FAC Explorer

Audit 410885

FY End
2025-12-31
Total Expended
$11.99M
Findings
4
Programs
4
Organization: City of Ishpeming, Michigan (MI)
Year: 2025 Accepted: 2026-09-11
Auditor: ANDERSON TACKMAN & COMPANY PLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1229684 2025-003 Material Weakness Yes ABCI
1229685 2025-003 Material Weakness Yes ABCI
1229686 2025-003 Material Weakness Yes ABCI
1229687 2025-003 Material Weakness Yes ABCI

Programs

ALN Program Spent Major Findings
66.468 DRINKING WATER STATE REVOLVING FUND $5.59M Yes 1
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $141,849 Yes 1
10.935 URBAN AGRICULTURE AND INNOVATIVE PRODUCTION GRANTS PROGRAM (UAIP) $46,897 Yes 0
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $10,428 Yes 0

Contacts

Name Title Type
MCBCM3RDR859 Grey Getschow Auditee
9064581091 Michael Grentz Auditor
No contacts on file

Notes to SEFA

Oversight agencies are assigned to entities that spend less than $50 million in total federal awards in during the fiscal year. The agency that provides the highest amount of direct awards listing on the Schedule is the Oversight Agency. If less than 25% of the City’s total spending comes from direct awards or there are no direct awards, the Oversight Agency is the agency that provides the highest amount of total funding. Based on this criterion, the Department of Treasury is the current year’s Oversight Agency.
The following reconciles federal sources reported in the financial statements to the federal expenditures reported in the Schedule: Governmental Funds – Federal sources $146,057 Proprietary Funds – Federal grant revenue 6,064,724 Reconciling items: Less: Revenue related to prior year expenditures (99,160) Plus: Federal revenue included with State 302,277 Less: State revenue included with Federal (5,477) Plus: DWSRF - Federal loan draws 5,586,363 TOTAL FEDERAL EXPENDITURES $11,994,784
The City had the following amounts passed through to subrecipients for the fiscal year ended December 31, 2025: Assistance Listing Number Program Title / Passed Through To Amount 10.935 COVID-19—Ishpeming Waste Diversion and Soil Rebuilding Initiative Partridge Creek Compost $76,284

Finding Details

Finding 2025-003
2025-003 – WRITTEN POLICIES AND PROCEDURES REQUIRED BY THE UNIFORM GUIDANCE (REPEAT) Federal Agencies: U.S. Department of Treasury; Environmental Protection Agency Program Names: Coronavirus State and Local Fiscal Recovery Funds; Drinking Water State Revolving Fund Assistance Listing Numbers: 21.027; 66.468 Pass-through Entity: Michigan Department of Environment, Great Lakes, and Energy (EGLE); Michigan Department of Labor and Economic Opportunity Grant Number: A5823-01; A7708-01; E20240030, Project 7708-01 Criteria: The Uniform Guidance requires a non-federal entity that has expended federal awards to have written policies pertaining to: 1) advance payments and reimbursements; 2) determination of allowable costs; 3) compensation (personnel and benefits policies); 4) travel costs; and 5) procurement procedures. Pursuant to 2 CFR 200.303(a), an auditee must maintain effective internal controls over the federal awards that provide assurance that the entity is managing the federal awards in compliance with federal statutes, regulations, and conditions of the federal award. Condition: The City was not able to provide written policies and procedures related to the internal control structure over federal awards as required by 2 CFR section 200. Cause: Turnover of key employees. Effect: The City is not compliant with 2 CFR 200.303. Questioned Costs: None. Identification of How Questioned Costs were Computed: N/A Perspective: The City has processes in place to conform with the requirements of the Uniform Guidance; however, no formal written policies and procedures were able to be located during our audit. Repeat Finding: Yes. Recommendation: The City should formalize its policies and procedures related to federal awards through presenting, adopting, and implementing written policies and procedures for internal controls over federal awards. Views of Responsible Officials: Management agrees with the finding and has taken corrective action.