2023-007 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition – The Community Development Department has grant agreements with its subrecipients that include the Wage Rate Requirements language. However, the contracts between the subrecipients and the contractors were missing from the files, so we were unable to ascertain whether the required language was communicated to the contractors and subcontractors.
Cause – The Community Development Department failed to either obtain or retain a copy of the contract between the subrecipient and the contractor for the grants.
Effect – The City may not be able to ensure that contractors and subcontractors are aware of the Wage Rate Requirements for work performed under the grants.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-008 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – When CDBG funds are used for rehabilitation, the grantee must ensure that the work is properly completed. That responsibility includes verifying that pre-rehabilitation inspections were performed, and that deficiencies detected as part of the pre-rehabilitations were included in the rehabilitation contract. In addition, the grantee must have in place certain internal controls to ensure that disbursements under the rehabilitation projects are approved and contracts have the required signatures.
Condition – The City had one rehabilitation loan file that was missing the pre-rehabilitation inspection. In addition, the City had another rehabilitation loan file that had a contract that was missing the signature of the contractor. There was a third rehabilitation loan file that had a disbursement with a missing approval.
Cause – The Community Development Department experienced turnover in staff. As a result, some of the documentation in the rehabilitation files was incomplete.
Effect – The Community Development Department may not be able to verify that all of the rehabilitation loans are in compliance with the requirements.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – The Community Development Department should ensure that all loan files are complete and that all required documentation has the required specifications, approvals, and signatures.
2023-007 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition – The Community Development Department has grant agreements with its subrecipients that include the Wage Rate Requirements language. However, the contracts between the subrecipients and the contractors were missing from the files, so we were unable to ascertain whether the required language was communicated to the contractors and subcontractors.
Cause – The Community Development Department failed to either obtain or retain a copy of the contract between the subrecipient and the contractor for the grants.
Effect – The City may not be able to ensure that contractors and subcontractors are aware of the Wage Rate Requirements for work performed under the grants.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-008 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – When CDBG funds are used for rehabilitation, the grantee must ensure that the work is properly completed. That responsibility includes verifying that pre-rehabilitation inspections were performed, and that deficiencies detected as part of the pre-rehabilitations were included in the rehabilitation contract. In addition, the grantee must have in place certain internal controls to ensure that disbursements under the rehabilitation projects are approved and contracts have the required signatures.
Condition – The City had one rehabilitation loan file that was missing the pre-rehabilitation inspection. In addition, the City had another rehabilitation loan file that had a contract that was missing the signature of the contractor. There was a third rehabilitation loan file that had a disbursement with a missing approval.
Cause – The Community Development Department experienced turnover in staff. As a result, some of the documentation in the rehabilitation files was incomplete.
Effect – The Community Development Department may not be able to verify that all of the rehabilitation loans are in compliance with the requirements.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – The Community Development Department should ensure that all loan files are complete and that all required documentation has the required specifications, approvals, and signatures.
2023-005 Department of Transportation Assistance Listing #20.106 Airport Improvement Program for the period July 1, 2022 to June 30, 2023
Criteria – The FAA requires the SF-425 reports to be based on the costs already invoiced. In addition, the City should have internal controls and procedures to ensure the reports are filed with the required information.
Condition – The airport submitted a SF-425 report that included additional expenses of $192K that had not been invoiced.
Cause – The grant closeout for AIP #79 was being processed at the same time as the SF-425, which included the additional expenses and the airport included the same expenses in the SF-425.
Effect – The SF-425 that was submitted for AIP #79 during FY 23 was not in agreement with the reporting requirements of the FAA.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – Airport management should review the SF-425’s to ensure that they only include expenses that have been invoiced by the date of the report.
2023-005 Department of Transportation Assistance Listing #20.106 Airport Improvement Program for the period July 1, 2022 to June 30, 2023
Criteria – The FAA requires the SF-425 reports to be based on the costs already invoiced. In addition, the City should have internal controls and procedures to ensure the reports are filed with the required information.
Condition – The airport submitted a SF-425 report that included additional expenses of $192K that had not been invoiced.
