AMR Inc. provides a full range of accounting support services from transaction entries to outsourcing all accounting functions. We have substantial experience in providing Finance Director, Comptroller, Accounting Manager, and Grants and Contracts Accounting level services both onsite and through remote access.
AMR Inc.'s reputation and success is built on providing top quality accounting skills and services. Many tribal organizations are located in remote areas. We provide onsite hands-on accounting skills on every project. Working onsite allows for better and more complete training, gives full access to critical information, and facilitates better communication. Onsite accounting is supported with remote access technology.
Managing cash is critical for all organizations. It is becoming a difficult daily challenge to maintain cash balances sufficient to meet operating needs, complying with the regulations limiting the amount of cash held, and managing the increasing number of bank accounts required.
If the deferred revenue exceeds the cash balances, the auditor will write a finding, and the shortfall will be a questioned cost. Funding agencies are aggressively pursuing cash shortfalls related to deferred revenue. In some situations, agencies refer collection of the shortfall to the Treasury Offset Program. When this occurs, any funds from the federal financial system are intercepted and diverted to repay the debt plus an assessment of an administrative fee. The effect on cash flow can be devastating.
Improper cash management can result in overdraft fees, returned checks, upset vendors or employees, and damage to the organization's reputation.
Proper cash management requires strong, fully functioning internal controls and accounting processes. Utilizing the bank reconciliation software available in the accounting software, along with the treasury management tools available from your bank, are critical to managing cash.
A fully functioning cash management system will provide accurate cash balances for all accounts on at least a monthly basis. Providing this information will assist management and Council in daily operations, reduce audit preparation time, reduce findings, and safeguard the asset.
Training is an integral part of developing and investing in staff to meet the current and future needs of the organization. AMR Inc.'s training is onsite, "on-the-job," and provides hands-on practical training immediately transferable to real time work situations.
We have experience in a variety of accounting software and provide training and support from transaction entry thru issuance of a single audit report.
Training is an ongoing process and requires a continuing commitment. As accounting processes change, additional training needs to occur to keep the staff up to date. The training needs to be operationally driven and results oriented.
As the organization grows and expands, it is important to establish performance standards and requirements for the accounting and finance department. The training provided by AMR Inc. is designed to accomplish this goal.
Grant and contract awards require financial status reports, usually on a quarterly basis. The reporting requirements are written into the contract or award agreement between the recipient and the funding agency.
If the organization is behind on submitting these reports, the agency can withhold funding by stopping the draw process. The effect on cash flow can cripple the program. AMR Inc. has brought current reports as much as three years delinquent.
The key to a successful system of compliance is strong, current, and accurate accounting. AMR Inc. has substantial experience in preparing and filing compliance reports including 269s, 425s, 270s, etc.
To assist in the process, we have developed internal management systems to communicate due dates, report responsibility, report type, etc. to the appropriate staff involved in the process.
Included in the annual A-133 Single Audit Report are the following reports issued by the auditor:
Developing, approving, and maintaining policies and procedures adequate to meet the requirements of each of these audit reports is necessary to comply with OMB Circulars, Code of Federal Regulations, and contract requirements.
AMR Inc. has assisted in developing policies and procedures necessary to meet these standards and compliance requirements. We have also been successful in assisting in implementation of internal control at a level sufficient to meet the requirements of Financial Reporting and Compliance in Accordance with AMB Circular A-133.
Implementing strong internal controls requires a solid foundation in policies and procedures, fully trained and competent staff, adequate supervision and the full commitment from both management and Council.
The successful implementation of internal controls, along with policies and procedures, will reduce findings, eliminate questioned costs, improve contract compliance, and increase the overall operational efficiency of the government. These are goals worth achieving.
Negotiating an annual indirect cost rate with your cognizant (or over-sight) agency is required for all Tribal governments. Without a negotiated rate, the Tribe may not be able to recover indirect costs on grants and contracts. This withholding or denying indirect cost recovery is becoming more common and is now a standard practice for several agencies. The indirect cost proposal and negotiation process requires special skills. The accounting and reporting presentations are unique. A full understanding of the process and accounting theory is necessary to prepare the proposal to maximize the benefit to the organization. There are several methods available to calculate the indirect cost rate. A review of the organization's current status and accounting structure will determine the best methods to be used. This is particularly important if your organization is several years behind in submitting proposals.
AMR has worked closely with several federal departments to negotiate rates including:
Indirect cost theory and application is complex and can be difficult to understand. AMR Inc. provides training in several areas including:
Indirect cost recovery is an integral part of the process of maintaining the financial health of all Tribal organizations. The implementation of a well-developed strategy for indirect cost allocation and recovery is of high importance to achieving this goal.
Information technology/computer systems infrastructure is critical to the successful operation of accounting support, as well as other areas. The technology changes quickly and the tools available to improve systems are constantly improving. Proper management of these changes assists in expanding the level of support to meet the organization's current and future needs.
AMR Inc. has participated in this process by providing the following critical services:
All computer systems and the entity's overall information technology support the goals of management and Council. The systems must work properly and provide the accounting and finance staff with the proper level of support. Without this support, it is impossible for the staff to perform their jobs in an efficient and cost-effective manner.
Litigation support is the process of assisting legal council in developing strategies or providing specific technical accounting information or expertise. This is usually done to assist legal council in preparing and presenting a defense for the organization in the Federal courts.
There are times when the funding agency issues a Final Determination letter in an effort to collect funds requested to be returned. If the funds are not returned, the agency uses various methods to collect including taking funds drawn to provide services to existing programs. This creates cash flow problems and can severely affect program operations. When this occurs, it is necessary to use the Federal legal system to stop this process.
AMR Inc. has worked with legal council to develop the best strategies to challenge the Determination letter and protect the organization. We have provided expert witness services as accounting experts to explain the accounting process. This often requires us to review the information used by the agency when determining the amount requested to be returned and usually includes a complete review of the auditor's work.
Because AMR Inc. has a strong background in the complete audit process, we are highly qualified to review the auditors' work in order to assist the attorney in developing the best strategy.
We also have substantial experience in negotiating settlements with the funding agency. We have experience both as the lead negotiator and as a member of the negotiation team.
Preparing for and managing the annual A-133 audit is a complex and time consuming process. Gathering information, reviewing transactions, and preparing schedules are all necessary for the annual audit and are often required to prepare for an agency field review. If the information is not prepared correctly the result can be a questioned cost.
When this information is presented, it is not uncommon for the information to be misinterpreted or misplaced. When this occurs, the auditor can come to an incorrect conclusion. The effect of an incorrect conclusion can result in a finding or a questioned cost.
We are very familiar with the audit and field review process. We have substantial experience working with auditors (both as auditors and representatives of the entity undergoing audit) to make sure effective, correct, and complete communication occurs. This helps to protect the organization from incomplete or inaccurate testing results.
Proper management of the audit process assists in issuing the audit on time, reduces statement errors, and reduces the possibility of findings and questioned costs.