Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-005 Prior Year Finding: No Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: Maryland Department of Health Federal Program: COVID-19 ? Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Assistance Listing Number: 93.323 Award Number and Year: ELC08CHW (3/1/2021 ? 2/28/2022) Compliance Requirement: Reporting Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: Per Maryland Department of Health, subgrantees are required to submit Monthly Status Reports by the 10th of the month they are reporting on. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not file Monthly Status Reports in a timely manner. Context: Five Monthly Status Reports were selected for testing. The County did not file three of those five Monthly Status Reports in a timely manner. Questioned costs: None noted. Cause: The County?s procedures and controls were not sufficient to ensure that Monthly Status Reports were filed timely. Effect: The County was not in compliance with the program?s reporting requirements. Recommendation: The County should review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Section III ? Federal Award Findings and Questioned Costs (Continued) Views of responsible officials: The Health Department will review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Specifically, the Health Department will update the routing reporting deliverables matrix that documents all grant reporting requirements and frequency to ensure we are in compliance with the reporting requirements. In addition, we will update our internal grant guidance document to include all control requirements per 2 CFR section 200.303, by adding language to establish and maintain effective internal controls over the Federal award. We will hold a meeting with the fiscal team once the internal grant guidance document is updated to ensure compliance with guidance in standards for internal control in the Federal Government.
Reference Number: 2022-005 Prior Year Finding: No Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: Maryland Department of Health Federal Program: COVID-19 ? Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Assistance Listing Number: 93.323 Award Number and Year: ELC08CHW (3/1/2021 ? 2/28/2022) Compliance Requirement: Reporting Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: Per Maryland Department of Health, subgrantees are required to submit Monthly Status Reports by the 10th of the month they are reporting on. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not file Monthly Status Reports in a timely manner. Context: Five Monthly Status Reports were selected for testing. The County did not file three of those five Monthly Status Reports in a timely manner. Questioned costs: None noted. Cause: The County?s procedures and controls were not sufficient to ensure that Monthly Status Reports were filed timely. Effect: The County was not in compliance with the program?s reporting requirements. Recommendation: The County should review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Section III ? Federal Award Findings and Questioned Costs (Continued) Views of responsible officials: The Health Department will review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Specifically, the Health Department will update the routing reporting deliverables matrix that documents all grant reporting requirements and frequency to ensure we are in compliance with the reporting requirements. In addition, we will update our internal grant guidance document to include all control requirements per 2 CFR section 200.303, by adding language to establish and maintain effective internal controls over the Federal award. We will hold a meeting with the fiscal team once the internal grant guidance document is updated to ensure compliance with guidance in standards for internal control in the Federal Government.
Reference Number: 2022-005 Prior Year Finding: No Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: Maryland Department of Health Federal Program: COVID-19 ? Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Assistance Listing Number: 93.323 Award Number and Year: ELC08CHW (3/1/2021 ? 2/28/2022) Compliance Requirement: Reporting Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: Per Maryland Department of Health, subgrantees are required to submit Monthly Status Reports by the 10th of the month they are reporting on. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not file Monthly Status Reports in a timely manner. Context: Five Monthly Status Reports were selected for testing. The County did not file three of those five Monthly Status Reports in a timely manner. Questioned costs: None noted. Cause: The County?s procedures and controls were not sufficient to ensure that Monthly Status Reports were filed timely. Effect: The County was not in compliance with the program?s reporting requirements. Recommendation: The County should review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Section III ? Federal Award Findings and Questioned Costs (Continued) Views of responsible officials: The Health Department will review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Specifically, the Health Department will update the routing reporting deliverables matrix that documents all grant reporting requirements and frequency to ensure we are in compliance with the reporting requirements. In addition, we will update our internal grant guidance document to include all control requirements per 2 CFR section 200.303, by adding language to establish and maintain effective internal controls over the Federal award. We will hold a meeting with the fiscal team once the internal grant guidance document is updated to ensure compliance with guidance in standards for internal control in the Federal Government.
