2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.
2024-003 ─ Schedule of Expenditures of Federal Awards and State Financial Assistance
(Schedule)
U.S. Department of Transportation – Federal Transit Cluster (ALN No. 20.507)
Federal award year 2023
Criteria: In accordance with 2 CFR 200.510(b), the auditee must prepare a Schedule of Expenditures of
Federal Awards for the period covered by the auditee’s financial statements which must include the total
federal awards expended as determined in accordance with 2 CFR 200.502. 2 CFR Section 200.502(a)
states that the determination of when a federal award is expended should be based on when the activity
related to the federal award occurs. Generally, the activity pertains to events that require the non-federal
entity to comply with federal statutes, regulations and the terms and conditions of federal awards, such as
expenditure/expense transactions associated with grant awards.
Condition: We noted that the Schedule of Expenditures of Federal Awards and State Financial
Assistance (Schedule) provided to the auditors for the fiscal year ended September 30, 2024 included
$56,503,870 of federal expenditures for the Federal Transit Cluster, assistance listing number 20.507,
that should have been included in the Schedule for the fiscal year ended September 30, 2023. The
County executed an ARPA transportation grant in September 2023 for which prior year eligible incurred
costs were applied, however, these expenditures were not reported on the County’s Schedule until FY
2024. The Schedule for fiscal year ended September 30, 2023 was reissued to include the $56,503,870
and the expenditures were removed from the Schedule for the fiscal year ended September 30, 2024.
Context: The finding is considered isolated in nature to the federal program in question.
Effect: Improper reporting of federal expenditures resulted in a material error on the Schedule.
Identification as a repeat finding, if applicable: Yes (2023-006)
Cause: The department directly administering this grant did not realize they had to immediately recognize
the expenditures associated with the grant at the time of grant award when the decision was made to
apply prior eligible incurred costs. The transaction was not recorded until the reimbursement request was
submitted in fiscal year 2024.
Recommendation: Grant activities including general ledger activity should be reconciled by the
departments managing the programs and the information communicated timely to the Office of Financial
Management and Budget (OFMB). Depending on the nature and size of the grant programs these
reconciliations could occur, monthly, quarterly or yearly, depending on what is most efficient in each
individual situation. Also additional training could be provided to help enhance the understanding of grant
personnel around some of the important nuances of revenue and expenditure recognition criteria the
County must comply with in accordance with generally accepted accounting principles so they provide
OFMB with sufficient information to prepare the end of year Schedule or so they can ask questions of
OFMB and County Finance and seek assistance for any matters they are unsure of how to process.