Audit 8702

FY End
2022-12-31
Total Expended
$147.33M
Findings
8
Programs
46
Organization: County of Hidalgo, Texas (TX)
Year: 2022 Accepted: 2023-12-28

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
6770 2022-006 Significant Deficiency - L
6771 2022-006 Significant Deficiency - L
6772 2022-006 Significant Deficiency - L
6773 2022-007 Significant Deficiency Yes L
583212 2022-006 Significant Deficiency - L
583213 2022-006 Significant Deficiency - L
583214 2022-006 Significant Deficiency - L
583215 2022-007 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $37.28M Yes 1
21.023 Emergency Rental Assistance Program $10.09M Yes 1
93.568 Low-Income Home Energy Assistance $5.83M - 0
14.218 Community Development Block Grants/entitlement Grants $2.76M - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $2.39M - 0
93.600 Head Start $2.27M - 0
10.558 Child and Adult Care Food Program $757,200 - 0
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $607,767 - 0
95.001 High Intensity Drug Trafficking Areas Program $499,224 Yes 0
93.569 Community Services Block Grant $498,813 - 0
97.024 Emergency Food and Shelter National Board Program $485,544 - 0
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $436,461 - 0
93.268 Immunization Cooperative Agreements $411,797 - 0
14.231 Emergency Solutions Grant Program $408,724 - 0
16.575 Crime Victim Assistance $365,859 - 0
15.916 Outdoor Recreation_acquisition, Development and Planning $297,667 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $220,046 - 0
93.499 Low Income Household Water Assistance Program $152,423 - 0
16.812 Second Chance Act Reentry Initiative $118,595 - 0
16.606 State Criminal Alien Assistance Program $115,072 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $110,527 - 0
16.593 Residential Substance Abuse Treatment for State Prisoners $42,137 - 0
14.239 Home Investment Partnerships Program $40,182 Yes 0
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $33,698 - 0
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $32,760 Yes 0
93.563 Child Support Enforcement $24,585 - 0
93.658 Foster Care_title IV-E $21,849 - 0
20.205 Highway Planning and Construction $21,644 Yes 0
16.588 Violence Against Women Formula Grants $21,574 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $19,358 - 0
16.034 Coronavirus Emergency Supplemental Funding Program $14,589 - 0
97.067 Homeland Security Grant Program $13,636 - 0
93.994 Maternal and Child Health Services Block Grant to the States $11,049 - 0
93.069 Public Health Emergency Preparedness $9,299 - 0
21.019 Coronavirus Relief Fund $9,263 - 0
93.991 Preventive Health and Health Services Block Grant $8,906 - 0
94.016 Senior Companion Program $6,786 - 0
16.922 Equitable Sharing Program $5,935 - 0
94.002 Retired and Senior Volunteer Program $5,333 - 0
20.600 State and Community Highway Safety $2,852 - 0
94.013 Volunteers in Service to America $2,653 - 0
45.129 Promotion of the Humanities_federal/state Partnership $1,123 - 0
93.778 Medical Assistance Program $500 - 0
90.404 2018 Hava Election Security Grants $475 - 0
21.016 Equitable Sharing $138 - 0
94.011 Foster Grandparent Program $43 - 0

Contacts

Name Title Type
LHACK1UL6NR3 Letty Chavez Auditee
9563182511 Ricky Longoria Auditor
No contacts on file

Notes to SEFA

Title: Relationship to Federal and State Financial Reports Accounting Policies: The accompanying Schedule of Expenditures of Federal and State Awards (SEFSA) present the federal and state grant activity for the County of Hidalgo, Texas (the County) for the year ended December 31, 2022. The reporting entity is defined in Note 1 to the County’s basic financial statements. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the Texas Grant Management Standards. Because the SEFSA presents only a selected portion of the operations of the County, it is not intended and does not present the financial position, changes in net assets, or cash flows of the County. The accompanying SEFSA is presented using the modified accrual basis of accounting, which is described in Note 1 of the County’s notes to the financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and Texas Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the SEFSA represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The County has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Amounts reported in the accompanying schedule may not agree with the amounts reported in the related Federal and State financial reports filed with the grantor agencies because of accruals made in the schedule which will be included in future reports filed with agencies.
Title: conciliation of Schedule of Federal and State Awards to Annual Comprehensive Financial Report Accounting Policies: The accompanying Schedule of Expenditures of Federal and State Awards (SEFSA) present the federal and state grant activity for the County of Hidalgo, Texas (the County) for the year ended December 31, 2022. The reporting entity is defined in Note 1 to the County’s basic financial statements. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the Texas Grant Management Standards. Because the SEFSA presents only a selected portion of the operations of the County, it is not intended and does not present the financial position, changes in net assets, or cash flows of the County. The accompanying SEFSA is presented using the modified accrual basis of accounting, which is described in Note 1 of the County’s notes to the financial statements. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and Texas Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the SEFSA represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The County has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The following is a reconciliation of the SEFSA to the Statement of Revenues, Expenditures, and Changes in Fund Balance within the County of Hidalgo, Texas Annual Comprehensive Financial Report (ACFR):

