II - Boston's Latino Community History - Northeastern University

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October 28,1999
The Board of Directors of
Inquilinos Boricuas en Acdon (IBA)
405 Shawmut Ave.
Boston, MA 02118
Paul Damiano, CPA
Kevin Burk, CPA
In planning and performing our audit of the financial statements of Inquilinos Boricuas en Accion, Inc. (IBA) for
the year ended June 30, 1999, we considered the organization's internal controls to plan our auditing
procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance
on internal controls.
However, during our audit, we noted certain matters involving the internal controls and other operational matters
that are presented for your consideration. We previously reported on the organization's internal control structure
in our report dated October 28, 1999. This letter does not affect our report dated October 28, 1999 on the
financial statements of IBA.
We will review the status of these comments during our next audit engagement. Our comments and
recommendations, all of which have been discussed with appropriate members of management, are intended to
improve with internal control structure or results in other operating efficiencies. We will be pleased to discuss
these comments in further detail at your convenience, to perform any additional study of these matters, or to
assist you in implementing the recommendations. Our comments are summarized as follows:
Contract Compliance:
During our testing of compliance with the contract from the Office of Child Care Services (OCCS) for Income
Eligible Child Care Services, we found that one out of eight child's files did not contain a birth certificate.
Although this is a minor oversight, all files should contain birth certificates as required by OCCS.
DMH Contract:
During our audit we noted that program costs relating to the mental health program and the contract with the
Department of Mental Health (DMH) were not properly allocated to the program through the general ledger.
This proper allocation is important because the DMH contract is a cost reimbursement contract and is subject
to a possible pay back to DMH if all funding received was not spent. We recommend costs be allocated
monthly to this program to accurately reflect costs to date.
6 Blackstone Valley Place • Suite 109 • Lincoln, RI 02865 • Tel.: (401) 333-2880 • Fax: (401) 334-0261