Audit 23838

FY End
2022-12-31
Total Expended
$4.91M
Findings
4
Programs
11
Organization: City of Wauwatosa (WI)
Year: 2022 Accepted: 2023-10-01

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
29463 2022-001 Significant Deficiency Yes I
29464 2022-001 Significant Deficiency Yes I
605905 2022-001 Significant Deficiency Yes I
605906 2022-001 Significant Deficiency Yes I

Contacts

Name Title Type
KCDGNEEY6H27 John Ruggini Auditee
4144798962 Jake Lenell Auditor
No contacts on file

Notes to SEFA

Title: Oversight agencies Accounting Policies: The Schedule of Expenditures of Federal Awards includes all of the Federal funds of the City of Wauwatosa, Wisconsin (the City).State programs reported include only those programs required to be included by the State Single Audit Guidelines. The accounting records for the grant programs are maintained on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and the State of Wisconsin Single Audit Guidelines, with the exception of CFDA 21.019, which follows criteria determined by the Department of Treasury for allowability of costs. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule 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 auditee did not use the de minimis cost rate. The Citys federal oversight agency for audit is the U.S. Department of Housing and Urban Development. The Citys state oversight agency for audit is the State of Wisconsin Department of Revenue.

Finding Details

2022 ? 001 Federal Agencies: U.S. Department of Treasury Federal Program Names: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Direct Award and Wisconsin Department of Health Services Award Period: March 2020 through December 31, 2024 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Per 2 CFR Part 200 Section 200.214 - Non-Federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. The regulations in 2 CFR part 180 restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. Condition: During our testing, we noted the City of Wauwatosa did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: For 1 of the 1 vendors, with in the Coronavirus State and Local Fiscal Recovery Fund program, selected for testing, the City did not verify and retain documentation of the verification for any that vendors were not suspended or debared by the Federal Government. The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Cause: The City had not designed and implemented controls related to the verification and documentation of vendor's status as not suspended or debarred with the Federal Government. Effect: The lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: The finding is a repeat finding of 2021-001. Recommendation: We recommend the City of Wauwatosa design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 001 Federal Agencies: U.S. Department of Treasury Federal Program Names: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Direct Award and Wisconsin Department of Health Services Award Period: March 2020 through December 31, 2024 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Per 2 CFR Part 200 Section 200.214 - Non-Federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. The regulations in 2 CFR part 180 restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. Condition: During our testing, we noted the City of Wauwatosa did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: For 1 of the 1 vendors, with in the Coronavirus State and Local Fiscal Recovery Fund program, selected for testing, the City did not verify and retain documentation of the verification for any that vendors were not suspended or debared by the Federal Government. The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Cause: The City had not designed and implemented controls related to the verification and documentation of vendor's status as not suspended or debarred with the Federal Government. Effect: The lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: The finding is a repeat finding of 2021-001. Recommendation: We recommend the City of Wauwatosa design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 001 Federal Agencies: U.S. Department of Treasury Federal Program Names: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Direct Award and Wisconsin Department of Health Services Award Period: March 2020 through December 31, 2024 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Per 2 CFR Part 200 Section 200.214 - Non-Federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. The regulations in 2 CFR part 180 restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. Condition: During our testing, we noted the City of Wauwatosa did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: For 1 of the 1 vendors, with in the Coronavirus State and Local Fiscal Recovery Fund program, selected for testing, the City did not verify and retain documentation of the verification for any that vendors were not suspended or debared by the Federal Government. The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Cause: The City had not designed and implemented controls related to the verification and documentation of vendor's status as not suspended or debarred with the Federal Government. Effect: The lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: The finding is a repeat finding of 2021-001. Recommendation: We recommend the City of Wauwatosa design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of responsible officials: There is no disagreement with the audit finding.
2022 ? 001 Federal Agencies: U.S. Department of Treasury Federal Program Names: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Direct Award and Wisconsin Department of Health Services Award Period: March 2020 through December 31, 2024 Type of Finding: ? Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Per 2 CFR Part 200 Section 200.214 - Non-Federal entities are subject to the non-procurement debarment and suspension regulations implementing Executive Orders 12549 and 12689, 2 CFR part 180. The regulations in 2 CFR part 180 restrict awards, subawards, and contracts with certain parties that are debarred, suspended, or otherwise excluded from or ineligible for participation in Federal assistance programs or activities. Condition: During our testing, we noted the City of Wauwatosa did not have adequate internal controls designed to ensure vendors were not suspended or debarred. Questioned costs: None Context: For 1 of the 1 vendors, with in the Coronavirus State and Local Fiscal Recovery Fund program, selected for testing, the City did not verify and retain documentation of the verification for any that vendors were not suspended or debared by the Federal Government. The auditor noted no instances of noncompliance with the provisions of procurement, suspension, and debarment; however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Cause: The City had not designed and implemented controls related to the verification and documentation of vendor's status as not suspended or debarred with the Federal Government. Effect: The lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: The finding is a repeat finding of 2021-001. Recommendation: We recommend the City of Wauwatosa design controls to ensure an adequate review process is in place to review potential contractors to determine they are not suspended or debarred. Views of responsible officials: There is no disagreement with the audit finding.