FAC Explorer

Audit 362629

FY End
2022-12-31
Total Expended
$1.84M
Findings
22
Programs
10
Organization: City of Cortland (NY)
Year: 2022 Accepted: 2025-07-21
Auditor: Insero & CO CPAS LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
571683 2022-008 - Yes L
571684 2022-008 - Yes L
571685 2022-008 - Yes L
571686 2022-008 - Yes L
571687 2022-008 - Yes L
571688 2022-008 - Yes L
571689 2022-008 - Yes L
571690 2022-004 - - L
571691 2022-008 - Yes L
571692 2022-007 Material Weakness Yes L
571693 2022-009 Significant Deficiency - I
1148125 2022-008 - Yes L
1148126 2022-008 - Yes L
1148127 2022-008 - Yes L
1148128 2022-008 - Yes L
1148129 2022-008 - Yes L
1148130 2022-008 - Yes L
1148131 2022-008 - Yes L
1148132 2022-004 - - L
1148133 2022-008 - Yes L
1148134 2022-007 Material Weakness Yes L
1148135 2022-009 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
66.458 Clean Water State Revolving Fund $839,240 Yes 3
21.027 Coronavirus State and Local Fiscal Recovery Funds $355,154 Yes 2
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $50,785 Yes 1
97.044 Assistance to Firefighters Grant $47,619 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $12,454 - 0
16.554 National Criminal History Improvement Program (nchip) $10,000 - 0
93.568 Low-Income Home Energy Assistance $7,242 - 0
16.607 Bulletproof Vest Partnership Program $4,993 - 0
20.600 State and Community Highway Safety $4,863 - 0
97.067 Homeland Security Grant Program $2,665 - 0

Contacts

Name Title Type
ZV5LERJCPXP5 Elizabeth Greenwood Auditee
6077588373 Duane Shoen Auditor
No contacts on file

Notes to SEFA

Title: Matching Costs Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the City, an entity as defined in Note 1 to the City’s basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. Basis of Accounting The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Uniform Guidance, Audits of State and Local Governments, and Non-Profits Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in, preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect Cost Rates Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The City has elected not to use the 10% de minimis indirect cost rate. Matching costs, such as the City’s share of certain program costs, are not included in the reported expenditures.
Title: Subrecipients Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the City, an entity as defined in Note 1 to the City’s basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. Basis of Accounting The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Uniform Guidance, Audits of State and Local Governments, and Non-Profits Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in, preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect Cost Rates Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The City has elected not to use the 10% de minimis indirect cost rate. No amounts were provided to subrecipients.
Title: Other Disclosures Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the City, an entity as defined in Note 1 to the City’s basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. Basis of Accounting The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Uniform Guidance, Audits of State and Local Governments, and Non-Profits Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in, preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect Cost Rates Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The City has elected not to use the 10% de minimis indirect cost rate. No insurance is carried specifically to cover equipment purchased with Federal Funds. Any equipment purchased with Federal Funds has only a nominal value and is covered by the City’s casualty insurance policies.
Title: Revolving Loan Programs Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs administered by the City, an entity as defined in Note 1 to the City’s basic financial statements. Federal awards received directly from federal agencies, as well as federal awards passed through from other government agencies, are included on the Schedule of Expenditures of Federal Awards. Basis of Accounting The basis of accounting varies by federal program consistent with the underlying regulations pertaining to each program. The information is presented in accordance with the requirements of Uniform Guidance, Audits of State and Local Governments, and Non-Profits Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in, preparation of the financial statements. De Minimis Rate Used: N Rate Explanation: Indirect Cost Rates Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports used as the source for the data presented. The City has elected not to use the 10% de minimis indirect cost rate. The City operates a revolving loan program utilizing federal financial assistance received under current and prior Community Development Block Grants (CDBG). Loans outstanding at December 31, 2022 under these programs, as reported in the City's basic financial statements, are as follows: Loans Receivable - CDBG $ 850,287 (Less) Allowance for Uncollectible Accounts (172,218) Net Loans Receivable $ 678,069 The City disbursed new loans in the amount of $-0- from Community Development Block Grant program income. The City received program income from the repayment of loan principal in the amount of $72,564 during the year.

