Federal Grantor: All Programs
Pass-through Grantor: All Programs
Federal Assistance Listing No.: All Programs
Program Title: All Programs Criteria: Title 2 U.S. Code of Federal Regulations Part 200.510(b) requires auditees to prepare a schedule of expenditures of federal awards which must report total federal awards expended during the audit period. At a minimum, the schedule must include: expenditures by individual program, program title and assistance listing number, programs required to be identified as part of a cluster, name of the pass-through entity and identifying number assigned by the pass-through entity for awards not received directly from the federal government, and the total amount provided to subrecipients from each federal program. Condition: The schedule of expenditures of federal awards (SEFA) reported by the County in the annual budget documents contained errors in amounts of federal expenditures reported. Additionally, the schedule did not include the identification of programs required to be part of a cluster, names of pass-through entities, identifying numbers assigned by the pass-through entities, or total amounts provided to subrecipients for the applicable programs. Discrepancies in amounts reported on the SEFA and amounts supported by underlying accounting records are summarized as follows: Furthermore, the SEFA prepared by the County does not indicate the amount of awards passed through to subrecipients. The County reported total expenditures of $200,942 under assistance listing number 10.665 - Schools and Roads - Grants to States. Of this total, $86,218 of this amount was expended under assistance listing number 15.226 - Payments in Lieu of Taxes and $61,035 was not expended at all during the fiscal year. The County also failed to report total funds remitted to local school districts. Additionally, the County failed to identify the Forest Service Schools and Roads Cluster on the SEFA. $46,246 of funds expended under this program was disbursed to schools, however, these awards to subrecipients were not reported on the SEFA. The County omitted funds of $60,279 expended under assistance listing number 15.438 - National Forest Acquired Lands, including $45,209 of funds remitted to local schools under the same program. The County inaccurately reported expenditures of $5,109,146 of assistance listing number 21.027 - COVID-19 Coronavirus State and Local Fiscal Recovery Funds. Underlying accounting records support actual expenditures of $3,231,069. The County inaccurately reported expenditures of $152,009 of assistance listing number 97.036 - Disaster Grants - Public Assistance funds. This balance reported represents reimbursements received for funds expended in previous years. The County incurred no expenditures under this grant program in the current year. Cause: The County has not implemented a proper system of internal control over SEFA preparation, such as a reconciliation to underlying accounting records or having a separate individual review the SEFA for clerical accuracy after it has been prepared. Reasons for discrepancies varied. Effect: The SEFA presented for the audit did not accurately reflect the County's actual expenditures of federal awards for the year ended December 31, 2022. Recommendation: We recommend that the County implement internal controls to ensure that the SEFA completely and accurately states the expenditures of federal awards of the County each year, such as performing a reconciliation between the SEFA and underlying accounting records. Federal reimbursement grants should be reported on the SEFA based on reimbursable expenditures made during the year. Management's Response: Pulaski County will review the recommendations as presented and work to adjust internal controls to prepare SEFA information in accordance with the recommendations of the auditor.
Federal Grantor: U.S. Department of Treasury
Pass-through Grantor: n/a
Federal Assistance Listing No.: 21.027
Program Title: COVID-19 Coronavirus State and Local Fiscal Recovery Funds
Award Year: 2022
Compliance Requirement: Reporting
Known Questioned Costs: n/a Criteria: Title 2 U.S. Code of Federal Regulations Part 200 requires recipients of Federal awards to comply with laws, regulations, and provisions of contract or grant agreements related to each of its Federal programs. Participants in the COVID-19 Coronavirus State and Local Fiscal Recovery Funds program were required to complete financial, performance, and compliance reporting as outlined in Part 2 of the SLFRF Compliance and Reporting Guide, issued by the U.S. Department of the Treasury. The County was required to appropriately maintain accounting records for compiling and reporting accurate, compliant financial data, in accordance with appropriate accounting standards and principles. Condition: The County elected to obligate funds for the provision of government services in accordance with the $10 million standard allowance exemption as outlined in the 2022 Final Rule guidance; the standard allowance provision allows a recipient to reimburse itself for eligible past expenditures incurred on or after March 3, 2021 through the date of the standard allowance election. COVID-19 Coronavirus State and Local Fiscal Recovery Funds are considered obligated and expended on the date that the Commission authorizes the expenditures and cash is disbursed for the authorized use. Accordingly, the County elected to spend $1,328,061 of salaries, wages, and payroll taxes as an incentive to those who remained employed by the County during the pandemic. This expenditure was not included in the total expenditures reported in the Project and Expenditure Report due for the 4th quarter of 2022. Cause: Oversight. Effect: The Project and Expenditure Report due by January 31, 2023, which covered the period of October 1, 2022 - December 31, 2022, was submitted with inaccurate expenditures. Total cumulative expenditures reported under the County's revenue replacement category for the covered period totaled $1,951,638, however, the County's underlying accounting records supported total cumulative expenditures for the covered period of $3,231,069. Recommendation: We recommend that the County implement internal controls to ensure that the Project and Expenditure reports completely and accurately state the cumulative expenditures and current period expenditures of funds expended under the COVID-19 Coronavirus State and Local Fiscal Recovery Funds including performing a reconciliation between the reporting to be submitted and the underlying accounting records. Additionally, the County should include the omitted expenditures in the next Project and Expenditure Report submission using the procedures reflected in the U.S. Department of Treasury Project and Expenditure Report Guide, as applicable to the covered period being submitted. Management's Response: Pulaski County will review the condition and work to adjust internal controls to insure proper reporting is completed as defined in the recommendation.
