Audit 415798

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000065043, C000070006, C000073770, C000080676; CDBG - Disaster Recovery Grants - Pub. L. No. 113- 2 Cluster - Assistance Listing No. 14.269 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Number - C000080676; Grant Period - Year Ended December 31, 2022. Material weakness: See deficiency 2022-001 in Section II. SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS (SEFA) Criteria: Uniform Guidance requires the County to prepare a SEFA that meets the minimum schedule requirements. Condition: The following errors and omissions were identified: The SEFA did not include various programs with federal expenditures totaling $556,316. Federal expenditures were misstated a total of $804,361 for various programs on the SEFA. The SEFA did not identify correct pass-through grantor’s number for three programs. The SEFA did not identify correct federal agency for two programs. The SEFA did not include amounts passed-through to subrecipients for one program. The SEFA did not separately identify COVID-19 funds for two programs. Cause: The County’s internal controls are not properly designed to prepare and review the SEFA. Effect: Prior to adjustment, the SEFA was inaccurate and materially misstated. Questioned Costs: Not applicable. Perspective Information: Not applicable. Identification of Repeat Findings: 2021-001. Recommendation: The individuals who prepare and review the SEFA should ensure it meets the Uniform Guidance schedule requirements. Views of Responsible Officials: Management agrees with the finding. Planned Corrective Action: See the County’s corrective action plan.

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000065043, C000070006, C000073770, C000080676; CDBG - Disaster Recovery Grants - Pub. L. No. 113- 2 Cluster - Assistance Listing No. 14.269 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Number - C000080676; Grant Period - Year Ended December 31, 2022. Criteria: The data collection form is required to be submitted to the Federal Audit Clearinghouse by the deadline, including extensions, after the end of the audit period. Condition: The data collection form was not submitted by the September 30, 2023 due date. Cause: The Schedule of Expenditures of Federal Awards was not completed in time to submit the data collection form by the due date. Effect: The County could have grant awards withheld until the data collection form is submitted. Questioned Costs: Not applicable. Perspective Information: Not applicable. Identification of Repeat Findings: 2021-014. Recommendation: The data collection form should be completed and submitted by September 30. Views of Responsible Officials: Management agrees with the finding. Planned Corrective Action: See the County’s corrective action plan.

Community Development Block Grant - Assistance Listing No. 14.228 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Numbers - C000065043, C000070006, C000073770, C000080676; CDBG - Disaster Recovery Grants - Pub. L. No. 113- 2 Cluster - Assistance Listing No. 14.269 passed through the Pennsylvania Department of Community and Economic Development - Pass-through Grantor’s Number - C000080676; Grant Period - Year Ended December 31, 2022. Material weakness: See deficiency 2022-009 in Section II. COMMUNITY DEVELOPMENT BLOCK GRANTS (CDBG) Criteria: GAAP requires recording grant revenues and the related eligible expenditures separately, rather than offsetting them. Condition: The County netted CDBG grant revenues against CDBG grant expenditures. Cause: The County’s procedures are not adequately designed to ensure that grant activity is properly recorded on the financial statements. Effect: Revenues and expenditures on the financial statements were materially understated. Questioned Costs: Not applicable. Perspective Information: Not applicable. Identification of Repeat Findings: Not applicable. Recommendation: The County should report grant activity on the financial statements in accordance with GASB accounting and financial reporting principles. Views of Responsible Officials: Management agrees with the finding. Planned Corrective Action: See the County’s corrective action plan.