Finding Details

Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-004
Issue: Noncompliance with Reporting Requirements Classification: Material Noncompliance Federal Agency: U.S. Department of Treasury Federal Program: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: NYS Office of the State Comptroller Criteria: Under the requirements of the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program as codified in 31 CFR Part 35 Subpart A, recipients are required to provide periodic reports providing detailed accounting of the use of funds, modifications to a State or Territory's tax revenue sources, and such other information as may be required (31 CFR 35.4[c]). Under this same requirement, non-entitlement units of local government were required to submit a Project and Expenditure Report (the Report) by April 30, 2022 and then annually thereafter. Condition: The City did not file the Report due by April 30, 2022. Cause: The City did not have a method to accurately track the related expenditures for reporting. Effect or Potential Effect: The City is not in compliance with the federal regulations regarding reporting. Questioned Costs: None. Context: The City was aware of the reporting requirement prior to the single audit; however, they were not able to accurately and appropriately certify the report. Repeat Finding: This finding is not a repeat finding. Recommendation: We recommend the City ensure all required reports are filed in a timely manner. In addition, we recommend the City completes and files the required Report as soon as practicable. Views of Responsible Officials of the Auditee: The City agrees with the finding and has already implemented a detailed tracking guide and is prepared to meet future reporting requirements for this funding.
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-007
Issue: Identification of Federal Awards and Preparation of a Complete and Accurate Schedule of Federal Awards (SEFA) Classification: Material Weakness Federal Agency: U.S. Environmental Protection Agency Federal Program: Capitalization Grants for Clean Water State Revolving Fund Assistance Listing Number: 66.458 Pass-Through Agency: NYS Environmental Facilities Corporation Criteria: The Uniform Guidance requires the auditee to prepare a SEFA for the period covered by the auditee's financial statement. It is the responsibility of the auditee's management to design and implement internal controls that provide reasonable assurance over the completeness and accuracy of the SEFA. The SEFA is the basis for the auditor's identification of major programs. Condition: The City's initial SEFA provided for the audit was incomplete and contained inaccurate program expenditure amounts. In particular, there were multiple federal programs that were not identified on the initial SEFA for the year under audit: 1. ALN 16.554 National Criminal History Improvement Program (NCHIP) 2. ALN 20.600 State and Community Highway Safety 3. ALN 66.458 Capitalization Grants for Clean Water State Revolving Funds 4. ALN 93.568 Low-Income Home Energy Assistance 5. ALN 97.044 Assistance to Firefighters Grant 6. ALN 97.067 Homeland Security Grant Program Cause: The City does not have a method to accurately track the related expenditures for reporting. Effect or Potential Effect: A Uniform Guidance compliance audit is based on the premise that management must comply with federal statutes, regulations and the terms and conditions of the federal awards it received. Without identifying the funds as federal, the auditee may not have complied with those requirements. In addition, there is increased risk regarding the accurate reporting of grant expenditures and noncompliance with policies and procedures surrounding the recording of federal awards. Questioned Costs: None. Context: The City was aware of the requirement to prepare a SEFA prior to the audit; however, they were not able to accumulate the appropriate records to correctly identify the source of funding for all ongoing projects. In addition, management was unable to accurately determine the amounts to be reported on the SEFA in accordance with 2 CFR §200.502. The adjustments to the SEFA amounted to an increase in Total Federal Expenditures reported of $892,160. Repeat Finding: This finding is a repeat of finding 2021-007 from the prior year. Recommendation: We recommend the City develop and implement procedures to ensure that information related to all federal awards is accumulated to assist in the preparation of the SEFA. In addition, we recommend management of the City verify the completeness and accuracy of the amounts reported on the SEFA. Views of Responsible Officials of the Auditee: The City agrees with the finding and will develop a method for accurately tracking federal expenditures.
Finding 2022-009
Issue: Noncompliance with Procurement Suspension and Debarment Requirements Classification: Significant Deficiency Federal Agency: Environmental Protection Agency Federal Program: Capitalization Grants for Clean Water State Revolving Fund Assistance Listing Number: 66.458 Pass-Through Agency: NYS Environmental Facilities Corporation Criteria: Under the requirements of the Capitalization Grants for Clean Water State Revolving Funds the City is required to verify that an entity with which it plans to contract is not debarred, suspended, or otherwise excluded. Condition: The City did not document that it verified that entities with which it plans to contract with are not debarred, suspended, or otherwise excluded. Cause: The City was aware of the requirements regarding suspension and debarment but was not aware of the requirement to document verification. Effect or Potential Effect: The City is not in compliance with procurement requirements. Questioned Costs: None. Repeat Finding: This finding is not a repeat finding. Recommendation: We recommend that the City document its verification that contractors are not debarred, suspended, or otherwise excluded. Views of Responsible Officials of the Auditee: The City agrees with the finding.
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-004
