Audit 355898

FY End
2024-09-30
Total Expended
$1.49M
Findings
6
Programs
6
Organization: City of Scottsboro, Alabama (AL)
Year: 2024 Accepted: 2025-05-08

Organization Exclusion Status:

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Findings

ID Ref Severity Repeat Requirement
559984 2024-002 Material Weakness - F
559985 2024-002 Material Weakness - F
559986 2024-002 Material Weakness - F
1136426 2024-002 Material Weakness - F
1136427 2024-002 Material Weakness - F
1136428 2024-002 Material Weakness - F

Contacts

Name Title Type
HHWBM9JJRCR9 Whitney Phillips Auditee
2569120502 Gene Gossett Auditor
No contacts on file

Notes to SEFA

Title: BASIS OF PRESENTATION Accounting Policies: Accrual Basis of Accounting De Minimis Rate Used: N Rate Explanation: The City of Scottsboro, Alabama, has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Amounts reported in the Schedule include no indirect costs. The accompanying schedule of expenditures of federal awards incldues the federal activity of the City of Scottsboro, Alabama under programs of the federal government for the year ended September 30, 2024. 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 of Scottsboro, Alabama, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City of Scottsboro, Alabama.
Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Accrual Basis of Accounting De Minimis Rate Used: N Rate Explanation: The City of Scottsboro, Alabama, has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Amounts reported in the Schedule include no indirect costs. Expenditures reported in the Schedule are reported on the 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.
Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Accrual Basis of Accounting De Minimis Rate Used: N Rate Explanation: The City of Scottsboro, Alabama, has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Amounts reported in the Schedule include no indirect costs. In accordance with Uniform Guidance Section 200.502, expenditures for grant programs are included in the Schedule when expense (which will be paid from the grant funds) is incurred (under the accrual basis of accounting) within the period covered by the Schedule (during the year ended September 30, 2024).
Title: INDIRECT COST RATE Accounting Policies: Accrual Basis of Accounting De Minimis Rate Used: N Rate Explanation: The City of Scottsboro, Alabama, has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Amounts reported in the Schedule include no indirect costs. The City of Scottsboro, Alabama, has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Amounts reported in the Schedule include no indirect costs.

Finding Details

Criteria: Uniform Guidance ("UG") Section 200.313(d) states that "Procedures for managing equipment, including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (2) a physical inventory of the property must be taken and the results reconciled with the property records at least once every two years." Condition: The City did not perform the physical inventory required by UG Section 200.313(d). Cause: The City did not schedule or plan for a physical inventory. Effect or Potential Effect: The City did not comply with the requirement of UG Section 200.313(d) to take a physical inventory of equipment purchased with Federal awards at least once every two years. Context: We inquired whether the physical inventory of equipment required by UG Section 200.313 had been performed within the last two years and was told no such physical inventory had been performed. Repeat finding? No Recommendation: We recommend the City develop and implement policies and procedures to ensure compliance with UG Section 200.313, including a physical inventory of equipment purchased with Federal awards at least every two years. Views of Responsible Officials: Management agrees with the finding.
Criteria: Uniform Guidance ("UG") Section 200.313(d) states that "Procedures for managing equipment, including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (2) a physical inventory of the property must be taken and the results reconciled with the property records at least once every two years." Condition: The City did not perform the physical inventory required by UG Section 200.313(d). Cause: The City did not schedule or plan for a physical inventory. Effect or Potential Effect: The City did not comply with the requirement of UG Section 200.313(d) to take a physical inventory of equipment purchased with Federal awards at least once every two years. Context: We inquired whether the physical inventory of equipment required by UG Section 200.313 had been performed within the last two years and was told no such physical inventory had been performed. Repeat finding? No Recommendation: We recommend the City develop and implement policies and procedures to ensure compliance with UG Section 200.313, including a physical inventory of equipment purchased with Federal awards at least every two years. Views of Responsible Officials: Management agrees with the finding.
Criteria: Uniform Guidance ("UG") Section 200.313(d) states that "Procedures for managing equipment, including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (2) a physical inventory of the property must be taken and the results reconciled with the property records at least once every two years." Condition: The City did not perform the physical inventory required by UG Section 200.313(d). Cause: The City did not schedule or plan for a physical inventory. Effect or Potential Effect: The City did not comply with the requirement of UG Section 200.313(d) to take a physical inventory of equipment purchased with Federal awards at least once every two years. Context: We inquired whether the physical inventory of equipment required by UG Section 200.313 had been performed within the last two years and was told no such physical inventory had been performed. Repeat finding? No Recommendation: We recommend the City develop and implement policies and procedures to ensure compliance with UG Section 200.313, including a physical inventory of equipment purchased with Federal awards at least every two years. Views of Responsible Officials: Management agrees with the finding.
Criteria: Uniform Guidance ("UG") Section 200.313(d) states that "Procedures for managing equipment, including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (2) a physical inventory of the property must be taken and the results reconciled with the property records at least once every two years." Condition: The City did not perform the physical inventory required by UG Section 200.313(d). Cause: The City did not schedule or plan for a physical inventory. Effect or Potential Effect: The City did not comply with the requirement of UG Section 200.313(d) to take a physical inventory of equipment purchased with Federal awards at least once every two years. Context: We inquired whether the physical inventory of equipment required by UG Section 200.313 had been performed within the last two years and was told no such physical inventory had been performed. Repeat finding? No Recommendation: We recommend the City develop and implement policies and procedures to ensure compliance with UG Section 200.313, including a physical inventory of equipment purchased with Federal awards at least every two years. Views of Responsible Officials: Management agrees with the finding.
Criteria: Uniform Guidance ("UG") Section 200.313(d) states that "Procedures for managing equipment, including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (2) a physical inventory of the property must be taken and the results reconciled with the property records at least once every two years." Condition: The City did not perform the physical inventory required by UG Section 200.313(d). Cause: The City did not schedule or plan for a physical inventory. Effect or Potential Effect: The City did not comply with the requirement of UG Section 200.313(d) to take a physical inventory of equipment purchased with Federal awards at least once every two years. Context: We inquired whether the physical inventory of equipment required by UG Section 200.313 had been performed within the last two years and was told no such physical inventory had been performed. Repeat finding? No Recommendation: We recommend the City develop and implement policies and procedures to ensure compliance with UG Section 200.313, including a physical inventory of equipment purchased with Federal awards at least every two years. Views of Responsible Officials: Management agrees with the finding.
Criteria: Uniform Guidance ("UG") Section 200.313(d) states that "Procedures for managing equipment, including replacement equipment), whether acquired in whole or in part under a Federal award, until disposition takes place will, as a minimum, meet the following requirements: (2) a physical inventory of the property must be taken and the results reconciled with the property records at least once every two years." Condition: The City did not perform the physical inventory required by UG Section 200.313(d). Cause: The City did not schedule or plan for a physical inventory. Effect or Potential Effect: The City did not comply with the requirement of UG Section 200.313(d) to take a physical inventory of equipment purchased with Federal awards at least once every two years. Context: We inquired whether the physical inventory of equipment required by UG Section 200.313 had been performed within the last two years and was told no such physical inventory had been performed. Repeat finding? No Recommendation: We recommend the City develop and implement policies and procedures to ensure compliance with UG Section 200.313, including a physical inventory of equipment purchased with Federal awards at least every two years. Views of Responsible Officials: Management agrees with the finding.