Auditor's Recommendations: The responsible members of management should develop written policies, procedures, and standards of conduct that follow the Uniform Guidance as they relate to receiving federal awards. Views of Responsible Officials and Planned Corrective Action: Racker management and its Finance Committee have reviewed the disclosed audit finding. See the attached management response letter submitted by Racker detailing their corrective action plan for the audit year ended December 31, 2021.
Because Racker has never received more than $750,000 in federal funding, Racker does not have written policies and procedures for Major Federal Awards. The dedicated HHS funding meant to address the COVID19 pandemic is the sole reason Racker exceeded this threshold in 2021. Racker does not anticipate reaching that threshold again. By the end of 2022, Racker management will adopt written policies, procedures and standards of conduct as required by 2 CFR 200, Subparts D and E. We are confident that the noted expenses are accurately stated for the period.
Condition and Criteria: Two invoices did not have the appropriate level of signoffs from management. Effects: The expenses to major programs could be over or understated for the period. Cause: Procedures in place to ensure that proper signoffs are obtained were not followed. Context: A sample of 37 individual invoices were selected for audit from the applicable population. The test found that 2 invoices from the sample were lacking the necessary signoffs from management. Auditor's Recommendation: The responsible members of management should perform regular reviews of invoices in order to verify the necessary signoffs and approvals have been made. Views of Responsible Officials and Planned Corrective Action: Racker management and its Finance Committee have reviewed the disclosed audit finding. See the attached management response letter submitted by Racker detailing their corrective action plan for the audit year ended December 31, 2021.
Show full finding ▾Hide full finding ▴Condition and Criteria: Two invoices did not have the appropriate level of signoffs from management. Effects: The expenses to major programs could be over or understated for the period. Cause: Procedures in place to ensure that proper signoffs are obtained were not followed. Context: A sample of 37 individual invoices were selected for audit from the applicable population. The test found that 2 invoices from the sample were lacking the necessary signoffs from management. Auditor's Recommendation: The responsible members of management should perform regular reviews of invoices in order to verify the necessary signoffs and approvals have been made. Views of Responsible Officials and Planned Corrective Action: Racker management and its Finance Committee have reviewed the disclosed audit finding. See the attached management response letter submitted by Racker detailing their corrective action plan for the audit year ended December 31, 2021.
We agree that two invoices did not have the appropriate management approvals as required per our internal procedures. There are some reasonable explanations for this oversight. Many of the expenditures occurred early in the pandemic when many staff were required to work offsite and routine administrative procedures were disrupted. In addition, there was an increased sense of urgency to purchase scarce PPE as quickly as possible. These factors contributed to the non-compliance. We agree with your recommendation that management should perform regular reviews and approve expenditures. Our current internal control procedures require regular review and approval by supervisory staff. Racker will reinforce training and continue to adopt technologies that will help ensure greater compliance with our existing policies and procedures. We are confident that the noted expenses are appropriate and accurately stated for the period.
Data source: This information comes from the Federal Audit Clearinghouse, the official repository of Single Audit data. All data is public domain. Verify this organization's audit history at fac.gov.
Track your findings and corrective action plans across audit cycles.
Start tracking findings →Monitor subrecipient audit findings and compliance status.
Start monitoring →© 2026 Single Audit Intelligence. All data is public domain.