FAC Explorer

Audit 11871

FY End
2021-09-30
Total Expended
$17.93M
Findings
18
Programs
22
Organization: City of Port Arthur (TX)
Year: 2021 Accepted: 2024-01-17
Auditor: Pattillo Brown & Hill LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
8725 2021-002 Significant Deficiency - L
8726 2021-002 Significant Deficiency - L
8727 2021-002 Significant Deficiency - L
8728 2021-002 Significant Deficiency - L
8729 2021-002 Significant Deficiency - L
8730 2021-002 Significant Deficiency - L
8731 2021-002 Significant Deficiency - L
8732 2021-002 Significant Deficiency - L
8733 2021-002 Significant Deficiency - L
585167 2021-002 Significant Deficiency - L
585168 2021-002 Significant Deficiency - L
585169 2021-002 Significant Deficiency - L
585170 2021-002 Significant Deficiency - L
585171 2021-002 Significant Deficiency - L
585172 2021-002 Significant Deficiency - L
585173 2021-002 Significant Deficiency - L
585174 2021-002 Significant Deficiency - L
585175 2021-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
20.526 Buses and Bus Facilities Formula, Competitive, and Low Or No Emissions Programs $1.89M Yes 1
14.218 Community Development Block Grants/entitlement Grants $1.13M - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.06M Yes 0
11.307 Economic Adjustment Assistance $1.01M - 0
97.039 Hazard Mitigation Grant $943,990 Yes 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $649,708 Yes 0
93.558 Temporary Assistance for Needy Families $616,728 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $582,647 - 0
66.818 Brownfields Assessment and Cleanup Cooperative Agreements $180,950 - 0
93.991 Preventive Health and Health Services Block Grant $153,903 - 0
20.507 Federal Transit_formula Grants $137,460 Yes 1
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $120,624 - 0
20.526 State and Community Highway Safety $118,429 Yes 1
93.069 Public Health Emergency Preparedness $94,257 - 0
93.994 Maternal and Child Health Services Block Grant to the States $68,881 - 0
14.239 Home Investment Partnerships Program $44,277 - 0
97.067 Homeland Security Grant Program $39,966 - 0
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $17,466 - 0
20.600 State and Community Highway Safety $11,853 - 0
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $8,253 - 0
21.019 Coronavirus Relief Fund $3,552 - 0
20.527 Buses and Bus Facilities Formula, Competitive, and Low Or No Emissions Programs $3,097 - 0

Contacts

Name Title Type
EMVNEFYW2KN4 Lynda Boswell Auditee
4099838186 Paula Lowe Auditor
No contacts on file

Notes to SEFA

Title: RELATIONSHIP TO FEDERAL FINANCIAL REPORTS Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the City of Port Arthur, Texas (the City) under programs of the federal government for the fiscal year ended September 30, 2021. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because this Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City. All federal grants are subject to review by the grantor agencies. Any expenditures identified by the grantor agencies as disallowed could require reimbursement to the grantor agency from the City’s general fund. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedules represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. Grant expenditures reports as of September 30, 2021, which have been submitted to grantor agencies will, in some cases, differ slightly from amounts disclosed herein. The reports prepared for grantor agencies are typically prepared at a later date and often reflect refined estimates of year-end accruals. The reports will agree at termination of the grant as the discrepancies noted are timing differences.
Title: EXPENDITURES INCURRED IN A PRIOR YEAR Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the City of Port Arthur, Texas (the City) under programs of the federal government for the fiscal year ended September 30, 2021. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because this Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City. All federal grants are subject to review by the grantor agencies. Any expenditures identified by the grantor agencies as disallowed could require reimbursement to the grantor agency from the City’s general fund. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedules represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. The City disclosed amounts in the Schedule of Expenditures of Federal Awards that were incurred in a prior year as follows: Description Amount Disaster Grants - Public Assistance - Hurricane Ike $ 1 85,597 Disaster Grants - Public Assistance - Hurricane Harvey 649,708 $ 8 35,305
Title: LOANS AND LOAN GUARANTEES Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the City of Port Arthur, Texas (the City) under programs of the federal government for the fiscal year ended September 30, 2021. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because this Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City. All federal grants are subject to review by the grantor agencies. Any expenditures identified by the grantor agencies as disallowed could require reimbursement to the grantor agency from the City’s general fund. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following, as applicable, the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedules represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. The City is indebted to the Texas Water Development Board (TWDB) as a result of issuance of Combination Tax and Revenue Certificates of Obligations - Capitalization Grants for Clean Water State Revolving Loan Fund Series 2020B. The bonds were sold to provide financing for qualified water system improvements. The amounts reflected in the Schedule of Expenditures of Federal Awards represent expenditures incurred during the year ended September 30, 2021, which was zero. The loan balance for Series 2020B is $56,305,000.

Finding Details

Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.
Finding 2021-002
Section 3. Federal Award Findings and Questioned Costs Finding 2021-002: Untimely and Inaccurate Reporting ALNs 20.507 and 20.526– Federal Transit Cluster Federal Agency: U.S. Department of Transportation Type of Finding: Significant Deficiency in Internal Control over Noncompliance and Noncompliance Finding Criteria The City is required to request for reimbursement within 90 days of disbursements. Management is responsible for establishing and maintaining effective internal controls over accurately and timely reporting for grants. Condition During our audit, we noted selected reports were not submitted in a timely manner and contained inaccurate information. Cause The City’s internal controls over reporting accurate information on a timely basis are not adequately designed. Effect or Potential Effect The City may submit inaccurate and/or untimely reports. Recommendation We recommend policies and procedures be put into place to establish effective internal controls surrounding reporting to ensure reports are submitted accurately and timely. Views of Responsible Official(s) and Planned Corrective Actions See corrective action plan.