Finding Reference 2023-003
Federal Agency: U.S. Department of Treasury
Pass-Through Agency: Puerto Rico Fiscal Agency and Financial Advisory Authority
Program: Coronavirus State and Local Fiscal Recovery Funds (Assistance Listing No. 21.027)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition During the fiscal year, the Municipality administered funds from the Coronavirus State and Local Fiscal Recovery Funds. This allocation was granted directly from the Federal government and through the Puerto Rico Fiscal Agency and Financial Advisory Authority, respectively. In our Reporting Test, we found that the Municipality did not comply with the monthly compliance reporting requirements established by the Puerto Rico Fiscal Agency and Financial Advisory Authority.
Criteria The Municipal Strengthening Fund Transfer Agreement, Clause 5.1, states that the transferee shall submit reports as the transferor determines are needed to verify use of the funds and compliance with conditions that are imposed on the Transfer Agreement, and such reports shall be in such form, with such content, as specified by the transferor in the transfer plan and future program instructions directed to all recipients.
The Transfer Plan, on Exhibit A, establishes that starting on the 15th day of the month following receipt of the funds, and by the 15th day of each month, the Transferee will submit a Use of Funds Report for the prior month’s expenses. Also, on the Municipal Strengthening Fund Program Guidelines, the Puerto Rico Fiscal Agency and Financial Advisory Authority specified on the Reporting Requirements Section that the recipients are required to submit monthly financial reports using the reporting template provided by the program.
Cause of Condition The Municipality does not have the necessary personnel assigned to prepare and present reports in a timely manner.
Effect of Condition The program is not in compliance with the reporting requirements as established in the transfer agreement.
Recommendation We recommend training for the authorized personnel who administer the program, to better understand the reporting requirements and prepare timely reports. The Municipality should establish a monitoring system to ensure compliance with requirements established by the passthrough agency such as: submitting the reports during the 15th day of each month, where the fund expenses of the previous month will be reported as incurred. This will ensure better control of the program. Questioned Cost None
Prior Year Finding No
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The personnel in charge of completing the reports understand the reporting requirements. The report that was submitted with the longest delay was due to the fact that we were dealing with Hurricane Fiona and subsequent rain events. We will be reinforcing the accounting area to assign additional personnel who can collaborate in the preparation of these reports within the stipulated time.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-004
Federal Agency: U.S. Department of Housing and Urban Development
Pass-Through Agency: P.R. Department of Housing
Program: Community Development Block Grant/State’s Program and Non-Entitlement Grants in Hawaii (Assistance Listing No. 14.228)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition In our reporting test, we found that the Municipality did not submit the corresponding reports for the fiscal year ended on June 30, 2023.
Criteria Based on the CDBG agreements, the Municipality must submit to the Department of Housing reports on records, collections, and disbursements of Program Income on an annual and quarterly basis. Including the progress of the projects developed with the CDBG program. In addition, the Municipality will submit all the reports required by the Agency. Failure to comply with this provision will be just cause for the Department to stop the fund requisition process.
§ 200.332 Requirements for pass-through entities. (1) All requirements imposed by the pass-through entity on the subrecipient so that the Federal award is used in accordance with Federal statutes, regulations and the terms and conditions of the Federal award. (2) Any additional requirements that the pass-through entity imposes on the subrecipient in order for the pass-through entity to meet its own responsibility to the Federal awarding agency including identification of any required financial and performance reports.
Cause of Condition The Municipality does not have the necessary personnel assigned to prepare and present reports in a timely manner.
Effect of Condition The program is not in compliance with the reporting requirements as established in the contract agreement.
Recommendation We recommend that the Municipality maintain constant monitoring to improve program controls. The reports must be presented as established in the agreement and guidelines of the Department of Housing. This will ensure compliance with the reporting requirements under the Community Development Block Grants/State’s Program and Non-entitlement Grant in Hawaii agreement.
Questioned Cost None
Prior Year Finding No Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The Municipality appointed a person to work on all the required reports.
