FAC Explorer

Audit 7981

FY End
2022-06-30
Total Expended
$14.97M
Findings
6
Programs
3
Organization: City of Belgrade (MT)
Year: 2022 Accepted: 2023-12-21
Auditor: Denning Downey and Associates Cpa's

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
6114 2022-006 - Yes L
6115 2022-006 - Yes L
6116 2022-006 - Yes L
582556 2022-006 - Yes L
582557 2022-006 - Yes L
582558 2022-006 - Yes L

Programs

ALN Program Spent Major Findings
10.760 Water and Waste Disposal Systems for Rural Communities $10.87M Yes 1
66.458 Capitalization Grants for Clean Water State Revolving Funds $3.74M Yes 1
20.600 State and Community Highway Safety $14,698 - 0

Contacts

Name Title Type
XT6RD1FEGLX5 Charity Vankirk Auditee
4063883760 Robert Denning Auditor
No contacts on file

Notes to SEFA

Title: Loans Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (SEFA) includes the federal grant activity of City of Belgrade, Gallatin County, Montana. The information in this schedule is presented in accordance with the requirements Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Because the schedule presents only a selected portion of the operations of the City of Belgrade, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City of Belgrade. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in preparation of the basic financial statements. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, where in certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The City of Belgrade has elected not to use the 10 percent de Mini is indirect cost rate as provided in Sec. 200.414 Indirect Costs under Uniform Guidance. (1) The City received a loan from the State Revolving Fund Loan Program for $350,000. (2) The City received a loan from the State Revolving Fund Loan Program for $4,484,406, which consisted of 83.3% of federal dollars totaling $3,735,510. (3) The City received a loan from USDA for $10,868,058.

