FAC Explorer

Audit 350178

FY End
2024-06-30
Total Expended
$15.93M
Findings
4
Programs
9
Organization: City of Concord (CA)
Year: 2024 Accepted: 2025-03-28
Auditor: Maze & Associates Accountancy Corporation

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
539635 2024-001 Significant Deficiency Yes L
539636 2024-001 Significant Deficiency Yes L
1116077 2024-001 Significant Deficiency Yes L
1116078 2024-001 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $11.62M Yes 0
20.205 Highway Planning and Construction $1.41M Yes 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $632,054 - 0
14.218 Community Development Block Grants/entitlement Grants $159,512 Yes 1
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $145,476 - 0
20.600 State and Community Highway Safety $78,196 - 0
16.922 Equitable Sharing Program $73,000 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $34,894 - 0
21.016 Equitable Sharing $2,302 - 0

Contacts

Name Title Type
R18EUE4LETK7 Suzanne McDonald Auditee
9256713136 Amy Meyer Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - REPORTING ENTITY Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The Schedule of Expenditure of Federal Awards (the Schedule) includes expenditures of federal awards for the City of Concord, California, and its component units as disclosed in the notes to the Basic Financial Statements.
Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred.
Title: NOTE 3 - INDIRECT COST ELECTION Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The City has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE 4 - LOAN PROGRAM Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. The following loan programs balances and transactions relating to these programs are included in City’s basic financial statements. Loans outstanding at the beginning of the year and loans made during the year are included in the federal expenditures presented in the Schedule. The balance of loans outstanding at June 30, 2024 consists of the following: CFDA Number Program Name Outstanding Balance at June 30, 2024 14.218 Community Development Block Grant $332,000

