Finding 2024-002 - Reporting- Material Weakness Name of Federal Agency: U.S. Department of Treasury Federal Program Name and Assistance Listing Number: Coronavirus State and Local Fiscal Recovery Funds Federal Award Identification Number and Year: 21.027 2024 Name of Pass-through Entity (if applicable): City of College Park Criteria Pursuant to the ARPA grant agreement, management is required to submit a programmatic data report for the previous quarters to the grantor. The report summarizes the expenses utilized and activities supported by ARPA funding. Condition During our testing over reporting, we noted that there were omitted expenses in the ARPA quarterly report and included adjustments that lacked sufficient documentation. Cause Reconciliations of funds were not being performed each month to check for accuracy and completeness. Effect or Potential Effect Failure to comply with the reporting requirements of the Uniform Guidance could result in noncompliance with laws and regulations. Questioned Costs $3,868 expenses from Q3 2023 to Q4 2023. Context We selected four reports submitted to ARPA to report the use of finds over the performance period. We noted that on the March 2024 report, expense from previously submitted reports were said to be omitted. When we inquired with management on the detail of those expenses, we were unable to reconcile all of the reported expenses. Identification as a Repeat Finding This finding is not a repeat finding. Recommendation We recommend that documentation over expense reports be reviewed by management and that monthly reconciliation be performed by appropriate staff in accordance with the client's internal control procedures. Views of Responsible Officials Management concurs with Findings 2024-2 and agrees with the auditor’s recommendation. During this period under the audit, grant expenditures reported to the grantor were not consistently reconciled to the general ledger and underlying supporting documentation before submission. The Partnership recognizes the need for formal grant reporting procedures, document management review, and consistent retention of the records supporting reported expenditures and adjustments.