Cause – The grant closeout for AIP #79 was being processed at the same time as the SF-425, which included the additional expenses and the airport included the same expenses in the SF-425.
Effect – The SF-425 that was submitted for AIP #79 during FY 23 was not in agreement with the reporting requirements of the FAA.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – Airport management should review the SF-425’s to ensure that they only include expenses that have been invoiced by the date of the report.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-002 SAMHSA Assistance Listing #93.788 Opioid STR for the period July 1, 2022 to June 30, 2023
Criteria – The grant agreement for Opioid STR requires the City to file monthly financial reports with the State within a certain specified period of time and to accurately reflect amounts expended under the agreement. In addition, the City is required to establish internal controls and procedures to ensure compliance with requirements.
Condition - The January 2023, March 2023, April 2023, May 2023, and June 2023 reports were not filed by the required deadlines. In addition, an expenditure dated September 1, 2022 was reported on the August 2022 report.
Cause - Reports were filed more than fifteen days after the month end, which was outside of the required deadline.
Effect - Lack of timely reporting could result in delays or reductions of future funding.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations - The City should implement a review process to ensure that reports are filed with accurate expenditure information. In addition, the City should use a reminder system for report deadlines to ensure they are filed by the required deadlines.
2023-002 SAMHSA Assistance Listing #93.788 Opioid STR for the period July 1, 2022 to June 30, 2023
Criteria – The grant agreement for Opioid STR requires the City to file monthly financial reports with the State within a certain specified period of time and to accurately reflect amounts expended under the agreement. In addition, the City is required to establish internal controls and procedures to ensure compliance with requirements.
Condition - The January 2023, March 2023, April 2023, May 2023, and June 2023 reports were not filed by the required deadlines. In addition, an expenditure dated September 1, 2022 was reported on the August 2022 report.
Cause - Reports were filed more than fifteen days after the month end, which was outside of the required deadline.
Effect - Lack of timely reporting could result in delays or reductions of future funding.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations - The City should implement a review process to ensure that reports are filed with accurate expenditure information. In addition, the City should use a reminder system for report deadlines to ensure they are filed by the required deadlines.
2023-002 SAMHSA Assistance Listing #93.788 Opioid STR for the period July 1, 2022 to June 30, 2023
Criteria – The grant agreement for Opioid STR requires the City to file monthly financial reports with the State within a certain specified period of time and to accurately reflect amounts expended under the agreement. In addition, the City is required to establish internal controls and procedures to ensure compliance with requirements.
Condition - The January 2023, March 2023, April 2023, May 2023, and June 2023 reports were not filed by the required deadlines. In addition, an expenditure dated September 1, 2022 was reported on the August 2022 report.
Cause - Reports were filed more than fifteen days after the month end, which was outside of the required deadline.
Effect - Lack of timely reporting could result in delays or reductions of future funding.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations - The City should implement a review process to ensure that reports are filed with accurate expenditure information. In addition, the City should use a reminder system for report deadlines to ensure they are filed by the required deadlines.
2023-007 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition – The Community Development Department has grant agreements with its subrecipients that include the Wage Rate Requirements language. However, the contracts between the subrecipients and the contractors were missing from the files, so we were unable to ascertain whether the required language was communicated to the contractors and subcontractors.
Cause – The Community Development Department failed to either obtain or retain a copy of the contract between the subrecipient and the contractor for the grants.
Effect – The City may not be able to ensure that contractors and subcontractors are aware of the Wage Rate Requirements for work performed under the grants.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-008 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – When CDBG funds are used for rehabilitation, the grantee must ensure that the work is properly completed. That responsibility includes verifying that pre-rehabilitation inspections were performed, and that deficiencies detected as part of the pre-rehabilitations were included in the rehabilitation contract. In addition, the grantee must have in place certain internal controls to ensure that disbursements under the rehabilitation projects are approved and contracts have the required signatures.
Condition – The City had one rehabilitation loan file that was missing the pre-rehabilitation inspection. In addition, the City had another rehabilitation loan file that had a contract that was missing the signature of the contractor. There was a third rehabilitation loan file that had a disbursement with a missing approval.
