U.S. Department of Transportation Assistance Listing # 20.106 – Airport Improvement Program 2024-001: Equipment and Real Property Management (Significant Deficiency in Internal Control over Compliance and Immaterial Noncompliance) Criteria: Property records for equipment purchased with federal funds must be maintained at a level of detail that includes a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)). Condition: Our testing of the expenditures of Airport Improvement Program funds identified $192,000 of equipment purchased as part of the rehabilitation of the air traffic control tower. This equipment was recorded in the Authority’s property records. However, the property records did not contain the required data elements noted above. Effect: The Authority lacks a policy for recording federally funded equipment purchases within the property records that ensures the required data elements are captured within the property records. As a result, the Authority was not compliant with the equipment and real property management requirements of the Airport Improvement Program. Cause: The Authority’s management during the 2024 fiscal year did not appear to be aware of the equipment and real property management requirements of the Airport Improvement Program. Questioned Costs: None Context: The Authority administered two Airport Improvement Programs during the 2024 fiscal year. Total 2024 expenditures of Airport Improvement Program funds amounted to $1,710,388. Of this amount, $192,000 was for equipment that is subject to the equipment and real property management. Recommendation: We recommend the Authority review its current policies, procedures, and internal controls over the expenditure of federal awards. We recommend management establish a procedure for tracking equipment purchased with federal funding to ensure the property records contain the required data elements of the equipment and real property management compliance requirement of the Airport Improvement Program. Management’s Response: We agree with the auditor’s findings and will implement procedures to ensure our property records capture the date elements required by the equipment and real property management compliance requirement.
U.S. Department of Transportation Assistance Listing # 20.106 – Airport Improvement Program 2024-001: Equipment and Real Property Management (Significant Deficiency in Internal Control over Compliance and Immaterial Noncompliance) Criteria: Property records for equipment purchased with federal funds must be maintained at a level of detail that includes a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)). Condition: Our testing of the expenditures of Airport Improvement Program funds identified $192,000 of equipment purchased as part of the rehabilitation of the air traffic control tower. This equipment was recorded in the Authority’s property records. However, the property records did not contain the required data elements noted above. Effect: The Authority lacks a policy for recording federally funded equipment purchases within the property records that ensures the required data elements are captured within the property records. As a result, the Authority was not compliant with the equipment and real property management requirements of the Airport Improvement Program. Cause: The Authority’s management during the 2024 fiscal year did not appear to be aware of the equipment and real property management requirements of the Airport Improvement Program. Questioned Costs: None Context: The Authority administered two Airport Improvement Programs during the 2024 fiscal year. Total 2024 expenditures of Airport Improvement Program funds amounted to $1,710,388. Of this amount, $192,000 was for equipment that is subject to the equipment and real property management. Recommendation: We recommend the Authority review its current policies, procedures, and internal controls over the expenditure of federal awards. We recommend management establish a procedure for tracking equipment purchased with federal funding to ensure the property records contain the required data elements of the equipment and real property management compliance requirement of the Airport Improvement Program. Management’s Response: We agree with the auditor’s findings and will implement procedures to ensure our property records capture the date elements required by the equipment and real property management compliance requirement.
U.S. Department of Transportation Assistance Listing # 20.106 – Airport Improvement Program 2024-001: Equipment and Real Property Management (Significant Deficiency in Internal Control over Compliance and Immaterial Noncompliance) Criteria: Property records for equipment purchased with federal funds must be maintained at a level of detail that includes a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)). Condition: Our testing of the expenditures of Airport Improvement Program funds identified $192,000 of equipment purchased as part of the rehabilitation of the air traffic control tower. This equipment was recorded in the Authority’s property records. However, the property records did not contain the required data elements noted above. Effect: The Authority lacks a policy for recording federally funded equipment purchases within the property records that ensures the required data elements are captured within the property records. As a result, the Authority was not compliant with the equipment and real property management requirements of the Airport Improvement Program. Cause: The Authority’s management during the 2024 fiscal year did not appear to be aware of the equipment and real property management requirements of the Airport Improvement Program. Questioned Costs: None Context: The Authority administered two Airport Improvement Programs during the 2024 fiscal year. Total 2024 expenditures of Airport Improvement Program funds amounted to $1,710,388. Of this amount, $192,000 was for equipment that is subject to the equipment and real property management. Recommendation: We recommend the Authority review its current policies, procedures, and internal controls over the expenditure of federal awards. We recommend management establish a procedure for tracking equipment purchased with federal funding to ensure the property records contain the required data elements of the equipment and real property management compliance requirement of the Airport Improvement Program. Management’s Response: We agree with the auditor’s findings and will implement procedures to ensure our property records capture the date elements required by the equipment and real property management compliance requirement.
U.S. Department of Transportation Assistance Listing # 20.106 – Airport Improvement Program 2024-001: Equipment and Real Property Management (Significant Deficiency in Internal Control over Compliance and Immaterial Noncompliance) Criteria: Property records for equipment purchased with federal funds must be maintained at a level of detail that includes a description of the property, a serial number or other identification number, the source of funding for the property (including the federal award identification number), who holds title, the acquisition date, cost of the property, percentage of federal participation in the project costs for the federal award under which the property was acquired, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sales price of the property (2 CFR section 200.313(d)(1)). Condition: Our testing of the expenditures of Airport Improvement Program funds identified $192,000 of equipment purchased as part of the rehabilitation of the air traffic control tower. This equipment was recorded in the Authority’s property records. However, the property records did not contain the required data elements noted above. Effect: The Authority lacks a policy for recording federally funded equipment purchases within the property records that ensures the required data elements are captured within the property records. As a result, the Authority was not compliant with the equipment and real property management requirements of the Airport Improvement Program. Cause: The Authority’s management during the 2024 fiscal year did not appear to be aware of the equipment and real property management requirements of the Airport Improvement Program. Questioned Costs: None Context: The Authority administered two Airport Improvement Programs during the 2024 fiscal year. Total 2024 expenditures of Airport Improvement Program funds amounted to $1,710,388. Of this amount, $192,000 was for equipment that is subject to the equipment and real property management. Recommendation: We recommend the Authority review its current policies, procedures, and internal controls over the expenditure of federal awards. We recommend management establish a procedure for tracking equipment purchased with federal funding to ensure the property records contain the required data elements of the equipment and real property management compliance requirement of the Airport Improvement Program. Management’s Response: We agree with the auditor’s findings and will implement procedures to ensure our property records capture the date elements required by the equipment and real property management compliance requirement.