Audit 331400

Condition The Municipality did not submit the audited financial statements under the Financial Assessment Subsystem for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required by federal regulation. Criteria 22 CFR § 5.801 Uniform financial reporting standards, (b) (1) Entities (or individuals) to which this subpart is applicable must provide to HUD such financial information as required by HUD. Such information must be provided on an annual basis, except as required more frequently under paragraph (c)(4) of this section. This information must be: (1) Prepared in accordance with Generally Accepted Accounting Principles as further defined by HUD in supplementary guidance; (2) Submitted electronically to HUD through the internet, or in such other electronic format designated by HUD, or in such non-electronic format as HUD may allow if the burden or cost of electronic reporting is determined by HUD to be excessive; and (3) Submitted in such form and substance as prescribed by HUD. Also, on Section (c) (1) the financial information to be submitted to HUD in accordance with paragraph (b) of this section, must be submitted to HUD annually, no later than 60 days after the end of the fiscal year of the reporting period, and as otherwise provided by law. In addition, on Section (d) (1) states that unaudited financial statements will be required 60 days after the PHA's fiscal year end, and audited financial statements will then be required no later than 9 months after the PHA's fiscal year end, in accordance with the Single Audit Act and 2 CFR Part 200, Subpart F. Effect The Municipality did not comply with the submission date required to the Financial Assessment Subsystem, this could affect the continuance and new approvals of federal programs funds. Cause The Municipality did not have adequate internal controls to ensure compliance with reporting requirements. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available on a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition During the fiscal year the Municipality used Coronavirus State and Local Fiscal Recovery Funds in unallowable activities. The funds were used to finance certain activities of the General Fund and other federal programs. The General Fund and the other programs due $473,186 to the Coronavirus State and Local Fiscal Recovery Funds as of June 30, 2023. Criteria 42 USC 802, Coronavirus State fiscal recovery fund, (c) (4), establish the use of funds provided shall only use under a payment made to cover costs incurred to respond to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19) or its negative economic impacts. Effect The program does not have available the federal funds to use in the allowable activities. Cause The internal control procedures relative to identification of allowable costs incurred as June 30, 2023 for this award did not operate effectively. Questioned Costs $473,186. Recommendation The federal funds used should be reimbursed as soon as possible in order to correct the situation and to have available the federal funds to use on specific activities allowed.

Condition The required Annual Project and Expenditure (P & E) Report was submitted after its due date. The report was required for the annual period ended March 31, 2023 and was due on April 30, 2023. Criteria 2 CFR 200.328 and 31 CFR section 35.4(c) required financial and performance reporting information. The information must be collected with the frequency required by the terms and conditions of the Federal award, but no less frequently than annually nor more frequently than quarterly except in unusual circumstances, for example where more frequent reporting is necessary for the effective monitoring of the Federal award or could significantly affect program outcomes, and preferably in coordination with performance reporting. Effect The Municipality did not comply with compliance requirements of the Program. It could affect the monitories of the Federal Awarding Agency assign the funds and affect the program outcomes. Cause The Municipality failed in submission of the required report on its due date due to the lack of knowledge of requisites and instructions about the completion of the report. Questioned Costs Not determined. Recommendation The Municipality should maintain the schedule of due dates of the required reports of each federal program in order to comply with the required submissions to the federal awarding agencies.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition During the fiscal year the Municipality used Coronavirus State and Local Fiscal Recovery Funds in unallowable activities. The funds were used to finance certain activities of the General Fund and other federal programs. The General Fund and the other programs due $473,186 to the Coronavirus State and Local Fiscal Recovery Funds as of June 30, 2023. Criteria 42 USC 802, Coronavirus State fiscal recovery fund, (c) (4), establish the use of funds provided shall only use under a payment made to cover costs incurred to respond to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19) or its negative economic impacts. Effect The program does not have available the federal funds to use in the allowable activities. Cause The internal control procedures relative to identification of allowable costs incurred as June 30, 2023 for this award did not operate effectively. Questioned Costs $473,186. Recommendation The federal funds used should be reimbursed as soon as possible in order to correct the situation and to have available the federal funds to use on specific activities allowed.

Condition The required Annual Project and Expenditure (P & E) Report was submitted after its due date. The report was required for the annual period ended March 31, 2023 and was due on April 30, 2023. Criteria 2 CFR 200.328 and 31 CFR section 35.4(c) required financial and performance reporting information. The information must be collected with the frequency required by the terms and conditions of the Federal award, but no less frequently than annually nor more frequently than quarterly except in unusual circumstances, for example where more frequent reporting is necessary for the effective monitoring of the Federal award or could significantly affect program outcomes, and preferably in coordination with performance reporting. Effect The Municipality did not comply with compliance requirements of the Program. It could affect the monitories of the Federal Awarding Agency assign the funds and affect the program outcomes. Cause The Municipality failed in submission of the required report on its due date due to the lack of knowledge of requisites and instructions about the completion of the report. Questioned Costs Not determined. Recommendation The Municipality should maintain the schedule of due dates of the required reports of each federal program in order to comply with the required submissions to the federal awarding agencies.

