FAC Explorer

Audit 398784

FY End
2020-09-30
Total Expended
$1.36M
Findings
1
Programs
5
Organization: City of Canton (MS)
Year: 2020 Accepted: 2026-04-15
Auditor: TANN BROWN & RUSS CO PLLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1206655 2020-018 Material Weakness Yes C

Programs

ALN Program Spent Major Findings
20.205 HIGHWAY PLANNING AND CONSTRUCTION $935,955 Yes 1
21.019 COVID-19 CORONAVIRUS RELIEF FUND $308,913 Yes 0
97.083 STAFFING FOR ADEQUATE FIRE AND EMERGENCY RESPONSE (SAFER) $66,966 Yes 0
66.818 BROWNFIELDS MULTIPURPOSE, ASSESSMENT, REVOLVING LOAN FUND, AND CLEANUP COOPERATIVE AGREEMENTS $24,432 Yes 0
16.710 PUBLIC SAFETY PARTNERSHIP AND COMMUNITY POLICING GRANTS $19,614 Yes 0

Contacts

Name Title Type
JMMHCLDM7CR8 Dr. Chuconna Anderson Auditee
6018594331 Scott A. Hodges, Cpa, Cgfm 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 Canton under programs of federal government for the year ended September 30, 2020. 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 the City of Canton, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City of Canton.
The City has responsibility for expending grant funds in accordance with specific instructions from its funding source. Any deficits resulting from over expenditures and/or questioned costs are the responsibility of the City. Any unexpended grant funds at the end of the grant period may be refundable or carried over to the following period at the discretion of the funding sources. Notwithstanding the audits by independent certified public accountants, all costs included in this report remain subject to audit by the agencies providing financial support within the limits of the Uniform Guidance. The determination as to whether costs will be allowable or unallowable under the grants will be made by representatives of the funding sources having authority to make and enforce contracts.

Finding Details

Finding 2020-018
Criteria: Based on the award terms, federal awards (whether direct or passed through another entity) provide funds to a grantee on either a reimbursement basis for payments already made by the grantee or on an advance basis for payments to be made by the grantee immediately after receipt of the funds. Condition: The City received a federal award passed through the Mississippi Department of Transportation (MDOT) that was awarded on a reimbursement basis, but we noted that some grant project costs were not paid prior to requesting and receiving the reimbursements from MDOT. Of the ten MDOT reimbursement requests, nine of the reimbursements were received prior to the City’s payment of the project costs. Cause: The City’s controls over federal award cash management were not functioning as intended. Effect: The City received reimbursements prior to paying some costs. Recommendation: Procedures should be implemented to ensure that reimbursement-type project costs are paid prior to submitting grant reimbursement requests.