Finding Details

Criteria and Condition: Internal controls should be designed and implemented to ensure compliance with reporting requirements, including the submittal of accurate and timely reports. We noted no internal controls were in place that could be tested, such as documented evidence that reports were reviewed and approved prior to being submitted. The Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program requires program and expenditure reports to be submitted on a quarterly basis. Quarterly reports for 2022 were due on (Q1) April 30, 2022, (Q2) July 31, 2022, (Q3) October 31, 2022, and (Q4) January 31, 2022. The program and expenditure reports for the 3rd and 4th quarters were not submitted on time as they were submitted on November 1, 2022 and February 10, 2022, respectively. Cause and Effect: Controls were not suitably designed to ensure reports are submitted in a timely manner. Additionally, the reports for the first three quarters were being prepared by the County’s Budget Office. For the 4th quarter report, the County Auditor’s Office took over the preparation of these reports as the Budget Office experienced employee turnover. There was a delay in gaining access to the U.S. Treasury portal which delayed the completion and submittal of the report. The untimely submittal of reports results in noncompliance with the terms of the federal award program. Questioned Costs: None Repeat Finding from Prior Year(s): N/A Recommendation: We recommend internal controls be implemented to include a review and approval of the required reports prior to submittal. The review and approval should be documented by being signed and dated by the preparer and reviewer. We also recommend reports be submitted by the required deadlines. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: Internal controls should be designed and implemented to ensure compliance with reporting requirements, including the submittal of accurate and timely reports. We noted no internal controls were in place that could be tested, such as documented evidence that reports were reviewed and approved prior to being submitted. The Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program requires program and expenditure reports to be submitted on a quarterly basis. Quarterly reports for 2022 were due on (Q1) April 30, 2022, (Q2) July 31, 2022, (Q3) October 31, 2022, and (Q4) January 31, 2022. The program and expenditure reports for the 3rd and 4th quarters were not submitted on time as they were submitted on November 1, 2022 and February 10, 2022, respectively. Cause and Effect: Controls were not suitably designed to ensure reports are submitted in a timely manner. Additionally, the reports for the first three quarters were being prepared by the County’s Budget Office. For the 4th quarter report, the County Auditor’s Office took over the preparation of these reports as the Budget Office experienced employee turnover. There was a delay in gaining access to the U.S. Treasury portal which delayed the completion and submittal of the report. The untimely submittal of reports results in noncompliance with the terms of the federal award program. Questioned Costs: None Repeat Finding from Prior Year(s): N/A Recommendation: We recommend internal controls be implemented to include a review and approval of the required reports prior to submittal. The review and approval should be documented by being signed and dated by the preparer and reviewer. We also recommend reports be submitted by the required deadlines. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: Internal controls should be designed and implemented to ensure compliance with reporting requirements, including the submittal of accurate and timely reports. We noted no internal controls were in place that could be tested, such as documented evidence that reports were reviewed and approved prior to being submitted. The Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program requires program and expenditure reports to be submitted on a quarterly basis. Quarterly reports for 2022 were due on (Q1) April 30, 2022, (Q2) July 31, 2022, (Q3) October 31, 2022, and (Q4) January 31, 2022. The program and expenditure reports for the 3rd and 4th quarters were not submitted on time as they were submitted on November 1, 2022 and February 10, 2022, respectively. Cause and Effect: Controls were not suitably designed to ensure reports are submitted in a timely manner. Additionally, the reports for the first three quarters were being prepared by the County’s Budget Office. For the 4th quarter report, the County Auditor’s Office took over the preparation of these reports as the Budget Office experienced employee turnover. There was a delay in gaining access to the U.S. Treasury portal which delayed the completion and submittal of the report. The untimely submittal of reports results in noncompliance with the terms of the federal award program. Questioned Costs: None Repeat Finding from Prior Year(s): N/A Recommendation: We recommend internal controls be implemented to include a review and approval of the required reports prior to submittal. The review and approval should be documented by being signed and dated by the preparer and reviewer. We also recommend reports be submitted by the required deadlines. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: The Emergency Rental Assistance Program (ERAP) requires quarterly reports to be submitted by the 15th day after the end of each quarter. A final closeout report is required to be submitted by January 30, 2023. We noted reports were not submitted by the required due dates as follows: Period Type Due Date Submittal Date Quarter 1 2022 Quarterly 4/15/22 5/6/22 Quarter 2 2022 Quarterly 7/15/22 8/15/22 Quarter 3 2022 Quarterly 10/17/22 11/17/22 Final Closeout 1/30/22 7/10/23 Cause and Effect: Reports were not submitted by the required due dates. The County was not in compliance with the reporting requirements for the ERAP program. Questioned Costs: None Repeat Finding from Prior Year(s): 2021-014 Recommendation: We recommend the County implement controls to ensure reports are submitted by the required due date. