FAC Explorer

Audit 323890

FY End
2024-04-30
Total Expended
$19.25M
Findings
4
Programs
2
Organization: Port Authority of Kansas City, Missouri (MO)
Year: 2024 Accepted: 2024-10-04
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
501803 2024-002 Material Weakness - I
501804 2024-002 Material Weakness - I
1078245 2024-002 Material Weakness - I
1078246 2024-002 Material Weakness - I

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $400,000 Yes 1
20.823 Port Infrastructure Development Program (b) $186,948 - 0

Contacts

Name Title Type
JSEKGHB5EPD3 Joseph Lohman Auditee
8165593724 Douglas P. Host Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 REPORTING ENTITY Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024. Port Authority of Kansas City, Missouri (Port KC) is the recipient of several federal awards. All federal awards received directly from federal agencies as well as those awards that are passed through other government agencies, are included on the schedule of expenditures of federal awards (the Schedule). Port KC’s reporting entity is defined in Note 1 to the financial statements.
Title: NOTE 2 BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024. The accompanying schedule of expenditures of federal awards includes the federal award activity of Port KC under programs of the federal government for the year ended April 30, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) from the Office of Management and Budget (OMB). Because the Schedule presents only a selected portion of the operations of Port KC, it is not intended to and does not present the financial position, changes in net position, or cash flows of Port KC.
Title: NOTE 3 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement.
Title: NOTE 4 LOCAL GOVERNMENT CONTRIBUTIONS Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024. Local cost sharing, as defined by the Uniform Guidance may be required by certain federal grants. The amount of cost sharing varies with each program. Only the federal share of expenditures is presented in the Schedule.
Title: NOTE 5 ADDITIONAL AUDITS Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024. Grantor agencies reserve the right to conduct additional audits of Port KC’s grant programs for economy and efficiency and program results that may result in disallowed costs to Port KC. However, management does not believe such audits would result in any disallowed costs that would be material to Port KC’s financial position at April 30, 2024.
Title: NOTE 6 INDIRECT COSTS Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024. Indirect costs were not charged to any of Port KC’s federal programs during the year ending April 30, 2024.

Finding Details

Finding 2024-002
Documentation of Procurement, Suspension, and Debarment Federal Agency: U.S. Department of Treasury Federal Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Missouri Department of Economic Development Federal Award Identification and Pass-Through Numbers: DED35539009 Award Period: Year Ended April 30, 2024 Compliance Requirement: Suspension and Debarment Type of Finding: Material Weakness in Internal Control over Compliance and Other Matter Criteria or Specific Requirement: The Uniform Guidance requires that Port KC maintains supporting documentation to demonstrate the procedures performed that ensures it is not entering into agreements with vendors, paid with federal funds, that are suspended or debarred. Condition and Context: During our testing, we were not presented with supporting documentation for 1 out of 1 transaction tested demonstrating Port KC performed the search of the suspended and debarred entities prior to paying the vendor. Based on a review of the SAM.gov website, the vendor was not suspended or debarred. The sample size was based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Questioned Costs: None noted. Cause: Oversight of the requirement by management. Effect: Improper vendors could be used for services. Repeat Finding: No. Recommendation: We recommend Port KC implement procedures and retain documentation related to the applicable suspension and debarment requirements to ensure compliance. Views of responsible officials: There is no disagreement with the audit finding. Procedures will be put in place to implement a policy of maintaining documentation related to suspension and debarment checks.
Finding 2024-002
Documentation of Procurement, Suspension, and Debarment Federal Agency: U.S. Department of Treasury Federal Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Missouri Department of Economic Development Federal Award Identification and Pass-Through Numbers: DED35539009 Award Period: Year Ended April 30, 2024 Compliance Requirement: Suspension and Debarment Type of Finding: Material Weakness in Internal Control over Compliance and Other Matter Criteria or Specific Requirement: The Uniform Guidance requires that Port KC maintains supporting documentation to demonstrate the procedures performed that ensures it is not entering into agreements with vendors, paid with federal funds, that are suspended or debarred. Condition and Context: During our testing, we were not presented with supporting documentation for 1 out of 1 transaction tested demonstrating Port KC performed the search of the suspended and debarred entities prior to paying the vendor. Based on a review of the SAM.gov website, the vendor was not suspended or debarred. The sample size was based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Questioned Costs: None noted. Cause: Oversight of the requirement by management. Effect: Improper vendors could be used for services. Repeat Finding: No. Recommendation: We recommend Port KC implement procedures and retain documentation related to the applicable suspension and debarment requirements to ensure compliance. Views of responsible officials: There is no disagreement with the audit finding. Procedures will be put in place to implement a policy of maintaining documentation related to suspension and debarment checks.
Finding 2024-002
Documentation of Procurement, Suspension, and Debarment Federal Agency: U.S. Department of Treasury Federal Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Missouri Department of Economic Development Federal Award Identification and Pass-Through Numbers: DED35539009 Award Period: Year Ended April 30, 2024 Compliance Requirement: Suspension and Debarment Type of Finding: Material Weakness in Internal Control over Compliance and Other Matter Criteria or Specific Requirement: The Uniform Guidance requires that Port KC maintains supporting documentation to demonstrate the procedures performed that ensures it is not entering into agreements with vendors, paid with federal funds, that are suspended or debarred. Condition and Context: During our testing, we were not presented with supporting documentation for 1 out of 1 transaction tested demonstrating Port KC performed the search of the suspended and debarred entities prior to paying the vendor. Based on a review of the SAM.gov website, the vendor was not suspended or debarred. The sample size was based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Questioned Costs: None noted. Cause: Oversight of the requirement by management. Effect: Improper vendors could be used for services. Repeat Finding: No. Recommendation: We recommend Port KC implement procedures and retain documentation related to the applicable suspension and debarment requirements to ensure compliance. Views of responsible officials: There is no disagreement with the audit finding. Procedures will be put in place to implement a policy of maintaining documentation related to suspension and debarment checks.
Finding 2024-002
Documentation of Procurement, Suspension, and Debarment Federal Agency: U.S. Department of Treasury Federal Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: Missouri Department of Economic Development Federal Award Identification and Pass-Through Numbers: DED35539009 Award Period: Year Ended April 30, 2024 Compliance Requirement: Suspension and Debarment Type of Finding: Material Weakness in Internal Control over Compliance and Other Matter Criteria or Specific Requirement: The Uniform Guidance requires that Port KC maintains supporting documentation to demonstrate the procedures performed that ensures it is not entering into agreements with vendors, paid with federal funds, that are suspended or debarred. Condition and Context: During our testing, we were not presented with supporting documentation for 1 out of 1 transaction tested demonstrating Port KC performed the search of the suspended and debarred entities prior to paying the vendor. Based on a review of the SAM.gov website, the vendor was not suspended or debarred. The sample size was based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Questioned Costs: None noted. Cause: Oversight of the requirement by management. Effect: Improper vendors could be used for services. Repeat Finding: No. Recommendation: We recommend Port KC implement procedures and retain documentation related to the applicable suspension and debarment requirements to ensure compliance. Views of responsible officials: There is no disagreement with the audit finding. Procedures will be put in place to implement a policy of maintaining documentation related to suspension and debarment checks.