Implementation Date: August 31, 2024
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-004
Federal Agency: U.S. Department of Housing and Urban Development
Pass-Through Agency: P.R. Department of Housing
Program: Community Development Block Grant/State’s Program and Non-Entitlement Grants in Hawaii (Assistance Listing No. 14.228)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition In our reporting test, we found that the Municipality did not submit the corresponding reports for the fiscal year ended on June 30, 2023.
Criteria Based on the CDBG agreements, the Municipality must submit to the Department of Housing reports on records, collections, and disbursements of Program Income on an annual and quarterly basis. Including the progress of the projects developed with the CDBG program. In addition, the Municipality will submit all the reports required by the Agency. Failure to comply with this provision will be just cause for the Department to stop the fund requisition process.
§ 200.332 Requirements for pass-through entities. (1) All requirements imposed by the pass-through entity on the subrecipient so that the Federal award is used in accordance with Federal statutes, regulations and the terms and conditions of the Federal award. (2) Any additional requirements that the pass-through entity imposes on the subrecipient in order for the pass-through entity to meet its own responsibility to the Federal awarding agency including identification of any required financial and performance reports.
Cause of Condition The Municipality does not have the necessary personnel assigned to prepare and present reports in a timely manner.
Effect of Condition The program is not in compliance with the reporting requirements as established in the contract agreement.
Recommendation We recommend that the Municipality maintain constant monitoring to improve program controls. The reports must be presented as established in the agreement and guidelines of the Department of Housing. This will ensure compliance with the reporting requirements under the Community Development Block Grants/State’s Program and Non-entitlement Grant in Hawaii agreement.
Questioned Cost None
Prior Year Finding No Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The Municipality appointed a person to work on all the required reports.
Implementation Date: August 31, 2024
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-005
Federal Agency: U.S. Department of Homeland Security
Pass-Through Agency: Central Office of Recovery, Reconstruction and Resiliency of Puerto Rico (COR3)
Program: Disaster Grants – Public Assistance (Presidentially Declared Disaster) (ALN 97.036)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition In our Reporting Test, we evaluated the Quarterly Progress Reports of a total of nine (9) projects for two quarters of fiscal year 2022-2023. During our audit procedures, we noted that the reports did not agree with the accounting and project records.
Criteria 2 CFR 200.302 (a) stated that the state’s and the other non-Federal entity’s financial management system, including records documenting compliance with Federal statutes, regulations, and the terms and conditions of the Federal award, must be sufficient to permit the preparation of reports required by general and program-specific terms and conditions; and the tracing of funds to a level of expenditures adequate to establish that such funds have been used according to the Federal statutes, regulations, and the terms and conditions of the Federal award.
Also, 2 CFR 200.302 (b) (2) states that the financial management system of each non-Federal entity must provide accurate, current, and complete disclosure of the financial results of each Federal award or program in accordance with the reporting requirements set forth in §§ 200.328 and 200.329.
Cause of Condition The Municipality accounting controls and procedures fail to ensure accurate, current and complete disclosure of the financial results of federal assisted activities.
Effect of Condition The expenses reported in the Quarterly Progress Reports do not agree with the accounting records.
Recommendation We recommend that Program Administrators to reconcile the differences between the quarterly report and the accounting records before the submission of the next submission to the pass-through entity.
Questioned Cost None
Prior Year Finding No Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. Quarterly Progress Reports for large projects will be prospectively adjusted to reflect expenditures incurred over the reporting period
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-003
Federal Agency: U.S. Department of Treasury
Pass-Through Agency: Puerto Rico Fiscal Agency and Financial Advisory Authority
Program: Coronavirus State and Local Fiscal Recovery Funds (Assistance Listing No. 21.027)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition During the fiscal year, the Municipality administered funds from the Coronavirus State and Local Fiscal Recovery Funds. This allocation was granted directly from the Federal government and through the Puerto Rico Fiscal Agency and Financial Advisory Authority, respectively. In our Reporting Test, we found that the Municipality did not comply with the monthly compliance reporting requirements established by the Puerto Rico Fiscal Agency and Financial Advisory Authority.