Federal Grantor: All Programs
Pass-through Grantor: All Programs
Federal Assistance Listing No.: All Programs
Program Title: All Programs Criteria: Title 2 U.S. Code of Federal Regulations Part 200.510(b) requires auditees to prepare a schedule of expenditures of federal awards which must report total federal awards expended during the audit period. At a minimum, the schedule must include: expenditures by individual program, program title and assistance listing number, programs required to be identified as part of a cluster, name of the pass-through entity and identifying number assigned by the pass-through entity for awards not received directly from the federal government, and the total amount provided to subrecipients from each federal program. Condition: The schedule of expenditures of federal awards (SEFA) reported by the County in the annual budget documents contained errors in amounts of federal expenditures reported. Additionally, the schedule did not include the identification of programs required to be part of a cluster, names of pass-through entities, identifying numbers assigned by the pass-through entities, or total amounts provided to subrecipients for the applicable programs. Discrepancies in amounts reported on the SEFA and amounts supported by underlying accounting records are summarized as follows: Furthermore, the SEFA prepared by the County does not indicate the amount of awards passed through to subrecipients. The County reported total expenditures of $200,942 under assistance listing number 10.665 - Schools and Roads - Grants to States. Of this total, $86,218 of this amount was expended under assistance listing number 15.226 - Payments in Lieu of Taxes and $61,035 was not expended at all during the fiscal year. The County also failed to report total funds remitted to local school districts. Additionally, the County failed to identify the Forest Service Schools and Roads Cluster on the SEFA. $46,246 of funds expended under this program was disbursed to schools, however, these awards to subrecipients were not reported on the SEFA. The County omitted funds of $60,279 expended under assistance listing number 15.438 - National Forest Acquired Lands, including $45,209 of funds remitted to local schools under the same program. The County inaccurately reported expenditures of $5,109,146 of assistance listing number 21.027 - COVID-19 Coronavirus State and Local Fiscal Recovery Funds. Underlying accounting records support actual expenditures of $3,231,069. The County inaccurately reported expenditures of $152,009 of assistance listing number 97.036 - Disaster Grants - Public Assistance funds. This balance reported represents reimbursements received for funds expended in previous years. The County incurred no expenditures under this grant program in the current year. Cause: The County has not implemented a proper system of internal control over SEFA preparation, such as a reconciliation to underlying accounting records or having a separate individual review the SEFA for clerical accuracy after it has been prepared. Reasons for discrepancies varied. Effect: The SEFA presented for the audit did not accurately reflect the County's actual expenditures of federal awards for the year ended December 31, 2022. Recommendation: We recommend that the County implement internal controls to ensure that the SEFA completely and accurately states the expenditures of federal awards of the County each year, such as performing a reconciliation between the SEFA and underlying accounting records. Federal reimbursement grants should be reported on the SEFA based on reimbursable expenditures made during the year. Management's Response: Pulaski County will review the recommendations as presented and work to adjust internal controls to prepare SEFA information in accordance with the recommendations of the auditor.
Federal Grantor: U.S. Department of Treasury
Pass-through Grantor: n/a
Federal Assistance Listing No.: 21.027
Program Title: COVID-19 Coronavirus State and Local Fiscal Recovery Funds
Award Year: 2022
Compliance Requirement: Reporting
Known Questioned Costs: n/a Criteria: Title 2 U.S. Code of Federal Regulations Part 200 requires recipients of Federal awards to comply with laws, regulations, and provisions of contract or grant agreements related to each of its Federal programs. Participants in the COVID-19 Coronavirus State and Local Fiscal Recovery Funds program were required to complete financial, performance, and compliance reporting as outlined in Part 2 of the SLFRF Compliance and Reporting Guide, issued by the U.S. Department of the Treasury. The County was required to appropriately maintain accounting records for compiling and reporting accurate, compliant financial data, in accordance with appropriate accounting standards and principles. Condition: The County elected to obligate funds for the provision of government services in accordance with the $10 million standard allowance exemption as outlined in the 2022 Final Rule guidance; the standard allowance provision allows a recipient to reimburse itself for eligible past expenditures incurred on or after March 3, 2021 through the date of the standard allowance election. COVID-19 Coronavirus State and Local Fiscal Recovery Funds are considered obligated and expended on the date that the Commission authorizes the expenditures and cash is disbursed for the authorized use. Accordingly, the County elected to spend $1,328,061 of salaries, wages, and payroll taxes as an incentive to those who remained employed by the County during the pandemic. This expenditure was not included in the total expenditures reported in the Project and Expenditure Report due for the 4th quarter of 2022. Cause: Oversight. Effect: The Project and Expenditure Report due by January 31, 2023, which covered the period of October 1, 2022 - December 31, 2022, was submitted with inaccurate expenditures. Total cumulative expenditures reported under the County's revenue replacement category for the covered period totaled $1,951,638, however, the County's underlying accounting records supported total cumulative expenditures for the covered period of $3,231,069. Recommendation: We recommend that the County implement internal controls to ensure that the Project and Expenditure reports completely and accurately state the cumulative expenditures and current period expenditures of funds expended under the COVID-19 Coronavirus State and Local Fiscal Recovery Funds including performing a reconciliation between the reporting to be submitted and the underlying accounting records. Additionally, the County should include the omitted expenditures in the next Project and Expenditure Report submission using the procedures reflected in the U.S. Department of Treasury Project and Expenditure Report Guide, as applicable to the covered period being submitted. Management's Response: Pulaski County will review the condition and work to adjust internal controls to insure proper reporting is completed as defined in the recommendation.