FAC Explorer

Audit 388871

FY End
2025-06-30
Total Expended
$879,470
Findings
1
Programs
3
Organization: City of Owensville, Missouri (MO)
Year: 2025 Accepted: 2026-02-24
Auditor: K DELUCA AUDIT SERVICES LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1175204 2025-002 Material Weakness Yes I

Programs

ALN Program Spent Major Findings
20.205 HIGHWAY PLANNING AND CONSTRUCTION $473,116 Yes 0
66.468 DRINKING WATER STATE REVOLVING FUND $397,074 Yes 1
97.042 EMERGENCY MANAGEMENT PERFORMANCE GRANTS $9,280 Yes 0

Contacts

Name Title Type
LFLLXXLNSHZ3 Peggy Farrell Auditee
5734372812 Kristen Deluca Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the "Schedule") includes the federal award activity of the City of Owensville, Missouri (the "City") under programs of the federal government for the year ended June 30, 2025. 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). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City has not elected to use the 10-percent de minimis indirect cost rate.
The City did not provide funds to subrecipients in the current year.
The City did not have any outstanding federal loans or loan guarantees during the year ended June 30, 2025.
The City received no non-cash assistance.
The federal programs presented in the previous schedule did not have separate program specific insurance policies.

Finding Details

Finding 2025-002
Failure to Verify Contractor Suspension and Debarment Status. Condition: The City did not verify the suspension or debarment status of a contractor prior to awarding a federally funded contract during the audit period. Criteria: Federal regulations (2 CFR 200.214) require recipients of federal funds to ensure that contractors are not suspended or debarred prior to awarding a contract. Verification may be documented through a SAM.gov search, a contractor certification, or a contract clause addressing suspension and debarment. Cause: The City's current procurement procedures do not specifically outline how suspension and debarment checks should be performed or documented. Staff were unaware of the requirement. Effect: The City increased the risk of awarding federal funds to a contractor who may be suspended or debarred, which could result in noncompliance with federal regulations and potential disallowance of costs. Questioned Costs: None. Recommendation: We recommend the City update its procurement procedures to include a clear process for verifying and documenting suspension and debarment status for all federally funded contracts. Acceptable documentation includes a printed SAM.gov search, a contractor certification, or a contract clause addressing the requirement. Management Response: Management agrees with the finding. The City will revise its procurement procedures and train staff to ensure verification is completed and retained for all federally funded procurements.