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-002 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Federal Funding Accountability and Transparency Act (FFATA) Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per the Federal Funding Accountability and Transparency Act (FFATA), prime (direct) recipients of grants or cooperative agreements are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Reports must be filed in FSRS by the end of the month following the month in which the prime recipient awards any sub-grant greater than or equal to $30,000. If the initial award is below $30,000 but subsequent grant modifications result in a total award equal to or over $30,000, the award will be subject to the reporting requirements as of the date the award exceeds $30,000. If the initial award equals or exceeds $30,000 but funding is subsequently de-obligated such that the total award amount falls below $30,000, the award continues to be subject to FFATA reporting requirements. The following key data elements must be reported: Subawardee Name and Data Universal Numbering System (DUNS) number; Amount of Subaward (inclusive of modifications); Subaward Obligation/Action Date; Date of Report Submission; Subaward Number; Project Description; and Names and Compensation of Highly Compensated Officers. (Names and Compensation of Highly Compensated Officers must only be reported when the entity in the preceding fiscal year received 80 percent or more of its annual gross revenues in Federal awards; and $30,000,000 or more in annual gross revenues from Federal awards; and the public does not have access to this information about the compensation of the senior executives of the entity through periodic reports filed under section 13(a) or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. ?? 78m(a), 78o(d)) or section 6104 of the Internal Revenue Code of 1986.) Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Section III ? Federal Award Findings and Questioned Costs (Continued) Condition: Prince George?s County (County) did not report required subaward information to FSRS for first-tier subawards of $30,000 or more. Context: Zero of seven subawards selected for testing were reported to FSRS. Total subawards tested were $3,867,912, and $0 was reported as required by FFATA requirements. SEE SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR CHART/TABLE Cause: The County?s policies and procedures were not sufficient to ensure that required subaward information was reported to FSRS. Internal controls did not prevent or detect the errors. Effect: Subawards were not reported to FSRS in accordance with FFATA requirements. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that FFATA reporting requirements are met. We further recommend the County develop controls and procedures to ensure that all required subawards are reported accurately and timely to FSRS. Views of responsible officials:
Reference Number: 2022-003 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Reporting ? Performance Reporting Type of Finding Material Weakness in Internal Control Over Compliance, Material Noncompliance Criteria or specific requirement: Compliance: Per 24 CFR Part 75, beginning in July 2021, grantees shall enter Section 3 activities on the closeout screens in the Integrated Disbursement and Information System (IDIS) as well as within their annual reporting in the Consolidated Annual Performance and Evaluation Report (CAPER). Section 3 projects are housing rehabilitation, housing construction, and other public construction projects assisted under HUD programs that provide housing and community development financial assistance when the total amount of assistance to the project exceeds a threshold of $200,000. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not submit a report of Section 3 activities in IDIS as required. Context: Zero of one project subject to Section 3 reporting requirements was submitted in IDIS. The County prepared the report for this project, but it did not submit it in IDIS as required. Cause: The County?s policies and procedures were not sufficient to ensure that Section 3 reports were completed and submitted in IDIS as required by program regulations. Internal controls did not prevent or detect the error. Effect: The County was not in compliance with Section 3 reporting requirements. Section III ? Federal Award Findings and Questioned Costs (Continued) Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that Section 3 reports are completed and submitted timely in IDIS as required by 24 CFR Part 75. Views of responsible officials:
Reference Number: 2022-004 Prior Year Finding: No Federal Agency: U.S. Department of Housing and Urban Development Federal Program: Community Development Block Grants/Entitlement Grants Assistance Listing Number: 14.218 Award Number and Year: B-19-UC-24-0002 (7/31/2019 ? 9/1/2027), B-20-UC-24-0002 (8/17/2020 ? 9/1/2028), B-21-UC-24-0002 (10/27/2021 ? 9/1/2029) Compliance Requirement: Special Tests and Provisions ? Wage Rate Requirements Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: All laborers and mechanics employed by contractors or subcontractors to work on construction contracts in excess of $2,000 financed by federal assistance funds must be paid wages not less than those established for the locality of the project (prevailing wage rates) by the Department of Labor (DOL). Nonfederal entities shall include in their construction contracts subject to the Wage Rate Requirements a provision that the contractor or subcontractor comply with those requirements and DOL regulations (29 CFR Part 5, Labor Standards Provisions Applicable to Contacts Governing Federally Financed and Assisted Construction). This includes a requirement for the contractor or subcontractor to submit to the nonfederal entity weekly, for each week in which any contract work is performed, a copy of the payroll and a statement of compliance. Wage Rate Requirements apply to the rehabilitation of residential property only if such property contains eight or more units. However, the requirements do not apply to volunteer work where the volunteer does not receive compensation, or is paid expenses, reasonable benefits or a nominal fee for such services, and is not otherwise employed at any time in construction work. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not ensure a construction project complied with wage rate requirements. Context: One of five construction projects selected for testing was not in compliance with wage rate requirements. The contract did not include the required wage rate provisions, nor did wage rate reporting occur for this project. Section III ? Federal Award Findings and Questioned Costs (Continued) Cause: The County?s policies and procedures were not sufficient to ensure that all contracts complied with wage rate requirements. Internal controls did not prevent or detect the error. Effect: The County was unable to ensure that the contractor?s employees were paid wages not less than those established for the locality of the project (prevailing wage rates) by DOL. Questioned costs: None noted. Recommendation: We recommend that the County develop internal controls and procedures to ensure that all construction contracts subject to wage rate requirements include the relevant provisions and that it establishes weekly reporting procedures with the contractor to ensure compliance. Views of responsible officials:
Reference Number: 2022-005 Prior Year Finding: No Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: Maryland Department of Health Federal Program: COVID-19 ? Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Assistance Listing Number: 93.323 Award Number and Year: ELC08CHW (3/1/2021 ? 2/28/2022) Compliance Requirement: Reporting Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: Per Maryland Department of Health, subgrantees are required to submit Monthly Status Reports by the 10th of the month they are reporting on. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not file Monthly Status Reports in a timely manner. Context: Five Monthly Status Reports were selected for testing. The County did not file three of those five Monthly Status Reports in a timely manner. Questioned costs: None noted. Cause: The County?s procedures and controls were not sufficient to ensure that Monthly Status Reports were filed timely. Effect: The County was not in compliance with the program?s reporting requirements. Recommendation: The County should review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Section III ? Federal Award Findings and Questioned Costs (Continued) Views of responsible officials: The Health Department will review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Specifically, the Health Department will update the routing reporting deliverables matrix that documents all grant reporting requirements and frequency to ensure we are in compliance with the reporting requirements. In addition, we will update our internal grant guidance document to include all control requirements per 2 CFR section 200.303, by adding language to establish and maintain effective internal controls over the Federal award. We will hold a meeting with the fiscal team once the internal grant guidance document is updated to ensure compliance with guidance in standards for internal control in the Federal Government.
Reference Number: 2022-005 Prior Year Finding: No Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: Maryland Department of Health Federal Program: COVID-19 ? Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Assistance Listing Number: 93.323 Award Number and Year: ELC08CHW (3/1/2021 ? 2/28/2022) Compliance Requirement: Reporting Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: Per Maryland Department of Health, subgrantees are required to submit Monthly Status Reports by the 10th of the month they are reporting on. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not file Monthly Status Reports in a timely manner. Context: Five Monthly Status Reports were selected for testing. The County did not file three of those five Monthly Status Reports in a timely manner. Questioned costs: None noted. Cause: The County?s procedures and controls were not sufficient to ensure that Monthly Status Reports were filed timely. Effect: The County was not in compliance with the program?s reporting requirements. Recommendation: The County should review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Section III ? Federal Award Findings and Questioned Costs (Continued) Views of responsible officials: The Health Department will review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Specifically, the Health Department will update the routing reporting deliverables matrix that documents all grant reporting requirements and frequency to ensure we are in compliance with the reporting requirements. In addition, we will update our internal grant guidance document to include all control requirements per 2 CFR section 200.303, by adding language to establish and maintain effective internal controls over the Federal award. We will hold a meeting with the fiscal team once the internal grant guidance document is updated to ensure compliance with guidance in standards for internal control in the Federal Government.
Reference Number: 2022-005 Prior Year Finding: No Federal Agency: U.S. Department of Health and Human Services Pass-Through Entity: Maryland Department of Health Federal Program: COVID-19 ? Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) Assistance Listing Number: 93.323 Award Number and Year: ELC08CHW (3/1/2021 ? 2/28/2022) Compliance Requirement: Reporting Type of Finding Significant Deficiency in Internal Control Over Compliance, Other Matters Criteria or specific requirement: Compliance: Per Maryland Department of Health, subgrantees are required to submit Monthly Status Reports by the 10th of the month they are reporting on. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in ?Standards for Internal Control in the Federal Government? issued by the Comptroller General of the United States or the ?Internal Control Integrated Framework?, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Prince George?s County (County) did not file Monthly Status Reports in a timely manner. Context: Five Monthly Status Reports were selected for testing. The County did not file three of those five Monthly Status Reports in a timely manner. Questioned costs: None noted. Cause: The County?s procedures and controls were not sufficient to ensure that Monthly Status Reports were filed timely. Effect: The County was not in compliance with the program?s reporting requirements. Recommendation: The County should review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Section III ? Federal Award Findings and Questioned Costs (Continued) Views of responsible officials: The Health Department will review and enhance internal controls and procedures to ensure that Monthly Status Reports are filed timely. Specifically, the Health Department will update the routing reporting deliverables matrix that documents all grant reporting requirements and frequency to ensure we are in compliance with the reporting requirements. In addition, we will update our internal grant guidance document to include all control requirements per 2 CFR section 200.303, by adding language to establish and maintain effective internal controls over the Federal award. We will hold a meeting with the fiscal team once the internal grant guidance document is updated to ensure compliance with guidance in standards for internal control in the Federal Government.