FAC Explorer

Audit 48078

FY End
2022-09-30
Total Expended
$1.11M
Findings
2
Programs
7
Organization: City of Headland (AL)
Year: 2022 Accepted: 2023-04-12
Auditor: Carr Riggs & Ingram LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
51118 2022-001 Material Weakness - P
627560 2022-001 Material Weakness - P

Programs

ALN Program Spent Major Findings
10.760 Water and Waste Disposal Systems for Rural Communities $592,000 Yes 1
20.106 Airport Improvement Program $32,000 - 0
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $15,203 - 0
45.310 Covid-19 Grants to States $14,190 - 0
21.027 Covid-19 Coronavirus State and Local Fiscal Recovery Funds $7,384 - 0
20.600 State and Community Highway Safety $2,007 - 0
20.616 National Priority Safety Programs $1,084 - 0

Contacts

Name Title Type
DC8VV288MBP7 Heather Shippey Auditee
3347855600 Brian Free Auditor
No contacts on file

Notes to SEFA

Title: Note 8: LOANS AND LOAN GUARNTEES Accounting Policies: The SEFA summarizes the federal expenditures of the City of Headland (the City) under programs of the federal government for the year ended September 30, 2022. The amounts reported as federal expenditures were obtained from the City's general ledger. Because the SEFA presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position and changes in net position of the City. For purposes of the SEFA, federal awards include all grants, contracts, and similar agreements entered into directly with the federal government and other pass through entities. The City has obtained Assistance Listing (AL) numbers to ensure that all programs have been identified in the SEFA. AL numbers have been appropriately listed by applicable programs. Federal programs with different AL numbers that are closely related because they share common compliance requirements are defined as a cluster by the Uniform Guidance. The one cluster identified in the SEFA is the following: Highway Safety Cluster Includes awards that assist cities in providing a coordinated national highway safety program to reduce traffic accidents, death, injuries and property damage. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimums indirect cost rate for the fiscal year ended September 30, 2022. The City received a loan from the U.S. Department of Agriculture in the amount of $592,000 under the Water and Waste Disposal Systems program. The outstanding balance of the loan as of September 20, 2022 was $592,000.

Finding Details

Finding 2022-001
Item 2022-001 Uniform Guidance Written Policies, Procedures and Standards of Conduct (Repeat Item 2019-001) U.S. Department of Agriculture Water and Waste Disposal Systems for Rural Communities Assistance Listing #10.760 Year Ended September 30, 2022 Criteria ? Grantees should have written policies, procedures, and standards of conduct as required by 2 CFR 200, Subparts D & E of the Uniform Guidance. 2 CFR 200, Subparts D & E requires the non-Federal entity to establish and maintain written policies, procedures, and standards of conduct including internal controls over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal statutes, regulations, and the terms and conditions of the Federal award. Specific requirements relate to the following: ? ? 200.302 Financial management ? ? 200.305 Payment Condition ? The City does not have written policies, procedures and standards of conduct. Cause ? The entity has failed to prepare written policies, procedures, and standards of conduct as required by 2 CFR 200, Subparts D & E of the Uniform Guidance. Questioned Costs ? Not determinable Effect ? Lack of written policies, procedures, and standards of conduct could result in noncompliance related to federal awards. Recommendation ? We recommend that the Commission prepare written policies, procedures, and standards of conduct to include all the required elements as provided in 2 CFR 200, Subparts D & E of the Uniform Guidance. Management?s Response ? The City will consider all recommendations.
Finding 2022-001
Item 2022-001 Uniform Guidance Written Policies, Procedures and Standards of Conduct (Repeat Item 2019-001) U.S. Department of Agriculture Water and Waste Disposal Systems for Rural Communities Assistance Listing #10.760 Year Ended September 30, 2022 Criteria ? Grantees should have written policies, procedures, and standards of conduct as required by 2 CFR 200, Subparts D & E of the Uniform Guidance. 2 CFR 200, Subparts D & E requires the non-Federal entity to establish and maintain written policies, procedures, and standards of conduct including internal controls over the Federal awards that provides reasonable assurance that the non-Federal entity is managing the Federal statutes, regulations, and the terms and conditions of the Federal award. Specific requirements relate to the following: ? ? 200.302 Financial management ? ? 200.305 Payment Condition ? The City does not have written policies, procedures and standards of conduct. Cause ? The entity has failed to prepare written policies, procedures, and standards of conduct as required by 2 CFR 200, Subparts D & E of the Uniform Guidance. Questioned Costs ? Not determinable Effect ? Lack of written policies, procedures, and standards of conduct could result in noncompliance related to federal awards. Recommendation ? We recommend that the Commission prepare written policies, procedures, and standards of conduct to include all the required elements as provided in 2 CFR 200, Subparts D & E of the Uniform Guidance. Management?s Response ? The City will consider all recommendations.