Condition The Municipality did not submit the audited financial statements under the Financial Assessment Subsystem for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required by federal regulation. Criteria 22 CFR § 5.801 Uniform financial reporting standards, (b) (1) Entities (or individuals) to which this subpart is applicable must provide to HUD such financial information as required by HUD. Such information must be provided on an annual basis, except as required more frequently under paragraph (c)(4) of this section. This information must be: (1) Prepared in accordance with Generally Accepted Accounting Principles as further defined by HUD in supplementary guidance; (2) Submitted electronically to HUD through the internet, or in such other electronic format designated by HUD, or in such non-electronic format as HUD may allow if the burden or cost of electronic reporting is determined by HUD to be excessive; and (3) Submitted in such form and substance as prescribed by HUD. Also, on Section (c) (1) the financial information to be submitted to HUD in accordance with paragraph (b) of this section, must be submitted to HUD annually, no later than 60 days after the end of the fiscal year of the reporting period, and as otherwise provided by law. In addition, on Section (d) (1) states that unaudited financial statements will be required 60 days after the PHA's fiscal year end, and audited financial statements will then be required no later than 9 months after the PHA's fiscal year end, in accordance with the Single Audit Act and 2 CFR Part 200, Subpart F. Effect The Municipality did not comply with the submission date required to the Financial Assessment Subsystem, this could affect the continuance and new approvals of federal programs funds. Cause The Municipality did not have adequate internal controls to ensure compliance with reporting requirements. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available on a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition During the fiscal year the Municipality used Coronavirus State and Local Fiscal Recovery Funds in unallowable activities. The funds were used to finance certain activities of the General Fund and other federal programs. The General Fund and the other programs due $473,186 to the Coronavirus State and Local Fiscal Recovery Funds as of June 30, 2023. Criteria 42 USC 802, Coronavirus State fiscal recovery fund, (c) (4), establish the use of funds provided shall only use under a payment made to cover costs incurred to respond to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19) or its negative economic impacts. Effect The program does not have available the federal funds to use in the allowable activities. Cause The internal control procedures relative to identification of allowable costs incurred as June 30, 2023 for this award did not operate effectively. Questioned Costs $473,186. Recommendation The federal funds used should be reimbursed as soon as possible in order to correct the situation and to have available the federal funds to use on specific activities allowed.

Condition The required Annual Project and Expenditure (P & E) Report was submitted after its due date. The report was required for the annual period ended March 31, 2023 and was due on April 30, 2023. Criteria 2 CFR 200.328 and 31 CFR section 35.4(c) required financial and performance reporting information. The information must be collected with the frequency required by the terms and conditions of the Federal award, but no less frequently than annually nor more frequently than quarterly except in unusual circumstances, for example where more frequent reporting is necessary for the effective monitoring of the Federal award or could significantly affect program outcomes, and preferably in coordination with performance reporting. Effect The Municipality did not comply with compliance requirements of the Program. It could affect the monitories of the Federal Awarding Agency assign the funds and affect the program outcomes. Cause The Municipality failed in submission of the required report on its due date due to the lack of knowledge of requisites and instructions about the completion of the report. Questioned Costs Not determined. Recommendation The Municipality should maintain the schedule of due dates of the required reports of each federal program in order to comply with the required submissions to the federal awarding agencies.

Condition The Municipality did not submit the Data Collection Form and Reporting Package to the Federal Clearinghouse for the fiscal year ended June 30, 2023, on or before nine months after fiscal year ended, as required. Criteria 2 CFR § 200.512 Report Submission, (a) (1) The audit must be completed, and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor’s report(s), or nine months after the end of the audit period. Effect The Municipality did not comply with the submission on the date required to the Federal Clearinghouse, this could affect the continuance and new approvals of federal programs funds. In addition, the Municipally cannot be considered by the auditor as a low-risk auditee for the next two years. Cause Management did not have adequate procedures in place to ensure the timely submission of the single audit reporting package and data collection form to the Federal Audit Clearinghouse. Questioned Costs Not determined Recommendation The Municipality should prepare the financial statements on a timely basis. In addition, the Municipality needs to implement adequate internal controls procedures in order to assure that the supporting documentation is available in a timely manner.

Condition During the fiscal year the Municipality used Coronavirus State and Local Fiscal Recovery Funds in unallowable activities. The funds were used to finance certain activities of the General Fund and other federal programs. The General Fund and the other programs due $473,186 to the Coronavirus State and Local Fiscal Recovery Funds as of June 30, 2023. Criteria 42 USC 802, Coronavirus State fiscal recovery fund, (c) (4), establish the use of funds provided shall only use under a payment made to cover costs incurred to respond to the public health emergency with respect to the Coronavirus Disease 2019 (COVID-19) or its negative economic impacts. Effect The program does not have available the federal funds to use in the allowable activities. Cause The internal control procedures relative to identification of allowable costs incurred as June 30, 2023 for this award did not operate effectively. Questioned Costs $473,186. Recommendation The federal funds used should be reimbursed as soon as possible in order to correct the situation and to have available the federal funds to use on specific activities allowed.

Condition The required Annual Project and Expenditure (P & E) Report was submitted after its due date. The report was required for the annual period ended March 31, 2023 and was due on April 30, 2023. Criteria 2 CFR 200.328 and 31 CFR section 35.4(c) required financial and performance reporting information. The information must be collected with the frequency required by the terms and conditions of the Federal award, but no less frequently than annually nor more frequently than quarterly except in unusual circumstances, for example where more frequent reporting is necessary for the effective monitoring of the Federal award or could significantly affect program outcomes, and preferably in coordination with performance reporting. Effect The Municipality did not comply with compliance requirements of the Program. It could affect the monitories of the Federal Awarding Agency assign the funds and affect the program outcomes. Cause The Municipality failed in submission of the required report on its due date due to the lack of knowledge of requisites and instructions about the completion of the report. Questioned Costs Not determined. Recommendation The Municipality should maintain the schedule of due dates of the required reports of each federal program in order to comply with the required submissions to the federal awarding agencies.