Issue: Noncompliance with Reporting Requirements Classification: Material Noncompliance Federal Agency: U.S. Department of Treasury Federal Program: Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Pass-Through Agency: NYS Office of the State Comptroller Criteria: Under the requirements of the Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program as codified in 31 CFR Part 35 Subpart A, recipients are required to provide periodic reports providing detailed accounting of the use of funds, modifications to a State or Territory's tax revenue sources, and such other information as may be required (31 CFR 35.4[c]). Under this same requirement, non-entitlement units of local government were required to submit a Project and Expenditure Report (the Report) by April 30, 2022 and then annually thereafter. Condition: The City did not file the Report due by April 30, 2022. Cause: The City did not have a method to accurately track the related expenditures for reporting. Effect or Potential Effect: The City is not in compliance with the federal regulations regarding reporting. Questioned Costs: None. Context: The City was aware of the reporting requirement prior to the single audit; however, they were not able to accurately and appropriately certify the report. Repeat Finding: This finding is not a repeat finding. Recommendation: We recommend the City ensure all required reports are filed in a timely manner. In addition, we recommend the City completes and files the required Report as soon as practicable. Views of Responsible Officials of the Auditee: The City agrees with the finding and has already implemented a detailed tracking guide and is prepared to meet future reporting requirements for this funding.
Finding 2022-008
Issue: Noncompliance with Uniform Guidance Late Filing of Single Audit Reporting Package Classification: Material Noncompliance Federal Agency: U.S. Department of Housing and Urban Development, U.S. Department of the Treasury, Environmental Protection Agency Federal Program: Community Development Block Grants/States Program, Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 14.228, 21.027, 66.458 Pass-Through Agency: NYS Office of Community Renewal, NYS Environmental Facilities Corporation Criteria: Under the Single Audit Act of 1996 and Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), §200.512, Report Submission, the Single audit reporting package is required to be filed within the earlier of 30 calendar days after receipt of the auditors' report, or 9 months after the end of the audit period. Cause/Condition: Staffing shortages caused the delays in financial reporting. This deadline was not met on a timely basis for the year ended December 31, 2022. Effect or Potential Effect: As a result, the entity is not in compliance with §200.512 of the Uniform Guidance. Questioned Costs: None. Repeat Finding: This finding is a repeat of finding 2021-004 from the prior year. Recommendation: We recommend the requirements of §200.512 of the Uniform guidance be adhered to by striving to have all information required for the audit available on a timely basis. This will help to ensure timely audit report issuance and compliance with the filing deadline. Views of Responsible Officials of the Auditee: The City agrees with the finding and expects the 2024 reporting package will be filed on time
Finding 2022-007
Issue: Identification of Federal Awards and Preparation of a Complete and Accurate Schedule of Federal Awards (SEFA) Classification: Material Weakness Federal Agency: U.S. Environmental Protection Agency Federal Program: Capitalization Grants for Clean Water State Revolving Fund Assistance Listing Number: 66.458 Pass-Through Agency: NYS Environmental Facilities Corporation Criteria: The Uniform Guidance requires the auditee to prepare a SEFA for the period covered by the auditee's financial statement. It is the responsibility of the auditee's management to design and implement internal controls that provide reasonable assurance over the completeness and accuracy of the SEFA. The SEFA is the basis for the auditor's identification of major programs. Condition: The City's initial SEFA provided for the audit was incomplete and contained inaccurate program expenditure amounts. In particular, there were multiple federal programs that were not identified on the initial SEFA for the year under audit: 1. ALN 16.554 National Criminal History Improvement Program (NCHIP) 2. ALN 20.600 State and Community Highway Safety 3. ALN 66.458 Capitalization Grants for Clean Water State Revolving Funds 4. ALN 93.568 Low-Income Home Energy Assistance 5. ALN 97.044 Assistance to Firefighters Grant 6. ALN 97.067 Homeland Security Grant Program Cause: The City does not have a method to accurately track the related expenditures for reporting. Effect or Potential Effect: A Uniform Guidance compliance audit is based on the premise that management must comply with federal statutes, regulations and the terms and conditions of the federal awards it received. Without identifying the funds as federal, the auditee may not have complied with those requirements. In addition, there is increased risk regarding the accurate reporting of grant expenditures and noncompliance with policies and procedures surrounding the recording of federal awards. Questioned Costs: None. Context: The City was aware of the requirement to prepare a SEFA prior to the audit; however, they were not able to accumulate the appropriate records to correctly identify the source of funding for all ongoing projects. In addition, management was unable to accurately determine the amounts to be reported on the SEFA in accordance with 2 CFR §200.502. The adjustments to the SEFA amounted to an increase in Total Federal Expenditures reported of $892,160. Repeat Finding: This finding is a repeat of finding 2021-007 from the prior year. Recommendation: We recommend the City develop and implement procedures to ensure that information related to all federal awards is accumulated to assist in the preparation of the SEFA. In addition, we recommend management of the City verify the completeness and accuracy of the amounts reported on the SEFA. Views of Responsible Officials of the Auditee: The City agrees with the finding and will develop a method for accurately tracking federal expenditures.
Finding 2022-009
Issue: Noncompliance with Procurement Suspension and Debarment Requirements Classification: Significant Deficiency Federal Agency: Environmental Protection Agency Federal Program: Capitalization Grants for Clean Water State Revolving Fund Assistance Listing Number: 66.458 Pass-Through Agency: NYS Environmental Facilities Corporation Criteria: Under the requirements of the Capitalization Grants for Clean Water State Revolving Funds the City is required to verify that an entity with which it plans to contract is not debarred, suspended, or otherwise excluded. Condition: The City did not document that it verified that entities with which it plans to contract with are not debarred, suspended, or otherwise excluded. Cause: The City was aware of the requirements regarding suspension and debarment but was not aware of the requirement to document verification. Effect or Potential Effect: The City is not in compliance with procurement requirements. Questioned Costs: None. Repeat Finding: This finding is not a repeat finding. Recommendation: We recommend that the City document its verification that contractors are not debarred, suspended, or otherwise excluded. Views of Responsible Officials of the Auditee: The City agrees with the finding.