Audit 26078

2022-001 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Activities Allowed or Unallowed and Allowable Costs Criteria: The Staffing for Adequate Fire and Emergency Response grant requires grantees to request reimbursement for payroll costs incurred during the applicable grant period. Condition: During the course of our engagement, we noted the City requested grant reimbursement for a greater amount of payroll costs then what was actually incurred during applicable grant periods. Cause: Staff requesting reimbursement of the grant used estimated payroll costs for reimbursement requests, instead of the actual payroll costs. Effect: The City is out of compliance with the grant program and received a greater amount of funds then what was allowable. Recommendation: We recommend City staff review the grant requirements and determine a process for properly requesting reimbursement. Management Response: Management is working on establishing a process for submitting reimbursement requests.

2022-002 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Reporting Criteria: The Staffing for Adequate Fire and Emergency Response grant requires grantees to submit several reports, including but not limited to semi-annual financial reports. Condition: During the course of our engagement, we noted the City received a late notice for the filing the semi-annual financial report late. Also, the City did not file the required semi-annual financial performance reports. Cause: Staff was aware of the due date for the semi-annual financial report, however the timing of submission was delayed for unknown causes. Staff was not aware the semi-annual performance reports were available to be submitted. Effect: The City is out of compliance with the grant program. Recommendation: We recommend City staff review the grant requirements and determine a process for filing the required reporting forms. Management Response: Management is working on a process for submitting the required reports.

2022-003 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Activities Allowed or Unallowed and Allowable Costs Reporting Deficiency in Internal Control over Compliance Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires internal control procedures to be performed over expenditures. Condition: During the course of our engagement, we noted reimbursement requests and required reports were not reviewed prior to submission and the City did not have sufficient internal controls over the reporting process. Cause: The City did not have adequate internal controls to ensure control procedures over expenditures. Effect: Internal controls procedures were not properly performed over expenditures. Recommendation: We recommend the City develops internal controls specifically addressing reimbursement request approval and reporting requirements. Management Response: Management is working on a process for approving and submitting reimbursement requests and required reports.

2022-001 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Activities Allowed or Unallowed and Allowable Costs Criteria: The Staffing for Adequate Fire and Emergency Response grant requires grantees to request reimbursement for payroll costs incurred during the applicable grant period. Condition: During the course of our engagement, we noted the City requested grant reimbursement for a greater amount of payroll costs then what was actually incurred during applicable grant periods. Cause: Staff requesting reimbursement of the grant used estimated payroll costs for reimbursement requests, instead of the actual payroll costs. Effect: The City is out of compliance with the grant program and received a greater amount of funds then what was allowable. Recommendation: We recommend City staff review the grant requirements and determine a process for properly requesting reimbursement. Management Response: Management is working on establishing a process for submitting reimbursement requests.

2022-002 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Reporting Criteria: The Staffing for Adequate Fire and Emergency Response grant requires grantees to submit several reports, including but not limited to semi-annual financial reports. Condition: During the course of our engagement, we noted the City received a late notice for the filing the semi-annual financial report late. Also, the City did not file the required semi-annual financial performance reports. Cause: Staff was aware of the due date for the semi-annual financial report, however the timing of submission was delayed for unknown causes. Staff was not aware the semi-annual performance reports were available to be submitted. Effect: The City is out of compliance with the grant program. Recommendation: We recommend City staff review the grant requirements and determine a process for filing the required reporting forms. Management Response: Management is working on a process for submitting the required reports.

2022-003 U.S. Department of Homeland Security Staffing for Adequate Fire and Emergency Response Activities Allowed or Unallowed and Allowable Costs Reporting Deficiency in Internal Control over Compliance Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires internal control procedures to be performed over expenditures. Condition: During the course of our engagement, we noted reimbursement requests and required reports were not reviewed prior to submission and the City did not have sufficient internal controls over the reporting process. Cause: The City did not have adequate internal controls to ensure control procedures over expenditures. Effect: Internal controls procedures were not properly performed over expenditures. Recommendation: We recommend the City develops internal controls specifically addressing reimbursement request approval and reporting requirements. Management Response: Management is working on a process for approving and submitting reimbursement requests and required reports.