FAC Explorer

Audit 386715

FY End
2024-12-31
Total Expended
$6.10M
Findings
1
Programs
21
Organization: Morgan County, Colorado (CO)
Year: 2024 Accepted: 2026-02-11
Auditor: WATSON COON RYAN LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1173235 2024-003 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
93.558 TEMPORARY ASSISTANCE FOR NEEDY FAMILIES $1.09M Yes 0
93.563 CHILD SUPPORT SERVICES $534,999 Yes 0
93.575 CHILD CARE AND DEVELOPMENT BLOCK GRANT $507,602 Yes 0
93.778 MEDICAL ASSISTANCE PROGRAM $489,208 Yes 0
93.658 FOSTER CARE TITLE IV-E $355,549 Yes 0
10.561 STATE ADMINISTRATIVE MATCHING GRANTS FOR THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM $348,765 Yes 0
93.596 CHILD CARE MANDATORY AND MATCHING FUNDS OF THE CHILD CARE AND DEVELOPMENT FUND $245,160 Yes 0
93.659 ADOPTION ASSISTANCE $230,739 Yes 0
93.471 Title IV-E Prevention Program $169,439 Yes 0
93.667 SOCIAL SERVICES BLOCK GRANT $145,242 Yes 0
93.472 Title IV-E Prevention Program $82,214 Yes 0
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $69,172 Yes 0
93.568 LOW-INCOME HOME ENERGY ASSISTANCE $65,685 Yes 0
97.042 EMERGENCY MANAGEMENT PERFORMANCE GRANTS $59,573 Yes 0
16.575 CRIME VICTIM ASSISTANCE $33,673 Yes 0
93.645 STEPHANIE TUBBS JONES CHILD WELFARE SERVICES PROGRAM $28,921 Yes 0
16.606 STATE CRIMINAL ALIEN ASSISTANCE PROGRAM $22,749 Yes 0
93.747 Elder Abuse Prevention Interventions Program $19,005 Yes 0
93.090 GUARDIANSHIP ASSISTANCE $9,710 Yes 0
93.136 INJURY PREVENTION AND CONTROL RESEARCH AND STATE AND COMMUNITY BASED PROGRAMS $3,687 Yes 0
93.674 JOHN H. CHAFEE FOSTER CARE PROGRAM FOR SUCCESSFUL TRANSITION TO ADULTHOOD $1,488 Yes 0

Contacts

Name Title Type
DJ7PHAF73G59 Jessica Trusty Auditee
9705423508 Kelly Watson Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Morgan County under programs of the federal government for the year ended December 31, 2024. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Morgan County, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Morgan County
In 2004, the State of Colorado (the State) implemented the new Colorado Benefits Management System (CBMS), which consolidated legacy systems into one system and also incorporated a rules engine for determining eligibility and calculating and issuing benefits payments. As a result, the counties and the State split eligibility determination functions for certain federal Human Services’ programs under CBMS. Counties are responsible for data collection from applicants and data entry of applicable information into CBMS. Concurrently, the State maintains the computer system supporting the eligibility determination process and pays benefits to the participants. The actual eligibility and payment determinations become the State’s responsibility utilizing CBMS.
No federal awards were passed through to subrecipients for the year-ended December 31, 2024.
The County’s Department of Human Services operates several federally funded human services programs where benefits are provided to qualified citizens. The benefit distribution method consists of participants receiving benefits using a state-maintained electronic banking card (EBT) instead of the County’s cash disbursements. The Colorado Department of Human Services provided total EBT authorizations to qualified citizens in the County, in the amount of $7,725,604 for the year ended December, 31, 2024. The revenue and expenditures associated with these federal programs are not recognized in the County’s basic financial statements.

Finding Details

Finding 2024-003
Finding 2024-003: Inaccurate Reporting of SLFRF Expenditures and Fiscal Year End Federal Program: Coronavirus State and Local Fiscal Recovery Funds (SLFRF) Assistance Listing Number (ALN): 21.027 Federal Agency: U.S. Department of the Treasury Type of Finding: Compliance and significant deficiency in internal control over compliance Criteria: Per Uniform Guidance (2 CFR 200.510(b) and 2 CFR 200.516), recipients must accurately report expenditures and obligations in required annual compliance reports. Reports must also reflect the correct fiscal year end date as required by federal and state reporting standards. Context: Morgan County is a recipient of SLFRF funding and is required to submit accurate annual compliance reports reflecting actual expenditures and the correct fiscal year end. For the reporting period ending March 31, 2025, the County elected the $10 million standard allowance for revenue loss and was required to report all SLFRF expenditures incurred during the year ended December 31, 2024. Condition: The County’s SLFRF compliance report for the year ended December 31, 2024 included several clerical errors including incorrectly reporting there were $0 in current period expenditures rather than the $1,660,202 included on the Schedule of Expenditures of Federal awards as well as incorrectly listing the fiscal year end date as December 31, 2023. Cause: The errors appear to be due to insufficient oversight in preparing the annual compliance report due to staffing issues within the County. Effect: The inaccurate reporting resulted in noncompliance with federal and state reporting requirements. This may impact the transparency and accountability of SLFRF fund usage. Questioned Costs: None Recommendation: Morgan County should implement procedures to ensure accurate reporting of expenditures and correct fiscal year end dates in all future SLFRF compliance reports. The County should ensure that all future reports are reconciled to actual activity and comply with SLFRF and Uniform Guidance requirements. Views of Responsible Officials: Management concurs with the finding and will address the issue as outlined in the corrective action plan included in this report