FAC Explorer

Audit 44958

FY End
2022-09-30
Total Expended
$4.31M
Findings
2
Programs
6
Organization: Harrison County, Mississippi (MS)
Year: 2022 Accepted: 2023-06-29
Auditor: Pattillo Brown & Hill LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
46523 2022-001 Significant Deficiency - L
622965 2022-001 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
21.027 Covid-19 - Coronavirus State and Local Fiscal Recovery Funds $4.15M Yes 1
20.106 Airport Improvement Program $59,000 - 0
10.555 National School Lunch Program $38,130 - 0
16.606 State Criminal Alien Assistance Program $24,985 - 0
16.034 Covid-19 - Coronavirus Emergency Supplemental Funding Program $14,981 - 0
97.067 Homeland Security Grant Program $5,956 - 0

Contacts

Name Title Type
FHAKXX7WKML3 Becky Haynes Auditee
9039358405 John K. Manning Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of the County under programs of the federal government for the year ended September 30, 2022. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 County, it is not intended and does not present the financial position, changes in net position/fund balance or cash flows of the County. The County accounts for federal funding using the modified accrual basis of accounting. This basis of accounting recognizes revenues in the accounting period in which they become susceptible to accrual, i.e. both measurable and available, and expenditures in the accounting period in which the liability is incurred, if measurable, except for certain compensated absences, claims and judgments, which are recognized when the obligations are expected to be liquidated with expendable available financial resources. Federal grant funds are considered to be earned to the extent of expenditures made under the provisions of the grant, and, accordingly, when such funds are received, they are recorded as unearned revenue until earned. Generally, unused balances are returned to the grantor at the close of specified project periods. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001
Type: Significant Deficiency Compliance Requirement: Reporting Criteria: The U.S. Department of Treasury SLFRF Compliance and Reporting Guidance requires the County prepare quarterly submissions of the Project and Expenditure Report. The 2022 Compliance Supplement identifies multiple Key Line Items in the report, including cumulative expenditures and current period expenditures. Internal control should be established and maintained to provide reasonable assurance that these requirements are complied with by submitting the reports accurately. Condition: For the fiscal year under audit, the Project and Expenditure Report reported cumulative expenditures as program income, and the total obligation was reported as cumulative expenditures before the amounts had actually been spent. Cause: The County followed a process for reviewing the reports and understanding program requirements; however, the new and emerging nature of the program and related guidance limited the internal knowledge necessary to identify the errors. Effect: Required reports submitted to the Federal Agency contained inaccuracies to identified key elements. Recommendation: We recommend that the County expand its review process for key reports to consider if new or emerging funding merits additional staff training or the engagement of outside assistance. Management?s Response: We agree with the finding and have initiated discussions to provide training and implement procedures to ensure compliance.
Finding 2022-001
Type: Significant Deficiency Compliance Requirement: Reporting Criteria: The U.S. Department of Treasury SLFRF Compliance and Reporting Guidance requires the County prepare quarterly submissions of the Project and Expenditure Report. The 2022 Compliance Supplement identifies multiple Key Line Items in the report, including cumulative expenditures and current period expenditures. Internal control should be established and maintained to provide reasonable assurance that these requirements are complied with by submitting the reports accurately. Condition: For the fiscal year under audit, the Project and Expenditure Report reported cumulative expenditures as program income, and the total obligation was reported as cumulative expenditures before the amounts had actually been spent. Cause: The County followed a process for reviewing the reports and understanding program requirements; however, the new and emerging nature of the program and related guidance limited the internal knowledge necessary to identify the errors. Effect: Required reports submitted to the Federal Agency contained inaccuracies to identified key elements. Recommendation: We recommend that the County expand its review process for key reports to consider if new or emerging funding merits additional staff training or the engagement of outside assistance. Management?s Response: We agree with the finding and have initiated discussions to provide training and implement procedures to ensure compliance.