Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The United States Department of the Treasury promulgated compliance and reporting guidance on the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF). All recipients are required to submit project and expenditure reports. Metropolitan cities and parishes with a population below 250,000 residents that are allocated less than $10 million in CSLFRF funding are required to submit annual project and expenditure reports by April 30, 2023 for the period of April 1, 2022, through March 31, 2023. Internal controls should be designed to ensure timely submission of the annual project and expenditure report.
Condition: The City submitted its annual project and expenditure report which was due on April 30, 2023, on May 9, 2023.
Cause: The City does not have policies and procedures in place to ensure timely submission and compliance with federal reporting requirements.
Questioned Costs: None.
Effect: The City failed to timely submit its annual project and expenditure report.
Recommendation: The City should implement policies and procedures that ensure the proper procedures are followed to ensure compliance with federal reporting requirements.
Identification of a repeat finding: This is a new finding in the current year.
View of Responsible Official: Management concurs with the finding.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awarded on or after December 26, 2014. 2 CFR 200, Subpart E – Cost Principles Section 200.403(a) states that costs must be necessary and reasonable for the performance of the federal award and be allocable thereto under cost principles.
Condition: The City requested and received reimbursement from Federal Emergency Management Agency (FEMA) in the amount of $68,728, of which $36,438 (or 884 hours) related to force equipment and $32,290 (or 1,061 overtime manhours) related to force labor. Out of a population of 884 force equipment hours, or $36,438, 350 hours were tested. Of the tested amount, 298 hours, or $12,236, lacked equipment hours logs. Out of a population of 1,061 overtime manhours, or $32,290, spread across 27 employees, we tested 388 overtime manhours, or $9,648, spread across 5 employees. Of the tested amount, there were discrepancies in rates charged for the employees, as well as hour classification between overtime and straight time. Additionally, the time sheet for one employee was for a different period than the period in which reimbursement was requested. This accounted for 96 of the tested hours. When analyzing differences in costs requested, of the total $9,648 tested it was found that $1,782, or 18.5%, was over requested. When projected to the population, it results in a request that is approximately $6,000 too high.
Cause: The City does not have policies and procedures in place to ensure compliance with federal cost requirements regarding the allowability of reimbursed costs.
Questioned Costs: $18,201
Effect: The City may be in noncompliance with the Uniform Guidance Allowable Costs standards.
Recommendation: The City should implement policies and procedures that ensure an effective review of reimbursement requests prior to submission to ensure all costs requested are legitimate and allowable.
Identification of a repeat finding: This is a new finding in the current year.
View of Responsible Official: Management concurs with the finding.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: Internal controls should be designed to capture the City’s federal expenditures in order to ensure that an accurate Schedule of Expenditures of Federal Awards (SEFA) can be prepared.
Condition: Uniform Guidance section 200.510 requires the auditee to prepare a SEFA. A complete and accurate SEFA was not provided to us.
Cause: The records were not maintained in a manner which allowed the SEFA to be prepared in an efficient manner to ensure accuracy anView of Responsible Official: Management concurs with the finding. Controls relating to the
preparation of the SEFA will be designed to capture the City’s federal expenditures in order to properly prepare the SEFA.d completeness.
Questioned Costs: None.
Effect: The SEFA is used by the auditor to determine which federal programs are to be audited as major programs and to accurately report expenditures to the federal government and granting agencies. Major programs may not be properly identified in accordance with the Uniform Guidance.
Recommendation: All information should be included on the SEFA by employees familiar with the grant awards. The general ledger should be categorized by federal programs/program year in order to capture the correct expenditures by programs. A review should be performed by someone other than the preparer for accuracy and completeness.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-007, 2021-007, 2020-006, 2019-007, and 2018-007.
View of Responsible Official: Management concurs with the finding. Controls related to the preparation of the SEFA will be designed to capture the City's federal expenditures in order to properly prepare the SEFA.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awards on or after December 26, 2014. 2 CFR 200, Subpart D – Post Federal Award Requirements and Subpart E – Cost Principles of the Uniform Guidance require specific written policies and internal controls relative to federal awards.
