Audit 33233

FY End
2022-12-31
Total Expended
$14.16M
Findings
2
Programs
25
Organization: City of Rapid City (SD)
Year: 2022 Accepted: 2023-09-25

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
28424 2022-004 Material Weakness - L
604866 2022-004 Material Weakness - L

Programs

ALN Program Spent Major Findings
20.106 Airport Improvement Program $2.62M Yes 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $962,161 Yes 1
20.507 Federal Transit_formula Grants $564,082 - 0
97.083 Staffing for Adequate Fire and Emergency Response (safer) $406,899 - 0
16.817 Byrne Criminal Justice Innovation Program $378,004 - 0
20.505 Metropolitan Transportation Planning and State and Non-Metropolitan Planning and Research $313,176 - 0
14.225 Community Development Block Grants/special Purpose Grants/insular Areas $288,810 Yes 0
16.710 Public Safety Partnership and Community Policing Grants $136,642 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $93,850 - 0
94.002 Retired and Senior Volunteer Program $80,000 - 0
97.047 Pre-Disaster Mitigation $77,579 - 0
15.228 Blm Fuels Management and Community Fire Assistance Program Activities $76,258 - 0
20.703 Interagency Hazardous Materials Public Sector Training and Planning Grants $67,937 - 0
66.605 Performance Partnership Grants $55,506 - 0
39.003 Donation of Federal Surplus Personal Property $54,546 - 0
16.609 Project Safe Neighborhoods $47,810 - 0
14.218 Community Development Block Grants/entitlement Grants $41,136 Yes 0
20.930 Payments for Small Community Air Service Development $37,397 - 0
97.067 Homeland Security Grant Program $34,922 - 0
15.904 Historic Preservation Fund Grants-in-Aid $20,000 - 0
16.607 Bulletproof Vest Partnership Program $16,448 - 0
16.045 Community-Based Violence Intervention and Prevention Initiative $15,696 - 0
16.575 Crime Victim Assistance $15,211 - 0
10.698 State & Private Forestry Cooperative Fire Assistance $12,500 - 0
10.664 Cooperative Forestry Assistance $5,813 - 0

Contacts

Name Title Type
KN7AL7HF44B3 Daniel Ainslie Auditee
6053944143 Traci Hanson Auditor
No contacts on file

Notes to SEFA

Title: Original Acquisition Cost Accounting Policies: Expenditures reported on the Schedule arc reported on the accrual basis of accounting. Such expenditures arc 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 , wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The amount reported represents 23.3% of the original acquisition cost of the federal surplus property received by the municipality. (Original acquisition cost is provided by Federal Surplus Property. It is not what the City actually paid for the items.)
Title: Reporting Entity Accounting Policies: Expenditures reported on the Schedule arc reported on the accrual basis of accounting. Such expenditures arc 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 , wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal award activity of the City of Rapid City, South Dakota (the "City") under programs of the federal government for the year ended December 31, 2022. The accompanying notes are an integral part of this Schedule. 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). Because the Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position or cash flows, where applicable, of the City of Rapid City, South Dakota.
Title: Subrecipients Accounting Policies: Expenditures reported on the Schedule arc reported on the accrual basis of accounting. Such expenditures arc 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 , wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The City had the following subrecipients, that includes program income of $73,465: Community Development Block Grants Cluster: Common Bond Communities $492,300, Volunteers of America $106,473, Black Hills Works $72,700, Youth and Family Services $66,599, YMCA of Rapid City $65,000, Behavior Management Systems $60,325, Wellfully $34,643, Pennington County Health and Human Services $20,700, Minneluzahan Senior Citizens Center $16,095. Total passed through to subrecipients $934,836.

Finding Details

Finding No. 2022-004: Tracking Federal Grant Funding Federal Program Affected: Coronavirus State and Local Fiscal Recovery Fund (CSLFRF) ? AL# 21.027 Compliance Requirement: Reporting Questioned Costs: None Condition and Cause: The City does not have a proper review process for the CSLFRF program expenditures allocated between the various grant agreements. In addition, reimbursement requests are not completed timely. Criteria and Effect: A lack of proper controls over federal expenditures could result in charging expenditures to multiple federal awards or ?double-dipping? of CSLFRF grant monies and improper reporting on the schedule of expenditures of federal awards. Timely reimbursement requests reduce the cash flow burden on the City. Recommendation: The City should implement a process for reviewing expenditure allocations between separate CSLFRF grants and submit reimbursement requests as soon as administratively feasible. Repeat Finding from Prior Year: N/A Response/Corrective Action Plan: The City agrees with the above finding. See Corrective Action Plan.
Finding No. 2022-004: Tracking Federal Grant Funding Federal Program Affected: Coronavirus State and Local Fiscal Recovery Fund (CSLFRF) ? AL# 21.027 Compliance Requirement: Reporting Questioned Costs: None Condition and Cause: The City does not have a proper review process for the CSLFRF program expenditures allocated between the various grant agreements. In addition, reimbursement requests are not completed timely. Criteria and Effect: A lack of proper controls over federal expenditures could result in charging expenditures to multiple federal awards or ?double-dipping? of CSLFRF grant monies and improper reporting on the schedule of expenditures of federal awards. Timely reimbursement requests reduce the cash flow burden on the City. Recommendation: The City should implement a process for reviewing expenditure allocations between separate CSLFRF grants and submit reimbursement requests as soon as administratively feasible. Repeat Finding from Prior Year: N/A Response/Corrective Action Plan: The City agrees with the above finding. See Corrective Action Plan.