Audit 305947

FY End
2023-09-30
Total Expended
$6.67M
Findings
2
Programs
3
Year: 2023 Accepted: 2024-05-09

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
396277 2023-002 Significant Deficiency - H
972719 2023-002 Significant Deficiency - H

Contacts

Name Title Type
QMRZNXNZWSP8 Bryson Frazier Auditee
4097975153 Winky Tsang Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Park Board did not elect touse the 10-percent de minimis indirect cost rate as allowed by the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activities of the Park Board, under programs of the federal government for the year ended September 30, 2023. The information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Park Board, it is not intended to, and does not, present the net position or changes in net position of the Park Board. Therefore, amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the basic financial statements.
Title: Summary of Significant Findings Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Park Board did not elect touse the 10-percent de minimis indirect cost rate as allowed by the Uniform Guidance. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Indirect Cost Rates Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Park Board did not elect touse the 10-percent de minimis indirect cost rate as allowed by the Uniform Guidance. The Park Board did not elect to use the 10-percent de minimis indirect cost rate as allowed by the Uniform Guidance.
Title: Disaster Grants - Public Assistance (Presedentially Declared Disasters) (ALN 97.036) Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Park Board did not elect touse the 10-percent de minimis indirect cost rate as allowed by the Uniform Guidance. After a presidentially declared disaster, FEMA provides Disaster Grants – Public Assistance (Presidentially Declared Disasters) (ALN 97.036) to reimburse eligible costs associated with repair, replacement or restoration of disaster-damaged facilities. The federal government makes reimbursements in the form of cost-shared grants that require state matching funds. During the year ended September 30, 2023, included in the SEFA are $284,729 of expenditures that were incurred by the Park Board in prior fiscal years.

Finding Details

Information on Federal Program: Texas Department of Emergency Management Disaster Grants – Public Assistance (Presidentially Declared Disasters) Criteria or Specific Requirement: 2 CFR 200.303 of the Uniform Guidance requires that non-Federal entities receiving Federal awards establish and maintain internal control over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the Federal awards. Condition: For the $6,525,090 expenditures recorded in the year ended September 30, 2023, of which $174,257 related to the year ended September 30, 2022. Questioned Cost: There are no questioned costs related to this finding. Context: In the testing of total incurred expenditures of $6,525,090 for the year ended September 30, 2023, expenditure of $174,257 should be included in the schedule of expenditures of federal awards for the year ended September 30, 2022. Effect: The failure to maintain the complete schedule of expenditures of federal awards may result in an inaccurate submission to the grantor which can lead to noncompliance with laws and regulations. Cause: The Park Board failed to maintain the complete schedule of expenditures of federal awards. Recommendation: We recommend that the Park Board maintain the complete schedule of expenditures of federal awards. Management Response: We agree with the finding. The procedure of maintaining the complete schedule of expenditures of federal awards will be implemented in fiscal year 2024.
Information on Federal Program: Texas Department of Emergency Management Disaster Grants – Public Assistance (Presidentially Declared Disasters) Criteria or Specific Requirement: 2 CFR 200.303 of the Uniform Guidance requires that non-Federal entities receiving Federal awards establish and maintain internal control over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal awards in compliance with Federal statutes, regulations, and the terms and conditions of the Federal awards. Condition: For the $6,525,090 expenditures recorded in the year ended September 30, 2023, of which $174,257 related to the year ended September 30, 2022. Questioned Cost: There are no questioned costs related to this finding. Context: In the testing of total incurred expenditures of $6,525,090 for the year ended September 30, 2023, expenditure of $174,257 should be included in the schedule of expenditures of federal awards for the year ended September 30, 2022. Effect: The failure to maintain the complete schedule of expenditures of federal awards may result in an inaccurate submission to the grantor which can lead to noncompliance with laws and regulations. Cause: The Park Board failed to maintain the complete schedule of expenditures of federal awards. Recommendation: We recommend that the Park Board maintain the complete schedule of expenditures of federal awards. Management Response: We agree with the finding. The procedure of maintaining the complete schedule of expenditures of federal awards will be implemented in fiscal year 2024.