Audit 34905

FY End
2022-12-31
Total Expended
$2.44M
Findings
4
Programs
10
Organization: City of Ashland (WI)
Year: 2022 Accepted: 2023-09-26

Organization Exclusion Status:

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Contacts

Name Title Type
VCYWKD4B17Q9 Julie Vaillancourt Auditee
7156827190 Sheanne Hediger Auditor
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Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the accrual or modified accrual basis of accounting. 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. The underlying accounting records for some grant programs are maintained on the modified accrual basis of accounting. Under the modified accrual basis, revenues are recorded when susceptible to accrual, i.e., both measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenditures are recorded when the liability is incurred. The accounting records for other grant programs are maintained on the accrual basis, i.e., when the revenue has been earned and the liability is incurred. De Minimis Rate Used: N Rate Explanation: The City has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal and state awards (the Schedule) includes the federal and state award activity of the City of Ashland (the City) under programs of the federal and state government for the year ended December 31, 2022. 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) and the State Single Audit Guidelines. Because the Schedule presents only a selected portion of the operations of the City of Ashland, it is not intended to and does not present the financial position, changes in net position or cash flows of the City. The reporting entity for the City is based upon criteria established by the Governmental Accounting Standards Board. The City is the primary government according to GASB criteria, while the Ashland Ore Dock Trust is a component unit. The Ashland Ore Dock Trust did not expend any federal or state awards during 2022.
Title: Pass-Through Grantors Accounting Policies: Expenditures reported on the Schedule are reported on the accrual or modified accrual basis of accounting. 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. The underlying accounting records for some grant programs are maintained on the modified accrual basis of accounting. Under the modified accrual basis, revenues are recorded when susceptible to accrual, i.e., both measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenditures are recorded when the liability is incurred. The accounting records for other grant programs are maintained on the accrual basis, i.e., when the revenue has been earned and the liability is incurred. De Minimis Rate Used: N Rate Explanation: The City has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The City received federal awards from the following pass-through agencies: WI DOA - Wisconsin Department of Administration; WI HS - Wisconsin Historical Society; WI DOT - Wisconsin Department of Transportation; WI DMA - Wisconsin Department of Military Affairs

Finding Details

Finding 2022-003: Program: Community Development Block Grant/State?s program and Non-Entitlement Grants in Hawaii Program Assistance Listing Number ? 14.228 Federal Grantor ? U.S. Department of Housing and Urban Development Pass-Through Agency ? Wisconsin Department of Administration Criteria: As stated within the grant award's scope of work, the City was required to conduct the second Citizen Participation Public Hearing (the ?Hearing?) to report project progress to, and receive input from, the local community regarding the CDBG project by March 31, 2022. Condition/Context: The Hearing was held after the deadline specified in the timetable within the grant agreement's scope of work. The Hearing was required to be held by March 31, 2022. The City chose to hold the Hearing in June, after construction had started. The proper remediation was completed during the current year, as the Hearing was held June 28, 2022, which was prior to the end of the fiscal year. Cause: The City chose to postpone the Hearing until construction had started on the CDBG project. Due to this postponement, they failed to hold the Hearing by the deadline listed in the timetable within the grant agreement's scope of work. Effect: Non-compliance with requirements could impact funding or future funding opportunities with the grantor. Questioned Costs: None noted. Recommendation: The City should implement procedures to ensure there is proper understanding of the City's responsibilities regarding the requirements and due dates for grants that are administered by a third party and a tracking method to ensure these are completed. Views of Responsible Officials: The City is in agreement with the finding.
Finding 2022-003: Program: Community Development Block Grant/State?s program and Non-Entitlement Grants in Hawaii Program Assistance Listing Number ? 14.228 Federal Grantor ? U.S. Department of Housing and Urban Development Pass-Through Agency ? Wisconsin Department of Administration Criteria: As stated within the grant award's scope of work, the City was required to conduct the second Citizen Participation Public Hearing (the ?Hearing?) to report project progress to, and receive input from, the local community regarding the CDBG project by March 31, 2022. Condition/Context: The Hearing was held after the deadline specified in the timetable within the grant agreement's scope of work. The Hearing was required to be held by March 31, 2022. The City chose to hold the Hearing in June, after construction had started. The proper remediation was completed during the current year, as the Hearing was held June 28, 2022, which was prior to the end of the fiscal year. Cause: The City chose to postpone the Hearing until construction had started on the CDBG project. Due to this postponement, they failed to hold the Hearing by the deadline listed in the timetable within the grant agreement's scope of work. Effect: Non-compliance with requirements could impact funding or future funding opportunities with the grantor. Questioned Costs: None noted. Recommendation: The City should implement procedures to ensure there is proper understanding of the City's responsibilities regarding the requirements and due dates for grants that are administered by a third party and a tracking method to ensure these are completed. Views of Responsible Officials: The City is in agreement with the finding.
Finding 2022-003: Program: Community Development Block Grant/State?s program and Non-Entitlement Grants in Hawaii Program Assistance Listing Number ? 14.228 Federal Grantor ? U.S. Department of Housing and Urban Development Pass-Through Agency ? Wisconsin Department of Administration Criteria: As stated within the grant award's scope of work, the City was required to conduct the second Citizen Participation Public Hearing (the ?Hearing?) to report project progress to, and receive input from, the local community regarding the CDBG project by March 31, 2022. Condition/Context: The Hearing was held after the deadline specified in the timetable within the grant agreement's scope of work. The Hearing was required to be held by March 31, 2022. The City chose to hold the Hearing in June, after construction had started. The proper remediation was completed during the current year, as the Hearing was held June 28, 2022, which was prior to the end of the fiscal year. Cause: The City chose to postpone the Hearing until construction had started on the CDBG project. Due to this postponement, they failed to hold the Hearing by the deadline listed in the timetable within the grant agreement's scope of work. Effect: Non-compliance with requirements could impact funding or future funding opportunities with the grantor. Questioned Costs: None noted. Recommendation: The City should implement procedures to ensure there is proper understanding of the City's responsibilities regarding the requirements and due dates for grants that are administered by a third party and a tracking method to ensure these are completed. Views of Responsible Officials: The City is in agreement with the finding.
Finding 2022-003: Program: Community Development Block Grant/State?s program and Non-Entitlement Grants in Hawaii Program Assistance Listing Number ? 14.228 Federal Grantor ? U.S. Department of Housing and Urban Development Pass-Through Agency ? Wisconsin Department of Administration Criteria: As stated within the grant award's scope of work, the City was required to conduct the second Citizen Participation Public Hearing (the ?Hearing?) to report project progress to, and receive input from, the local community regarding the CDBG project by March 31, 2022. Condition/Context: The Hearing was held after the deadline specified in the timetable within the grant agreement's scope of work. The Hearing was required to be held by March 31, 2022. The City chose to hold the Hearing in June, after construction had started. The proper remediation was completed during the current year, as the Hearing was held June 28, 2022, which was prior to the end of the fiscal year. Cause: The City chose to postpone the Hearing until construction had started on the CDBG project. Due to this postponement, they failed to hold the Hearing by the deadline listed in the timetable within the grant agreement's scope of work. Effect: Non-compliance with requirements could impact funding or future funding opportunities with the grantor. Questioned Costs: None noted. Recommendation: The City should implement procedures to ensure there is proper understanding of the City's responsibilities regarding the requirements and due dates for grants that are administered by a third party and a tracking method to ensure these are completed. Views of Responsible Officials: The City is in agreement with the finding.