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: Internal controls should be designed and implemented to ensure compliance with reporting requirements, including the submittal of accurate and timely reports. We noted no internal controls were in place that could be tested, such as documented evidence that reports were reviewed and approved prior to being submitted. The Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program requires program and expenditure reports to be submitted on a quarterly basis. Quarterly reports for 2022 were due on (Q1) April 30, 2022, (Q2) July 31, 2022, (Q3) October 31, 2022, and (Q4) January 31, 2022. The program and expenditure reports for the 3rd and 4th quarters were not submitted on time as they were submitted on November 1, 2022 and February 10, 2022, respectively. Cause and Effect: Controls were not suitably designed to ensure reports are submitted in a timely manner. Additionally, the reports for the first three quarters were being prepared by the County’s Budget Office. For the 4th quarter report, the County Auditor’s Office took over the preparation of these reports as the Budget Office experienced employee turnover. There was a delay in gaining access to the U.S. Treasury portal which delayed the completion and submittal of the report. The untimely submittal of reports results in noncompliance with the terms of the federal award program. Questioned Costs: None Repeat Finding from Prior Year(s): N/A Recommendation: We recommend internal controls be implemented to include a review and approval of the required reports prior to submittal. The review and approval should be documented by being signed and dated by the preparer and reviewer. We also recommend reports be submitted by the required deadlines. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: Internal controls should be designed and implemented to ensure compliance with reporting requirements, including the submittal of accurate and timely reports. We noted no internal controls were in place that could be tested, such as documented evidence that reports were reviewed and approved prior to being submitted. The Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program requires program and expenditure reports to be submitted on a quarterly basis. Quarterly reports for 2022 were due on (Q1) April 30, 2022, (Q2) July 31, 2022, (Q3) October 31, 2022, and (Q4) January 31, 2022. The program and expenditure reports for the 3rd and 4th quarters were not submitted on time as they were submitted on November 1, 2022 and February 10, 2022, respectively. Cause and Effect: Controls were not suitably designed to ensure reports are submitted in a timely manner. Additionally, the reports for the first three quarters were being prepared by the County’s Budget Office. For the 4th quarter report, the County Auditor’s Office took over the preparation of these reports as the Budget Office experienced employee turnover. There was a delay in gaining access to the U.S. Treasury portal which delayed the completion and submittal of the report. The untimely submittal of reports results in noncompliance with the terms of the federal award program. Questioned Costs: None Repeat Finding from Prior Year(s): N/A Recommendation: We recommend internal controls be implemented to include a review and approval of the required reports prior to submittal. The review and approval should be documented by being signed and dated by the preparer and reviewer. We also recommend reports be submitted by the required deadlines. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: Internal controls should be designed and implemented to ensure compliance with reporting requirements, including the submittal of accurate and timely reports. We noted no internal controls were in place that could be tested, such as documented evidence that reports were reviewed and approved prior to being submitted. The Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) program requires program and expenditure reports to be submitted on a quarterly basis. Quarterly reports for 2022 were due on (Q1) April 30, 2022, (Q2) July 31, 2022, (Q3) October 31, 2022, and (Q4) January 31, 2022. The program and expenditure reports for the 3rd and 4th quarters were not submitted on time as they were submitted on November 1, 2022 and February 10, 2022, respectively. Cause and Effect: Controls were not suitably designed to ensure reports are submitted in a timely manner. Additionally, the reports for the first three quarters were being prepared by the County’s Budget Office. For the 4th quarter report, the County Auditor’s Office took over the preparation of these reports as the Budget Office experienced employee turnover. There was a delay in gaining access to the U.S. Treasury portal which delayed the completion and submittal of the report. The untimely submittal of reports results in noncompliance with the terms of the federal award program. Questioned Costs: None Repeat Finding from Prior Year(s): N/A Recommendation: We recommend internal controls be implemented to include a review and approval of the required reports prior to submittal. The review and approval should be documented by being signed and dated by the preparer and reviewer. We also recommend reports be submitted by the required deadlines. Views of Responsible Officials: See management’s corrective action plan.
Criteria and Condition: The Emergency Rental Assistance Program (ERAP) requires quarterly reports to be submitted by the 15th day after the end of each quarter. A final closeout report is required to be submitted by January 30, 2023. We noted reports were not submitted by the required due dates as follows: Period Type Due Date Submittal Date Quarter 1 2022 Quarterly 4/15/22 5/6/22 Quarter 2 2022 Quarterly 7/15/22 8/15/22 Quarter 3 2022 Quarterly 10/17/22 11/17/22 Final Closeout 1/30/22 7/10/23 Cause and Effect: Reports were not submitted by the required due dates. The County was not in compliance with the reporting requirements for the ERAP program. Questioned Costs: None Repeat Finding from Prior Year(s): 2021-014 Recommendation: We recommend the County implement controls to ensure reports are submitted by the required due date. Views of Responsible Officials: See management’s corrective action plan.