Audit 303800

2022-001 - Activities Allowed/Cost Principles Federal Program Information: ALN - 20.205 - Highway Planning and Construction Cluster Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 Condition: During audit procedures, it was identified that the Town does not have a consistent documented method over invoice and/or purchase order approval to ensure that only allowable costs are being charged to the program. Cause: The Town does not have the necessary internal controls over compliance. Effect: The Town is at an increased risk for unallowable cost to be charged to the program. Identification of Questioned Costs: None identified. Context: The sample selection consisted of 9 out of 35 transactions. Out of the 9 samples, 9 did not have board approvals prior to payment or account numbers noted on invoices to ensure that only allowable costs were being charged to the program. This is not a statistically valid sample. Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Town review and implement policies and procedures for a consistent documented approval process to ensure that only allowable costs are charged to the program Views of Responsible Officials and Corrective Action Plan: Client agrees with finding, and the unabridged version of their response can be found in the Corrective Action Plan. Please see the Corrective Action Plan issued by the Town of Brownington.

2022-002 - Procurement, Suspension & Debarment Federal Program Information: ALN - 20.205 - Highway Planning and Construction Cluster Criteria: The following CFR(s) apply to this finding: 2 CFR section 200.318(a) Condition: During audit procedures, it was identified that the Town did not have a procurement policy in place. Cause: The Town needs to adopt a procurement policy to comply with Uniform Guidance. Effect: Procurements might not conform to applicable Federal laws. Identification of Questioned Costs: None identified. Context: The entire population Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Town adopt a procurement policy that follows the Uniform Guidance and that the Town implement internal control processes and procedures to ensure that the adopted policy is followed. Views of Responsible Officials and Corrective Action Plan: Client agrees with finding, and a version of their response can be found in the Corrective Action Plan. Please see the Corrective Action Plan issued by the Town of Brownington.

2022-001 - Activities Allowed/Cost Principles Federal Program Information: ALN - 20.205 - Highway Planning and Construction Cluster Criteria: The following CFR(s) apply to this finding: 2 CFR 200.303 Condition: During audit procedures, it was identified that the Town does not have a consistent documented method over invoice and/or purchase order approval to ensure that only allowable costs are being charged to the program. Cause: The Town does not have the necessary internal controls over compliance. Effect: The Town is at an increased risk for unallowable cost to be charged to the program. Identification of Questioned Costs: None identified. Context: The sample selection consisted of 9 out of 35 transactions. Out of the 9 samples, 9 did not have board approvals prior to payment or account numbers noted on invoices to ensure that only allowable costs were being charged to the program. This is not a statistically valid sample. Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Town review and implement policies and procedures for a consistent documented approval process to ensure that only allowable costs are charged to the program Views of Responsible Officials and Corrective Action Plan: Client agrees with finding, and the unabridged version of their response can be found in the Corrective Action Plan. Please see the Corrective Action Plan issued by the Town of Brownington.

2022-002 - Procurement, Suspension & Debarment Federal Program Information: ALN - 20.205 - Highway Planning and Construction Cluster Criteria: The following CFR(s) apply to this finding: 2 CFR section 200.318(a) Condition: During audit procedures, it was identified that the Town did not have a procurement policy in place. Cause: The Town needs to adopt a procurement policy to comply with Uniform Guidance. Effect: Procurements might not conform to applicable Federal laws. Identification of Questioned Costs: None identified. Context: The entire population Repeat Finding: This is not a repeat finding. Recommendation: It is recommended that the Town adopt a procurement policy that follows the Uniform Guidance and that the Town implement internal control processes and procedures to ensure that the adopted policy is followed. Views of Responsible Officials and Corrective Action Plan: Client agrees with finding, and a version of their response can be found in the Corrective Action Plan. Please see the Corrective Action Plan issued by the Town of Brownington.