FAC Explorer

Audit 26114

FY End
2022-06-30
Total Expended
$2.51M
Findings
2
Programs
14
Organization: Taos County (NM)
Year: 2022 Accepted: 2023-02-26
Auditor: Cordova CPAS LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
31787 2022-007 Significant Deficiency - AB
608229 2022-007 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $929,480 Yes 1
20.224 Federal Lands Access Program $395,000 Yes 0
10.697 State & Private Forestry Hazardous Fuel Reduction Program $186,339 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $86,136 - 0
93.053 Nutrition Services Incentive Program $54,126 - 0
97.042 Emergency Management Performance Grants $33,096 - 0
10.665 Schools and Roads - Grants to States $28,405 - 0
94.016 Senior Companion Program $22,047 - 0
15.228 Blm Fuels Management and Community Fire Assistance Program Activities $14,977 - 0
94.011 Foster Grandparent Program $13,288 - 0
97.067 Homeland Security Grant Program $9,350 - 0
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $8,219 - 0
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $7,936 - 0
10.U00 New Mexico Fire Protection $6,025 - 0

Contacts

Name Title Type
CLT5DAH83KN8 Elsa Vigil Auditee
5757376319 Bobby Cordova Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (Schedule) includes the federal grant activity of theTaos County and is presented on the modified accrual basis of accounting, which is the same basis as was used toprepare the fund financial statements. The information in this Schedule is presented in accordance with therequirements of Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards(Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, orused in the preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-007
Federal program information: Funding agency: U.S. Department of the Treasury Title: Coronavirus State & Local Fiscal Recovery Fund Assistance Listing Number: 21.027 Compliance Requirement Allowable Costs/Activities Award Period: July 1, 2021 to June 30, 2022 Condition: During our testwork of the Coronavirus State & Local Fiscal Recovery Fund we noted that there were 250 employees that were paid a ?premium payment? by the County however these payments were paid with a vendor check as opposed to correctly processing the compensation through the payroll transaction cycle. Criteria: IRS Publication 15-A of the IRS states that government employers must withhold social security, Medicare taxes, state taxes and pay unemployment tax on wages paid to an employee Questioned Costs: None Cause: The County mistakenly paid out the premium payments for the pandemic relief to its employees by giving them a check instead of it being paid through payroll. Effect: The County is in violation of IRS Publication 15-A and did not include these premium payments as part of compensation which results in tax withholdings and employee classification to be incorrect. Auditor?s Recommendations: We recommend that the County always pay any premium or hazard pay through payroll and not ever pay the employees with a check so that the payroll taxes are correctly paid out. Agency Response: The County will always pay any premium or hazard pay through payroll and will not pay the employees with a check. It will be done through payroll to ensure that all payroll taxes are correctly paid out. Elsa Vigil, Interim Finance Director is responsible for this corrective action.
Finding 2022-007
Federal program information: Funding agency: U.S. Department of the Treasury Title: Coronavirus State & Local Fiscal Recovery Fund Assistance Listing Number: 21.027 Compliance Requirement Allowable Costs/Activities Award Period: July 1, 2021 to June 30, 2022 Condition: During our testwork of the Coronavirus State & Local Fiscal Recovery Fund we noted that there were 250 employees that were paid a ?premium payment? by the County however these payments were paid with a vendor check as opposed to correctly processing the compensation through the payroll transaction cycle. Criteria: IRS Publication 15-A of the IRS states that government employers must withhold social security, Medicare taxes, state taxes and pay unemployment tax on wages paid to an employee Questioned Costs: None Cause: The County mistakenly paid out the premium payments for the pandemic relief to its employees by giving them a check instead of it being paid through payroll. Effect: The County is in violation of IRS Publication 15-A and did not include these premium payments as part of compensation which results in tax withholdings and employee classification to be incorrect. Auditor?s Recommendations: We recommend that the County always pay any premium or hazard pay through payroll and not ever pay the employees with a check so that the payroll taxes are correctly paid out. Agency Response: The County will always pay any premium or hazard pay through payroll and will not pay the employees with a check. It will be done through payroll to ensure that all payroll taxes are correctly paid out. Elsa Vigil, Interim Finance Director is responsible for this corrective action.