Audit 392895

Assistance Listing: 21.027 Federal Program: Coronavirus State and Local Fiscal Recovery Funds Federal Agency: Department of the Treasury Award Year: 2025 Criteria: According to federal grant reporting requirements, all expenses on the Project & Expenditure Report submission must be complete, accurate, and properly supported by documentation. Accurate reporting is essential to comply with federal regulations and to ensure transparency in financial reporting. Condition: The reported expenses did not accurately reflect the underlying financial records resulting in discrepancies between the submission and the financial statements. Cause: The Town did not have proper controls in place to detect and correct errors in the federal submission process. Effect: Misstated expenses could lead to noncompliance with federal award requirements, potential funding adjustments, and increased risk of audit findings. Inaccurate reporting may also impact financial decision-making and reduce confidence in the Town’s financial statements. Questioned Cost Amount: Not Applicable. Context: During the year, the Town reported the grant as fully expended on its annual Project & Expenditure Report submission , however $104,345 of grant funds remained to be spent. Recommendation: We recommend the Town implement strengthened review and approval procedures to ensure all reported expenses are complete and accurate. Management’s Response: The Town of West Point’s Management has received and reviewed the Schedule of Findings provided by Robinson, Farmer, Cox Associates and has developed a corrective action plan in response to those findings. A copy of our detailed plan has been made available to the Town Council and the auditors.