Finding Details

Finding 2022-006
CFDA Title: Clean Water State Revolving Fund and Water and Waste Disposal Systems for Rural Communities CFDA Number: 10.760 and 66.458 Federal Award Number and Year: N/A Name of Federal Agency: USDA Name of Pass- Through Entity: Direct, Montana Department of Natural Resources Condition: The City did not complete and submit its annual financial report (AFR) within 6 months of the end of the reporting period. The city did not submit its audit report within 12 months of the end of the audit period. The city did not submit annual performance reports to the USDA as required. Criteria: In accordance with MCA 7-6-611(2)(a), an AFR must be completed and filed with the Montana Department of Administration within 6 months of the City’s fiscal year end. In accordance with MCA 7-6-611(2)(b), an audit report must be completed and filed with the Montana Department of Administration within 12 months of the end of the audited period. Effect: The City is out of compliance with MCA regulations and USDA grant terms. Cause: The City had turnover in both its management functions and accounting positions making it difficult for the new staff to catch up. Recommendation: The finance department should ensure the timely completing and filing of its AFR and audit.
Finding 2022-006
CFDA Title: Clean Water State Revolving Fund and Water and Waste Disposal Systems for Rural Communities CFDA Number: 10.760 and 66.458 Federal Award Number and Year: N/A Name of Federal Agency: USDA Name of Pass- Through Entity: Direct, Montana Department of Natural Resources Condition: The City did not complete and submit its annual financial report (AFR) within 6 months of the end of the reporting period. The city did not submit its audit report within 12 months of the end of the audit period. The city did not submit annual performance reports to the USDA as required. Criteria: In accordance with MCA 7-6-611(2)(a), an AFR must be completed and filed with the Montana Department of Administration within 6 months of the City’s fiscal year end. In accordance with MCA 7-6-611(2)(b), an audit report must be completed and filed with the Montana Department of Administration within 12 months of the end of the audited period. Effect: The City is out of compliance with MCA regulations and USDA grant terms. Cause: The City had turnover in both its management functions and accounting positions making it difficult for the new staff to catch up. Recommendation: The finance department should ensure the timely completing and filing of its AFR and audit.
Finding 2022-006
CFDA Title: Clean Water State Revolving Fund and Water and Waste Disposal Systems for Rural Communities CFDA Number: 10.760 and 66.458 Federal Award Number and Year: N/A Name of Federal Agency: USDA Name of Pass- Through Entity: Direct, Montana Department of Natural Resources Condition: The City did not complete and submit its annual financial report (AFR) within 6 months of the end of the reporting period. The city did not submit its audit report within 12 months of the end of the audit period. The city did not submit annual performance reports to the USDA as required. Criteria: In accordance with MCA 7-6-611(2)(a), an AFR must be completed and filed with the Montana Department of Administration within 6 months of the City’s fiscal year end. In accordance with MCA 7-6-611(2)(b), an audit report must be completed and filed with the Montana Department of Administration within 12 months of the end of the audited period. Effect: The City is out of compliance with MCA regulations and USDA grant terms. Cause: The City had turnover in both its management functions and accounting positions making it difficult for the new staff to catch up. Recommendation: The finance department should ensure the timely completing and filing of its AFR and audit.
Finding 2022-006
CFDA Title: Clean Water State Revolving Fund and Water and Waste Disposal Systems for Rural Communities CFDA Number: 10.760 and 66.458 Federal Award Number and Year: N/A Name of Federal Agency: USDA Name of Pass- Through Entity: Direct, Montana Department of Natural Resources Condition: The City did not complete and submit its annual financial report (AFR) within 6 months of the end of the reporting period. The city did not submit its audit report within 12 months of the end of the audit period. The city did not submit annual performance reports to the USDA as required. Criteria: In accordance with MCA 7-6-611(2)(a), an AFR must be completed and filed with the Montana Department of Administration within 6 months of the City’s fiscal year end. In accordance with MCA 7-6-611(2)(b), an audit report must be completed and filed with the Montana Department of Administration within 12 months of the end of the audited period. Effect: The City is out of compliance with MCA regulations and USDA grant terms. Cause: The City had turnover in both its management functions and accounting positions making it difficult for the new staff to catch up. Recommendation: The finance department should ensure the timely completing and filing of its AFR and audit.
Finding 2022-006
CFDA Title: Clean Water State Revolving Fund and Water and Waste Disposal Systems for Rural Communities CFDA Number: 10.760 and 66.458 Federal Award Number and Year: N/A Name of Federal Agency: USDA Name of Pass- Through Entity: Direct, Montana Department of Natural Resources Condition: The City did not complete and submit its annual financial report (AFR) within 6 months of the end of the reporting period. The city did not submit its audit report within 12 months of the end of the audit period. The city did not submit annual performance reports to the USDA as required. Criteria: In accordance with MCA 7-6-611(2)(a), an AFR must be completed and filed with the Montana Department of Administration within 6 months of the City’s fiscal year end. In accordance with MCA 7-6-611(2)(b), an audit report must be completed and filed with the Montana Department of Administration within 12 months of the end of the audited period. Effect: The City is out of compliance with MCA regulations and USDA grant terms. Cause: The City had turnover in both its management functions and accounting positions making it difficult for the new staff to catch up. Recommendation: The finance department should ensure the timely completing and filing of its AFR and audit.
Finding 2022-006
CFDA Title: Clean Water State Revolving Fund and Water and Waste Disposal Systems for Rural Communities CFDA Number: 10.760 and 66.458 Federal Award Number and Year: N/A Name of Federal Agency: USDA Name of Pass- Through Entity: Direct, Montana Department of Natural Resources Condition: The City did not complete and submit its annual financial report (AFR) within 6 months of the end of the reporting period. The city did not submit its audit report within 12 months of the end of the audit period. The city did not submit annual performance reports to the USDA as required. Criteria: In accordance with MCA 7-6-611(2)(a), an AFR must be completed and filed with the Montana Department of Administration within 6 months of the City’s fiscal year end. In accordance with MCA 7-6-611(2)(b), an audit report must be completed and filed with the Montana Department of Administration within 12 months of the end of the audited period. Effect: The City is out of compliance with MCA regulations and USDA grant terms. Cause: The City had turnover in both its management functions and accounting positions making it difficult for the new staff to catch up. Recommendation: The finance department should ensure the timely completing and filing of its AFR and audit.