Audit 359923

2024-001 Lack of Documented Review of Annual Project and Expenditure Report Assisted Listing Number: 21.027 Program Title: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Compliance Requirement: Reporting- Performance Reporting Pass-through Entity: N/A Federal Grant/Contract Number and Grant Year: COVID-19 Y5258 2021 Finding Type: Material Weakness in Internal Control Questioned Costs: $0 Condition: The annual project and expenditure report required by the grant related to the status of projects was prepared by the grant administrator and there was no documented review of the report by someone other than the preparer prior to submission. The recipient is required to file annually a project and expenditure report with the U.S. Treasury. Criteria: 2 CFR section 200.303 requires that nonfederal entities receiving federal awards establish and maintain internal control over the federal awards that provides reasonable assurance that the nonfederal entity is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Effect: Annual report could include potential errors and cause the City to be out of compliance with the requirement of the grant. Cause: The City has not implemented procedures to formally document their review of the annual project and expenditures report prior to submission to the U.S. Treasury. Perspective: The one report required to be filed did not have documentation of review. Recommendation: A copy of the report should be kept which includes both the date and signature of the preparer and the reviewer. View of responsible officials and planned corrective action: See attached corrective action plan.

2024-001 Lack of Documented Review of Annual Project and Expenditure Report Assisted Listing Number: 21.027 Program Title: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Compliance Requirement: Reporting- Performance Reporting Pass-through Entity: N/A Federal Grant/Contract Number and Grant Year: COVID-19 Y5258 2021 Finding Type: Material Weakness in Internal Control Questioned Costs: $0 Condition: The annual project and expenditure report required by the grant related to the status of projects was prepared by the grant administrator and there was no documented review of the report by someone other than the preparer prior to submission. The recipient is required to file annually a project and expenditure report with the U.S. Treasury. Criteria: 2 CFR section 200.303 requires that nonfederal entities receiving federal awards establish and maintain internal control over the federal awards that provides reasonable assurance that the nonfederal entity is managing the federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. Effect: Annual report could include potential errors and cause the City to be out of compliance with the requirement of the grant. Cause: The City has not implemented procedures to formally document their review of the annual project and expenditures report prior to submission to the U.S. Treasury. Perspective: The one report required to be filed did not have documentation of review. Recommendation: A copy of the report should be kept which includes both the date and signature of the preparer and the reviewer. View of responsible officials and planned corrective action: See attached corrective action plan.