Cause – The Community Development Department experienced turnover in staff. As a result, some of the documentation in the rehabilitation files was incomplete.
Effect – The Community Development Department may not be able to verify that all of the rehabilitation loans are in compliance with the requirements.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – The Community Development Department should ensure that all loan files are complete and that all required documentation has the required specifications, approvals, and signatures.
2023-007 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition – The Community Development Department has grant agreements with its subrecipients that include the Wage Rate Requirements language. However, the contracts between the subrecipients and the contractors were missing from the files, so we were unable to ascertain whether the required language was communicated to the contractors and subcontractors.
Cause – The Community Development Department failed to either obtain or retain a copy of the contract between the subrecipient and the contractor for the grants.
Effect – The City may not be able to ensure that contractors and subcontractors are aware of the Wage Rate Requirements for work performed under the grants.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-008 Housing and Urban Development Assistance Listing #14.218 Community Development Block Grant Entitlement Cluster for the period July 1, 2022 to June 30, 2023
Criteria – When CDBG funds are used for rehabilitation, the grantee must ensure that the work is properly completed. That responsibility includes verifying that pre-rehabilitation inspections were performed, and that deficiencies detected as part of the pre-rehabilitations were included in the rehabilitation contract. In addition, the grantee must have in place certain internal controls to ensure that disbursements under the rehabilitation projects are approved and contracts have the required signatures.
Condition – The City had one rehabilitation loan file that was missing the pre-rehabilitation inspection. In addition, the City had another rehabilitation loan file that had a contract that was missing the signature of the contractor. There was a third rehabilitation loan file that had a disbursement with a missing approval.
Cause – The Community Development Department experienced turnover in staff. As a result, some of the documentation in the rehabilitation files was incomplete.
Effect – The Community Development Department may not be able to verify that all of the rehabilitation loans are in compliance with the requirements.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – The Community Development Department should ensure that all loan files are complete and that all required documentation has the required specifications, approvals, and signatures.
2023-005 Department of Transportation Assistance Listing #20.106 Airport Improvement Program for the period July 1, 2022 to June 30, 2023
Criteria – The FAA requires the SF-425 reports to be based on the costs already invoiced. In addition, the City should have internal controls and procedures to ensure the reports are filed with the required information.
Condition – The airport submitted a SF-425 report that included additional expenses of $192K that had not been invoiced.
Cause – The grant closeout for AIP #79 was being processed at the same time as the SF-425, which included the additional expenses and the airport included the same expenses in the SF-425.
Effect – The SF-425 that was submitted for AIP #79 during FY 23 was not in agreement with the reporting requirements of the FAA.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – Airport management should review the SF-425’s to ensure that they only include expenses that have been invoiced by the date of the report.
2023-005 Department of Transportation Assistance Listing #20.106 Airport Improvement Program for the period July 1, 2022 to June 30, 2023
Criteria – The FAA requires the SF-425 reports to be based on the costs already invoiced. In addition, the City should have internal controls and procedures to ensure the reports are filed with the required information.
Condition – The airport submitted a SF-425 report that included additional expenses of $192K that had not been invoiced.
Cause – The grant closeout for AIP #79 was being processed at the same time as the SF-425, which included the additional expenses and the airport included the same expenses in the SF-425.
Effect – The SF-425 that was submitted for AIP #79 during FY 23 was not in agreement with the reporting requirements of the FAA.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – Airport management should review the SF-425’s to ensure that they only include expenses that have been invoiced by the date of the report.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-006 Department of Transportation Assistance Listing #20.205 Federal Highway Planning and Construction for the period July 1, 2022 to June 30, 2023
Criteria – The Uniform Guidance requires contractors and subcontractors to submit to the nonfederal entity a weekly copy of the payroll and a statement of compliance with Wage Rate Requirements (certified payroll) for each week in which work was performed under the construction contract.
Condition – The City had one project (Broadway Pedestrian Improvements) for which a weekly certified payroll was missing.