Condition: The written policies and procedures of the City do not directly address all of the requirements under the Uniform Guidance for federal programs as it relates to allowable costs and procurement. Additionally, the City does not have controls in place to ensure accurate and timely reporting of federal awards nor are there controls in place to monitor if vendors have been suspended or debarred.
Cause: The City has not taken appropriate steps to formalize policies and procedures relating to the requirements established under Uniform Guidance for compliance with allowable costs and procurement. The City has also failed to implement controls over reporting and the monitoring of vendors.
Questioned Costs: None
Effect: The City is susceptible to a higher risk of non-compliance with federal awarding requirements as they relate to allowable costs, procurement, reporting, and suspension and debarment.
Identification of a repeat finding: This is a similar finding from previous audits, 2022-008, 2021-008, 2020-007, 2019-009, and 2018-009.
Recommendation: The City must establish written policies and procedures to ensure compliance with Uniform Guidance relating to allowable costs and procurement. The City must also establish controls over reporting and vendor monitoring.
View of Responsible Official: Management will implement policies and procedures to ensure compliance with Uniform Guidance requirements regarding allowable costs, procurement, reporting, and vendor monitoring.
Criteria: The United States Department of the Treasury promulgated compliance and reporting guidance on the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF). All recipients are required to submit project and expenditure reports. Metropolitan cities and parishes with a population below 250,000 residents that are allocated less than $10 million in CSLFRF funding are required to submit annual project and expenditure reports by April 30, 2023 for the period of April 1, 2022, through March 31, 2023. Internal controls should be designed to ensure timely submission of the annual project and expenditure report.
Condition: The City submitted its annual project and expenditure report which was due on April 30, 2023, on May 9, 2023.
Cause: The City does not have policies and procedures in place to ensure timely submission and compliance with federal reporting requirements.
Questioned Costs: None.
Effect: The City failed to timely submit its annual project and expenditure report.
Recommendation: The City should implement policies and procedures that ensure the proper procedures are followed to ensure compliance with federal reporting requirements.
Identification of a repeat finding: This is a new finding in the current year.
View of Responsible Official: Management concurs with the finding.
Criteria: The Uniform Guidance administrative requirements and cost principles apply to federal funding awarded on or after December 26, 2014. 2 CFR 200, Subpart E – Cost Principles Section 200.403(a) states that costs must be necessary and reasonable for the performance of the federal award and be allocable thereto under cost principles.
Condition: The City requested and received reimbursement from Federal Emergency Management Agency (FEMA) in the amount of $68,728, of which $36,438 (or 884 hours) related to force equipment and $32,290 (or 1,061 overtime manhours) related to force labor. Out of a population of 884 force equipment hours, or $36,438, 350 hours were tested. Of the tested amount, 298 hours, or $12,236, lacked equipment hours logs. Out of a population of 1,061 overtime manhours, or $32,290, spread across 27 employees, we tested 388 overtime manhours, or $9,648, spread across 5 employees. Of the tested amount, there were discrepancies in rates charged for the employees, as well as hour classification between overtime and straight time. Additionally, the time sheet for one employee was for a different period than the period in which reimbursement was requested. This accounted for 96 of the tested hours. When analyzing differences in costs requested, of the total $9,648 tested it was found that $1,782, or 18.5%, was over requested. When projected to the population, it results in a request that is approximately $6,000 too high.
Cause: The City does not have policies and procedures in place to ensure compliance with federal cost requirements regarding the allowability of reimbursed costs.
Questioned Costs: $18,201
Effect: The City may be in noncompliance with the Uniform Guidance Allowable Costs standards.
Recommendation: The City should implement policies and procedures that ensure an effective review of reimbursement requests prior to submission to ensure all costs requested are legitimate and allowable.
Identification of a repeat finding: This is a new finding in the current year.
View of Responsible Official: Management concurs with the finding.