FAC Explorer

Audit 395839

FY End
2025-06-30
Total Expended
$34.39M
Findings
1
Programs
2
Organization: Yucaipa Valley Water District (CA)
Year: 2025 Accepted: 2026-03-30
Auditor: DAVIS FARR LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1201139 2025-001 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
66.958 WATER INFRASTRUCTURE FINANCE AND INNOVATION (WIFIA) $33.25M Yes 1
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $1.14M Yes 0

Contacts

Name Title Type
LJV9PU1UGLT6 Allison Edmisten Auditee
9097976416 Jennifer Farr 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 Yucaipa Valley Water District under programs of the federal government for the year ended June 30, 2024. The information in the 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 the District, it is not intended to and does not present the financial position, changes in net assets or cash flows of the District.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement.
The District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2025-001
Program: Water Infrastructure Finance and Innovation (WIFIA) Assistance Listing No.: 66.958 Federal Grantor: Environmental Protection Agency Passed-through: N/A – Direct Assistance Award No.: 21107CA Criteria Per the grant requirements, the Grantee is required to submit one completed progress report quarterly (totaling four annually), in the form/format provided by the Environmental Protection Agency (EPA). For the duration of the Project Performance Period, the Grantee must report for the periods of: January 1 – March 31; April 1 – June 30; July 1 – September 30; and October 1 – December 31. The Grantee should furnish one copy of the completed progress report to the assigned EPA Grant Manager on or before the thirtieth (30th) calendar day of the month following the end of the quarter for which the report is submitted. Condition During our audit, we noted three instances of non-compliance regarding the timeliness of required quarterly reporting for the WIFIA grant. The instances of non-compliance are as follows: • Quarter 2 Report – due October 31, 2024, submitted November 5, 2024 • Quarter 3 Report – due April 30, 2025, submitted May 5, 2025 • Quarter 4 Report – due July 30, 2025, submitted August 13, 2025 Questioned Costs No questioned costs were identified as a result of our procedures. Effect As a result of the untimely submission of required quarterly reports for the WIFIA grant, compliance with federal grant reporting requirements was not met. Cause The delays in reporting were due to weaknesses in the District’s internal controls for tracking and ensuring timely submission of grant-related reports. The existing system did not sufficiently flag the required reporting deadlines, leading to missed timelines. Recommendation We recommend that the District enhance the system of internal controls for tracking reporting requirements to ensure timely reporting as required by the grant agreements.