Cause – Either the contractor or subcontractor did not submit the required certified payroll or the City did not retain a copy of the certified payroll.
Effect – The City may not be able to perform the required monitoring under Wage Rate Requirements and ensure that contractors and subcontractors are paying their employees the prevailing federal wage rates.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations – City Management should ensure that the contractors and subcontractors are submitting to them the weekly certified payrolls as required.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-004 Department of Education Assistance Listing #84.025D-W Elementary and Secondary School Emergency Relief Funds for the period July 1, 2022 to June 30, 2023
Criteria: The Uniform Guidance requires nonfederal entities to include in their construction contracts subject to Wage Rate Requirements (a.k.a. the Davis Bacon Act) a provision that the contractor or subcontractor comply with those requirements and the DOL regulations.
Condition: The required Wage Rate Requirements language is currently not included in construction contracts.
Cause: The Bangor School Department does not include the Wage Rate Requirement language in the construction contracts, but instead refers in those contracts to separate documents that contain the required language.
Effect: Contractors and subcontractors may potentially not be informed of the Wage Rate Requirements, which may cause the Bangor School Department to be in noncompliance with such requirements.
Known Questioned Costs: None
Likely Questioned Costs: None
Recommendations: Instead of including language in the construction contracts that refers to other documents, the Bangor School Department should instead include the required language directly in the construction contracts.
2023-002 SAMHSA Assistance Listing #93.788 Opioid STR for the period July 1, 2022 to June 30, 2023
Criteria – The grant agreement for Opioid STR requires the City to file monthly financial reports with the State within a certain specified period of time and to accurately reflect amounts expended under the agreement. In addition, the City is required to establish internal controls and procedures to ensure compliance with requirements.
Condition - The January 2023, March 2023, April 2023, May 2023, and June 2023 reports were not filed by the required deadlines. In addition, an expenditure dated September 1, 2022 was reported on the August 2022 report.
Cause - Reports were filed more than fifteen days after the month end, which was outside of the required deadline.
Effect - Lack of timely reporting could result in delays or reductions of future funding.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations - The City should implement a review process to ensure that reports are filed with accurate expenditure information. In addition, the City should use a reminder system for report deadlines to ensure they are filed by the required deadlines.
2023-002 SAMHSA Assistance Listing #93.788 Opioid STR for the period July 1, 2022 to June 30, 2023
Criteria – The grant agreement for Opioid STR requires the City to file monthly financial reports with the State within a certain specified period of time and to accurately reflect amounts expended under the agreement. In addition, the City is required to establish internal controls and procedures to ensure compliance with requirements.
Condition - The January 2023, March 2023, April 2023, May 2023, and June 2023 reports were not filed by the required deadlines. In addition, an expenditure dated September 1, 2022 was reported on the August 2022 report.
Cause - Reports were filed more than fifteen days after the month end, which was outside of the required deadline.
Effect - Lack of timely reporting could result in delays or reductions of future funding.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations - The City should implement a review process to ensure that reports are filed with accurate expenditure information. In addition, the City should use a reminder system for report deadlines to ensure they are filed by the required deadlines.
2023-002 SAMHSA Assistance Listing #93.788 Opioid STR for the period July 1, 2022 to June 30, 2023
Criteria – The grant agreement for Opioid STR requires the City to file monthly financial reports with the State within a certain specified period of time and to accurately reflect amounts expended under the agreement. In addition, the City is required to establish internal controls and procedures to ensure compliance with requirements.
Condition - The January 2023, March 2023, April 2023, May 2023, and June 2023 reports were not filed by the required deadlines. In addition, an expenditure dated September 1, 2022 was reported on the August 2022 report.
Cause - Reports were filed more than fifteen days after the month end, which was outside of the required deadline.
Effect - Lack of timely reporting could result in delays or reductions of future funding.
Known Questioned Costs - None
Likely Questioned Costs - None
Recommendations - The City should implement a review process to ensure that reports are filed with accurate expenditure information. In addition, the City should use a reminder system for report deadlines to ensure they are filed by the required deadlines.