FAC Explorer

Audit 53374

FY End
2022-06-30
Total Expended
$34.55M
Findings
4
Programs
12
Organization: City of Fairfield (CA)
Year: 2022 Accepted: 2023-03-26
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
46492 2022-002 Significant Deficiency - L
48420 2022-002 Significant Deficiency - L
622934 2022-002 Significant Deficiency - L
624862 2022-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
14.871 Section 8 Housing Choice Vouchers $10.60M - 0
20.507 Covid-19 Federal Transit_formula Grants $2.60M Yes 0
20.507 Federal Transit_formula Grants $1.47M Yes 0
21.027 Covid-19 Coronavirus State and Local Fiscal Recovery Funds $467,689 Yes 1
14.239 Home Investment Partnerships Program $455,487 - 0
97.083 Staffing for Adequate Fire and Emergency Response (safer) $387,465 - 0
14.218 Community Development Block Grants/entitlement Grants $273,072 - 0
20.600 State and Community Highway Safety $126,702 - 0
14.218 Covid-19 Community Development Block Grants/entitlement Grants $103,271 - 0
20.205 Highway Planning and Construction $33,924 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $19,970 - 0
97.044 Assistance to Firefighters Grant $18,722 - 0

Contacts

Name Title Type
RKK3CJAGJ3G4 Myles Dixon Auditee
7074287567 Kinnaly Soukhaseum Auditor
No contacts on file

Notes to SEFA

Title: Reporting Entity Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting for governmental funds and the accrual basis of accounting for proprietary funds, except for subrecipient expenditures, which are reported on the cash basis. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: For the year ended June 30, 2022, the City did not have any federal award activity that included an indirect cost rate, therefore, the City did not elect to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The financial reporting entity consists of (a) the primary government, City of Fairfield, California (the City), (b) organizations for which the primary government is financially accountable, which include the Fairfield Public Financing Authority, Fairfield Municipal Park Improvement District No. 1, Fairfield Storm Drain Facilities Improvement District No. 1, Fairfield Water Facilities Improvement District No. 1, Fairfield Community Facilities Districts and the Housing Authority of the City of Fairfield, and (c) other organizations for which the primary government is not accountable, but for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entitys financial statements to be misleading or incomplete.
Title: Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting for governmental funds and the accrual basis of accounting for proprietary funds, except for subrecipient expenditures, which are reported on the cash basis. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: For the year ended June 30, 2022, the City did not have any federal award activity that included an indirect cost rate, therefore, the City did not elect to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the City under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations 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 City, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City.

Finding Details

Finding 2022-002
Federal Agency: U.S. Department of the Treasury Program/Cluster: Coronavirus State and Local Fiscal Recovery Funds Federal Assistance Listing Number: 21.027 Pass-through: N/A Award No. and Year: N/A Compliance Requirement: Reporting Type of Finding: Significant Deficiency Criteria: Per 2 CFR 200.303, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. This includes internal controls over maintaining records of the preparer and approver of required reports. Condition: We identified 4 instances in which the City did not retain evidence to document the individual who reviewed the required reports prior to submission. Of the instances identified, 3 of the reports (1 interim, and 2 quarterly reports) had zero activity reported for the period. Cause: The City?s procedures did not include documenting the review of the reports prior to submission. Effect: Ineffective controls over this area of compliance could result in reports that are inaccurate or incomplete being submitted to the granting agency. Questioned Costs: No questioned costs were identified as a result of our procedures. Context/Sampling: All interim (1) and quarterly (3) financial reports were selected for testing. Repeat Finding from Prior Year(s): No. Recommendation: We recommend that the City revise its procedures to include evidence to document the individual who reviewed required reports prior to submission. Views of Responsible Officials: Management partially concurs with the finding. See separate corrective action plan.
Finding 2022-002
Federal Agency: U.S. Department of the Treasury Program/Cluster: Coronavirus State and Local Fiscal Recovery Funds Federal Assistance Listing Number: 21.027 Pass-through: N/A Award No. and Year: N/A Compliance Requirement: Reporting Type of Finding: Significant Deficiency Criteria: Per 2 CFR 200.303, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. This includes internal controls over maintaining records of the preparer and approver of required reports. Condition: We identified 4 instances in which the City did not retain evidence to document the individual who reviewed the required reports prior to submission. Of the instances identified, 3 of the reports (1 interim, and 2 quarterly reports) had zero activity reported for the period. Cause: The City?s procedures did not include documenting the review of the reports prior to submission. Effect: Ineffective controls over this area of compliance could result in reports that are inaccurate or incomplete being submitted to the granting agency. Questioned Costs: No questioned costs were identified as a result of our procedures. Context/Sampling: All interim (1) and quarterly (3) financial reports were selected for testing. Repeat Finding from Prior Year(s): No. Recommendation: We recommend that the City revise its procedures to include evidence to document the individual who reviewed required reports prior to submission. Views of Responsible Officials: Management partially concurs with the finding. See separate corrective action plan.
Finding 2022-002
Federal Agency: U.S. Department of the Treasury Program/Cluster: Coronavirus State and Local Fiscal Recovery Funds Federal Assistance Listing Number: 21.027 Pass-through: N/A Award No. and Year: N/A Compliance Requirement: Reporting Type of Finding: Significant Deficiency Criteria: Per 2 CFR 200.303, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. This includes internal controls over maintaining records of the preparer and approver of required reports. Condition: We identified 4 instances in which the City did not retain evidence to document the individual who reviewed the required reports prior to submission. Of the instances identified, 3 of the reports (1 interim, and 2 quarterly reports) had zero activity reported for the period. Cause: The City?s procedures did not include documenting the review of the reports prior to submission. Effect: Ineffective controls over this area of compliance could result in reports that are inaccurate or incomplete being submitted to the granting agency. Questioned Costs: No questioned costs were identified as a result of our procedures. Context/Sampling: All interim (1) and quarterly (3) financial reports were selected for testing. Repeat Finding from Prior Year(s): No. Recommendation: We recommend that the City revise its procedures to include evidence to document the individual who reviewed required reports prior to submission. Views of Responsible Officials: Management partially concurs with the finding. See separate corrective action plan.
Finding 2022-002
Federal Agency: U.S. Department of the Treasury Program/Cluster: Coronavirus State and Local Fiscal Recovery Funds Federal Assistance Listing Number: 21.027 Pass-through: N/A Award No. and Year: N/A Compliance Requirement: Reporting Type of Finding: Significant Deficiency Criteria: Per 2 CFR 200.303, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. This includes internal controls over maintaining records of the preparer and approver of required reports. Condition: We identified 4 instances in which the City did not retain evidence to document the individual who reviewed the required reports prior to submission. Of the instances identified, 3 of the reports (1 interim, and 2 quarterly reports) had zero activity reported for the period. Cause: The City?s procedures did not include documenting the review of the reports prior to submission. Effect: Ineffective controls over this area of compliance could result in reports that are inaccurate or incomplete being submitted to the granting agency. Questioned Costs: No questioned costs were identified as a result of our procedures. Context/Sampling: All interim (1) and quarterly (3) financial reports were selected for testing. Repeat Finding from Prior Year(s): No. Recommendation: We recommend that the City revise its procedures to include evidence to document the individual who reviewed required reports prior to submission. Views of Responsible Officials: Management partially concurs with the finding. See separate corrective action plan.