Criteria The Municipal Strengthening Fund Transfer Agreement, Clause 5.1, states that the transferee shall submit reports as the transferor determines are needed to verify use of the funds and compliance with conditions that are imposed on the Transfer Agreement, and such reports shall be in such form, with such content, as specified by the transferor in the transfer plan and future program instructions directed to all recipients.
The Transfer Plan, on Exhibit A, establishes that starting on the 15th day of the month following receipt of the funds, and by the 15th day of each month, the Transferee will submit a Use of Funds Report for the prior month’s expenses. Also, on the Municipal Strengthening Fund Program Guidelines, the Puerto Rico Fiscal Agency and Financial Advisory Authority specified on the Reporting Requirements Section that the recipients are required to submit monthly financial reports using the reporting template provided by the program.
Cause of Condition The Municipality does not have the necessary personnel assigned to prepare and present reports in a timely manner.
Effect of Condition The program is not in compliance with the reporting requirements as established in the transfer agreement.
Recommendation We recommend training for the authorized personnel who administer the program, to better understand the reporting requirements and prepare timely reports. The Municipality should establish a monitoring system to ensure compliance with requirements established by the passthrough agency such as: submitting the reports during the 15th day of each month, where the fund expenses of the previous month will be reported as incurred. This will ensure better control of the program. Questioned Cost None
Prior Year Finding No
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The personnel in charge of completing the reports understand the reporting requirements. The report that was submitted with the longest delay was due to the fact that we were dealing with Hurricane Fiona and subsequent rain events. We will be reinforcing the accounting area to assign additional personnel who can collaborate in the preparation of these reports within the stipulated time.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-004
Federal Agency: U.S. Department of Housing and Urban Development
Pass-Through Agency: P.R. Department of Housing
Program: Community Development Block Grant/State’s Program and Non-Entitlement Grants in Hawaii (Assistance Listing No. 14.228)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition In our reporting test, we found that the Municipality did not submit the corresponding reports for the fiscal year ended on June 30, 2023.
Criteria Based on the CDBG agreements, the Municipality must submit to the Department of Housing reports on records, collections, and disbursements of Program Income on an annual and quarterly basis. Including the progress of the projects developed with the CDBG program. In addition, the Municipality will submit all the reports required by the Agency. Failure to comply with this provision will be just cause for the Department to stop the fund requisition process.
§ 200.332 Requirements for pass-through entities. (1) All requirements imposed by the pass-through entity on the subrecipient so that the Federal award is used in accordance with Federal statutes, regulations and the terms and conditions of the Federal award. (2) Any additional requirements that the pass-through entity imposes on the subrecipient in order for the pass-through entity to meet its own responsibility to the Federal awarding agency including identification of any required financial and performance reports.
Cause of Condition The Municipality does not have the necessary personnel assigned to prepare and present reports in a timely manner.
Effect of Condition The program is not in compliance with the reporting requirements as established in the contract agreement.
Recommendation We recommend that the Municipality maintain constant monitoring to improve program controls. The reports must be presented as established in the agreement and guidelines of the Department of Housing. This will ensure compliance with the reporting requirements under the Community Development Block Grants/State’s Program and Non-entitlement Grant in Hawaii agreement.
Questioned Cost None
Prior Year Finding No Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The Municipality appointed a person to work on all the required reports.
Implementation Date: August 31, 2024
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-004
Federal Agency: U.S. Department of Housing and Urban Development
Pass-Through Agency: P.R. Department of Housing
Program: Community Development Block Grant/State’s Program and Non-Entitlement Grants in Hawaii (Assistance Listing No. 14.228)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency (SD), Instance of Noncompliance (NC)
Statement of Condition In our reporting test, we found that the Municipality did not submit the corresponding reports for the fiscal year ended on June 30, 2023.
Criteria Based on the CDBG agreements, the Municipality must submit to the Department of Housing reports on records, collections, and disbursements of Program Income on an annual and quarterly basis. Including the progress of the projects developed with the CDBG program. In addition, the Municipality will submit all the reports required by the Agency. Failure to comply with this provision will be just cause for the Department to stop the fund requisition process.
