Community Corrections Grant Audit

The Department of Corrections seeks the services of certified public accountants to perform a financial and compliance audit of the Community Corrections Grant Program for the fiscal years ending June 30, 2027 and June 30, 2028. The audit shall include at least the following elements: organization, fiscal information, and compliance with statutes, regulations, and correspondence promulgated by the Kentucky Corrections Commission. The scope of work includes ten Community Corrections programs subject to audit. Key responsibilities include verifying grantee compliance, reviewing financial statements, and preparing a report on compliance and internal control over financial reporting. • Verify grantee is a non-profit corporation or otherwise complies as a valid recipient of grant funds per KRS 196.725 • Verify that the governing Board is composed of at least those members as set out in KRS 196.725 • Verify that the Board meets at least quarterly to oversee the operation of the Community Corrections Program plan and minutes of all meetings are available • Verify that funds are deposited in a separate account and not commingled • Verify that dual signatures are required to make all expenditures • Prepare a statement of Receipts and Expenditures and note balance unexpended at the end of FY26 and FY27 to be returned to the Commonwealth • Compare budgeted and actual expenditures for the grant period • Verify expenditures are in compliance with the grant awards • Prepare an itemized schedule of expenditures including summary of gross salaries and fringe benefits for all staff hired under the grant • Verify that time and attendance records are maintained on all staff using a “Daily Work Summary” which should include, at a minimum, the employee’s name, the date, the name of the client seen, the time and location seen, and the total minutes seen • Reconcile bank account at the end of FY26 and FY27, obtaining a bank reconciliation and verifying that outstanding checks have since cleared the account • Provide an itemization of all equipment purchased from grant funds which has a unit cost of $500.00 or more and a useful life of at least one-year • Audited financial statements and an opinion on them • A report on compliance and internal control over financial reporting based on an audit of financial statements performed in accordance with Government Auditing Standards • An auditor representation letter stating the auditor is in compliance with generally accepted auditing standards and Government Auditing Standards concerning continuing education requirements, independence, and internal quality control system and peer review requirements