FAC Explorer

Audit 336592

FY End
2024-06-30
Total Expended
$1.23M
Findings
2
Programs
7
Organization: City of Wells, Nv (NV)
Year: 2024 Accepted: 2025-01-08
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
518251 2024-002 Significant Deficiency - I
1094693 2024-002 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $401,066 Yes 1
93.045 Special Programs for the Aging, Title Iii, Part C, Nutrition Services $383,681 - 0
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $221,037 - 0
20.106 Airport Improvement Program, Covid-19 Airports Programs, and Infrastructure Investment and Jobs Act Programs $124,836 Yes 0
10.569 Emergency Food Assistance Program (food Commodities) $60,000 - 0
15.611 Wildlife Restoration and Basic Hunter Education and Safety $31,444 - 0
93.053 Nutrition Services Incentive Program $4,381 - 0

Contacts

Name Title Type
J89EYVJKEHR3 Samantha Nance Auditee
7757523355 Teri Gage Auditor
No contacts on file

Notes to SEFA

Title: Note 1 - Basis of Presentation Accounting Policies: Expenditures reported in the Schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The City of Wells has not elected to use the 10% de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of City of Wells under programs of the federal government for the year ended June 30, 2024. The information 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 City of Wells, it is not intended to and does not present the financial position, changes in financial position, or cash flows of City of Wells.
Title: Note 2 - Summary of Significant Accounting Policies Accounting Policies: Expenditures reported in the Schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The City of Wells has not elected to use the 10% de minimis cost rate. Expenditures reported in the Schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient.
Title: Note 3 - Indirect Cost Rate Accounting Policies: Expenditures reported in the Schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The City of Wells has not elected to use the 10% de minimis cost rate. The City of Wells has not elected to use the 10% de minimis cost rate.
Title: Note 4 - Food Donation Accounting Policies: Expenditures reported in the Schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient. De Minimis Rate Used: N Rate Explanation: The City of Wells has not elected to use the 10% de minimis cost rate. Nonmonetary assistance is reported in this schedule at the fair market value of the commodities received and disbursed. At June 30, 2024, the City had food commodities totaling $8,081 in inventory.

Finding Details

Finding 2024-002
2024-002 U.S. Department of Treasury Passed through State of Nevada’s Governor’s Finance Office COVID-19, Coronavirus State and Local Fiscal Recover Fund, 21.027 Procurement, Suspension and Debarment Significant Deficiency in Internal Control over Compliance and Noncompliance Grant Award Number: Affects all grant awards under assistance listing number 21.027 on the Schedule of Expenditures of Federal Awards. Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires contracts greater than $25,000 to contain suspension and debarment provisions. Condition: During our audit testing of procurement and suspension and debarment over for the year ended June 30, 2024, we noted one contract did not contain a suspension and debarment clause as required for contracts greater than $25,000 per Federal Regulation - Appendix II to 2 CFR Part 200. We did note that the City checked sam.gov to ensure contractor was not suspended and debarred. Cause: The City of Wells did not have adequate controls to ensure that the required provisions over suspension and debarment were included in the contract. Effect: A contract may be awarded to a contractor that is suspended and debarred. Questioned Costs: None reported. Context/Sampling: A nonstatistical sample of three procurement transactions of three were selected for testing, one contract out of the three selected was missing the required provisions. Repeat Finding from Prior Year: No. Recommendation: We recommend the City of Wells enhance controls to include required contract provisions. Views of Responsible Officials: Management agrees with the finding.
Finding 2024-002
2024-002 U.S. Department of Treasury Passed through State of Nevada’s Governor’s Finance Office COVID-19, Coronavirus State and Local Fiscal Recover Fund, 21.027 Procurement, Suspension and Debarment Significant Deficiency in Internal Control over Compliance and Noncompliance Grant Award Number: Affects all grant awards under assistance listing number 21.027 on the Schedule of Expenditures of Federal Awards. Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires contracts greater than $25,000 to contain suspension and debarment provisions. Condition: During our audit testing of procurement and suspension and debarment over for the year ended June 30, 2024, we noted one contract did not contain a suspension and debarment clause as required for contracts greater than $25,000 per Federal Regulation - Appendix II to 2 CFR Part 200. We did note that the City checked sam.gov to ensure contractor was not suspended and debarred. Cause: The City of Wells did not have adequate controls to ensure that the required provisions over suspension and debarment were included in the contract. Effect: A contract may be awarded to a contractor that is suspended and debarred. Questioned Costs: None reported. Context/Sampling: A nonstatistical sample of three procurement transactions of three were selected for testing, one contract out of the three selected was missing the required provisions. Repeat Finding from Prior Year: No. Recommendation: We recommend the City of Wells enhance controls to include required contract provisions. Views of Responsible Officials: Management agrees with the finding.