§ 200.332 Requirements for pass-through entities. (1) All requirements imposed by the pass-through entity on the subrecipient so that the Federal award is used in accordance with Federal statutes, regulations and the terms and conditions of the Federal award. (2) Any additional requirements that the pass-through entity imposes on the subrecipient in order for the pass-through entity to meet its own responsibility to the Federal awarding agency including identification of any required financial and performance reports.
Cause of Condition The Municipality does not have the necessary personnel assigned to prepare and present reports in a timely manner.
Effect of Condition The program is not in compliance with the reporting requirements as established in the contract agreement.
Recommendation We recommend that the Municipality maintain constant monitoring to improve program controls. The reports must be presented as established in the agreement and guidelines of the Department of Housing. This will ensure compliance with the reporting requirements under the Community Development Block Grants/State’s Program and Non-entitlement Grant in Hawaii agreement.
Questioned Cost None
Prior Year Finding No Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The Municipality appointed a person to work on all the required reports.
Implementation Date: August 31, 2024
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-005
Federal Agency: U.S. Department of Homeland Security
Pass-Through Agency: Central Office of Recovery, Reconstruction and Resiliency of Puerto Rico (COR3)
Program: Disaster Grants – Public Assistance (Presidentially Declared Disaster) (ALN 97.036)
Compliance Requirement: Reporting (L)
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition In our Reporting Test, we evaluated the Quarterly Progress Reports of a total of nine (9) projects for two quarters of fiscal year 2022-2023. During our audit procedures, we noted that the reports did not agree with the accounting and project records.
Criteria 2 CFR 200.302 (a) stated that the state’s and the other non-Federal entity’s financial management system, including records documenting compliance with Federal statutes, regulations, and the terms and conditions of the Federal award, must be sufficient to permit the preparation of reports required by general and program-specific terms and conditions; and the tracing of funds to a level of expenditures adequate to establish that such funds have been used according to the Federal statutes, regulations, and the terms and conditions of the Federal award.
Also, 2 CFR 200.302 (b) (2) states that the financial management system of each non-Federal entity must provide accurate, current, and complete disclosure of the financial results of each Federal award or program in accordance with the reporting requirements set forth in §§ 200.328 and 200.329.
Cause of Condition The Municipality accounting controls and procedures fail to ensure accurate, current and complete disclosure of the financial results of federal assisted activities.
Effect of Condition The expenses reported in the Quarterly Progress Reports do not agree with the accounting records.
Recommendation We recommend that Program Administrators to reconcile the differences between the quarterly report and the accounting records before the submission of the next submission to the pass-through entity.
Questioned Cost None
Prior Year Finding No Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. Quarterly Progress Reports for large projects will be prospectively adjusted to reflect expenditures incurred over the reporting period
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director
Finding Reference 2023-006
Federal Agency and Program: All Federal Programs Identified in the Schedule of Expenditures of Federal Awards
Compliance Requirement: Single Audit Act
Type of Finding: Significant Deficiency in Internal Controls (SD), Instance of Noncompliance (NC)
Statement of Condition The Single Audit Report for the fiscal year ended June 30, 2023 was not issued within nine (9) months after the end of the audit period. The Data Collection Form and the reporting package were not submitted on a timely basis.
Criteria The Single Audit Act, as amended, requires that the audit report must be submitted to the Federal Audit Clearinghouse no later than nine (9) months after the end of the audit period.
Cause of Condition The Municipality did not comply with the established regulation as prescribed by the Office of Management and Budget (OMB) CFR Part 200.
Effect of Condition The Municipality could lose federal grants due to the noncompliance with the Single Audit Act requirements.
Recommendation Procedures should be implemented to ensure that the Agency complies with the established Federal Regulation, as prescribed by OMB CFR Part 200.
Questioned Cost None
Prior Year Finding Yes. This finding is similar to prior-year finding 2022-003.
Views of Responsible
Officials and Planned
Corrective Action We concur with the finding. The preparation of the financial statements for the fiscal year ending June 30, 2024 has begun. In addition, the progress of the audit will be continuously monitored with the external auditors hired by the Municipality to ensure that they are issued on or before March 30, 2025.
Implementation Date: March 31, 2025
Responsible Person: Belinda Álvarez
Finance Director