FAC Explorer

Audit 405200

FY End
2025-09-30
Total Expended
$17.25M
Findings
1
Programs
8
Organization: Antonio B. Won Pat International Airport Authority, Guam (GU)
Year: 2025 Accepted: 2026-06-28
Auditor: ERNST & YOUNG LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1219662 2025-001 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
20.106 AIRPORT IMPROVEMENT PROGRAM, INFRASTRUCTURE INVESTMENT AND JOBS ACT PROGRAMS, AND COVID-19 AIRPORTS PROGRAMS $14.68M Yes 1
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $2.31M Yes 0
15.875 ECONOMIC, SOCIAL, AND POLITICAL DEVELOPMENT OF THE TERRITORIES $119,520 Yes 0
16.922 EQUITABLE SHARING PROGRAM $60,484 Yes 0
16.U01 Drug Enforcement Administration - GIAA Task Force Program $30,633 Yes 0
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $25,000 Yes 0
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $11,866 Yes 0
21.016 EQUITABLE SHARING $3,224 Yes 0

Contacts

Name Title Type
CBDXKNH7L5H9 John Quinata Auditee
6716460300 Rizalito Paglingayen Auditor
No contacts on file

Notes to SEFA

The Antonio B. Won Pat International Airport Authority, Guam (the Authority), was created by Public Law 13-57 (as amended) as a component unit of the Government of Guam. Only the transactions of the Authority are included within the scope of the Single Audit.
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of the Authority under programs of the federal government for the year ended September 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). Because the Schedule presents only a selected portion of the operations of the Authority, it is not intended to and does not present the net position, changes in net position, or cash flows of the Authority.
Basis of Accounting Expenditures reported on the Schedule are reported on the accrual basis of accounting, consistent with the manner in which the Authority maintains its accounting records. 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. Pass-through entity identifying numbers are presented when available. Indirect Cost Allocation The Authority has elected not to use the 15 percent de minimis indirect cost rate as covered in 2 CFR §200.414 of the Uniform Guidance. The Authority does not receive any indirect cost allocation and no indirect costs were recorded against any federal program for the year ended September 30, 2025.

Finding Details

Finding 2025-001
Finding No.: 2025-001 Federal Agency: U.S. Department of Transportation AL No. and Title: 20.106 Airport Improvement Program, Infrastructure Investment and Jobs Act Programs, and COVID-19 Airport Programs (ALN 20.106) Federal Award Nos.: 3-66-0001-110-2021, 3-66-0001-116-2022, 3-66-0001-117-2023, 3-66-0001-118-2023, 3-66-0001-119-2023, 3-66-0001-120-2023, 3-66-0001-121-2023, 3-66-0001-122-2024, 3-66-0001-123-2024, 3-66-0001-126-2025, 3-66-0001-127-2025, 3-66-0001-130-2025, 3-66-0001-131-2025, 3-66-0001-132-2025, 3-66-0001-133-2025 Area: P. Other; Preparation of the schedule of expenditures of federal awards Criteria: The Authority’s accounting policy is to report expenditures of federal awards on the accrual basis of accounting. According to the Uniform Guidance, for grants, the basis for determining when award is expended is when the expenditure or expense transactions occur. Condition: In the Schedule of Expenditures of Federal Awards (SEFA) for the year ended September 30, 2025 for ALN 20.106, the Authority improperly included expenditures that occur in prior years amounting to $3,771,161 and improperly excluded expenditures that occur in the current fiscal year amounting to $2,732,252. Further, $81,904 expenditures were improperly excluded in the SEFA for the year ended September 30, 2024. As a result, the federal grants receivable and federal grants as of and for the years ended September 30, 2023, 2024 and 2025 are misstated as follows: 2023 2024 2025 Federal grants receivable - under (over) $2,529,283 $3,852,255 $(1,038,909) Federal grants revenue - under (over) 2,529,283 1,322,972 (3,771,161) The Authority corrected the error and restated prior year financial statements. Cause: The Authority, in effect, used cash basis of accounting in preparing the SEFA. Effect or potential effect: The Authority is in non-compliance with its accounting policy of preparing SEFA on the accrual basis of accounting. The SEFA and the financial statements as of and for the years ended September 30, 2023, 2024 and 2025 are materially misstated as a result. The prior year financial statements and SEFA need to be restated to correct the error. Questioned costs: None Context: During the course of testing controls and compliance, audit team noted expenditures reported in the current year SEFA that occurred in prior years. Audit team communicated the observation to management and obtained the updated SEFA that has been subjected to further audit. Identification as a repeat finding: Not applicable Recommendation: The Authority should ensure compliance with its accounting policy in preparing the SEFA, and formalize steps and internal controls to ensure completeness and accuracy of the SEFA. Views of responsible officials: The Authority acknowledges the finding and attributes it to a change made in the later part of FY23 due to guidance provided by the previous auditor to recognize reimbursements as a receivable only after related invoices were paid. Additionally, a project pending vendor resolution was accrued as an estimate in one fiscal year with the actual invoice and payment approved in a subsequent fiscal year causing a significant portion of the misstatement. Conclusion: We reported this finding based on the requirements of the Uniform Guidance on when an award is expended, and the Authority’s elected accrual basis of accounting.