Finding Details

Finding 2024-001
Finding Reference Number: SA2024-001 - Federal Funding Accountability and Transparency Act (FFATA) Reporting Assistance Listing Number: 14.218 Assistance Listing Title: Community Development Block Grant – Entitlement Grant COVID-19 - Community Development Block Grants/ Entitlement Grants-CV Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification Number: B-23-MC-06-0009 COVID-19 – B-20-MW-06-0009 Criteria: Under the requirements of the Federal Funding Accountability and Transparency Act (FFATA) (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252 that are codified in 2 CFR Part 170, direct recipients of grants are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Subawards that are entered into the FSRS System should be maintained so that any amendments to the subawards are also reflected in the system. Condition: We noted that the City had two subawards during fiscal year 2024 that were larger than $30,000. For the subaward under B-23-MC-06-0009, we noted the subgrant agreement in the amount of $505,417 was reported incorrectly as $305,417 in the FSRS. For the subaward in the subaward under COVID-19 – B-20-MW-06-0009, the agreement in April 2020 in the amount of $378,780 was amended in August 2023 to increase the contract to $689,352, but City staff was not able to provide documentation that the original or amended subaward was reported in the FSRS. Cause: We understand that the error was a typo that went unnoticed. For the failure to report for the CDBG-CV program, we understand City staff thought the reporting was not required, since the subgrant was originally executed in fiscal year 2020. Effect: The City is not in compliance with the FFATA reporting requirements. Identification as a repeat finding: Yes, since 2022 Recommendation: The City should review all first-tier subaward agreements of $30,000 or more to ensure that FFATA reporting is completed. In addition, the City should develop procedures to ensure that FFATA reporting is accurate at all times and reflects any contract amendments and final subaward funding amounts. View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the City.
Finding 2024-001
Finding Reference Number: SA2024-001 - Federal Funding Accountability and Transparency Act (FFATA) Reporting Assistance Listing Number: 14.218 Assistance Listing Title: Community Development Block Grant – Entitlement Grant COVID-19 - Community Development Block Grants/ Entitlement Grants-CV Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification Number: B-23-MC-06-0009 COVID-19 – B-20-MW-06-0009 Criteria: Under the requirements of the Federal Funding Accountability and Transparency Act (FFATA) (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252 that are codified in 2 CFR Part 170, direct recipients of grants are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Subawards that are entered into the FSRS System should be maintained so that any amendments to the subawards are also reflected in the system. Condition: We noted that the City had two subawards during fiscal year 2024 that were larger than $30,000. For the subaward under B-23-MC-06-0009, we noted the subgrant agreement in the amount of $505,417 was reported incorrectly as $305,417 in the FSRS. For the subaward in the subaward under COVID-19 – B-20-MW-06-0009, the agreement in April 2020 in the amount of $378,780 was amended in August 2023 to increase the contract to $689,352, but City staff was not able to provide documentation that the original or amended subaward was reported in the FSRS. Cause: We understand that the error was a typo that went unnoticed. For the failure to report for the CDBG-CV program, we understand City staff thought the reporting was not required, since the subgrant was originally executed in fiscal year 2020. Effect: The City is not in compliance with the FFATA reporting requirements. Identification as a repeat finding: Yes, since 2022 Recommendation: The City should review all first-tier subaward agreements of $30,000 or more to ensure that FFATA reporting is completed. In addition, the City should develop procedures to ensure that FFATA reporting is accurate at all times and reflects any contract amendments and final subaward funding amounts. View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the City.
Finding 2024-001
Finding Reference Number: SA2024-001 - Federal Funding Accountability and Transparency Act (FFATA) Reporting Assistance Listing Number: 14.218 Assistance Listing Title: Community Development Block Grant – Entitlement Grant COVID-19 - Community Development Block Grants/ Entitlement Grants-CV Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification Number: B-23-MC-06-0009 COVID-19 – B-20-MW-06-0009 Criteria: Under the requirements of the Federal Funding Accountability and Transparency Act (FFATA) (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252 that are codified in 2 CFR Part 170, direct recipients of grants are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Subawards that are entered into the FSRS System should be maintained so that any amendments to the subawards are also reflected in the system. Condition: We noted that the City had two subawards during fiscal year 2024 that were larger than $30,000. For the subaward under B-23-MC-06-0009, we noted the subgrant agreement in the amount of $505,417 was reported incorrectly as $305,417 in the FSRS. For the subaward in the subaward under COVID-19 – B-20-MW-06-0009, the agreement in April 2020 in the amount of $378,780 was amended in August 2023 to increase the contract to $689,352, but City staff was not able to provide documentation that the original or amended subaward was reported in the FSRS. Cause: We understand that the error was a typo that went unnoticed. For the failure to report for the CDBG-CV program, we understand City staff thought the reporting was not required, since the subgrant was originally executed in fiscal year 2020. Effect: The City is not in compliance with the FFATA reporting requirements. Identification as a repeat finding: Yes, since 2022 Recommendation: The City should review all first-tier subaward agreements of $30,000 or more to ensure that FFATA reporting is completed. In addition, the City should develop procedures to ensure that FFATA reporting is accurate at all times and reflects any contract amendments and final subaward funding amounts. View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the City.
Finding 2024-001
Finding Reference Number: SA2024-001 - Federal Funding Accountability and Transparency Act (FFATA) Reporting Assistance Listing Number: 14.218 Assistance Listing Title: Community Development Block Grant – Entitlement Grant COVID-19 - Community Development Block Grants/ Entitlement Grants-CV Name of Federal Agency: Department of Housing and Urban Development Federal Award Identification Number: B-23-MC-06-0009 COVID-19 – B-20-MW-06-0009 Criteria: Under the requirements of the Federal Funding Accountability and Transparency Act (FFATA) (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252 that are codified in 2 CFR Part 170, direct recipients of grants are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Subawards that are entered into the FSRS System should be maintained so that any amendments to the subawards are also reflected in the system. Condition: We noted that the City had two subawards during fiscal year 2024 that were larger than $30,000. For the subaward under B-23-MC-06-0009, we noted the subgrant agreement in the amount of $505,417 was reported incorrectly as $305,417 in the FSRS. For the subaward in the subaward under COVID-19 – B-20-MW-06-0009, the agreement in April 2020 in the amount of $378,780 was amended in August 2023 to increase the contract to $689,352, but City staff was not able to provide documentation that the original or amended subaward was reported in the FSRS. Cause: We understand that the error was a typo that went unnoticed. For the failure to report for the CDBG-CV program, we understand City staff thought the reporting was not required, since the subgrant was originally executed in fiscal year 2020. Effect: The City is not in compliance with the FFATA reporting requirements. Identification as a repeat finding: Yes, since 2022 Recommendation: The City should review all first-tier subaward agreements of $30,000 or more to ensure that FFATA reporting is completed. In addition, the City should develop procedures to ensure that FFATA reporting is accurate at all times and reflects any contract amendments and final subaward funding amounts. View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the City.