Finding Number: 2025-007 ALN Number(s) and Program Title(s): 14.228 – Community Development Block Grants Views of Responsible Officials and Planned Corrective Action: The AEDC Grants Division has established internal controls and procedures to ensure compliance with the Federal Funding Accountabilit...
Finding Number: 2025-007 ALN Number(s) and Program Title(s): 14.228 – Community Development Block Grants Views of Responsible Officials and Planned Corrective Action: The AEDC Grants Division has established internal controls and procedures to ensure compliance with the Federal Funding Accountability and Transparency Act (FFATA), primarily focused on AEDC’s responsibility for accurate and timely reporting of CDBG subawards of $30,000 or more. AEDC’s established compliance controls for FFATA include, as reported to ALA staff at the beginning of their field work in this area, are: • Grants Coordinator and/or Division Director checks SAM.gov at the beginning of the grant funding year (after HUD Grant Awards have been signed) or upon the need to report on the first subaward to ensure HUD’s award to the State of Arkansas is entered as a Prime Contract. • All CDBG applicants are required to submit application Exhibit K, FFATA (Federal Funding Accountability & Transparency Act) Reporting Form. This form and ACEDP Policies & Procedures require subrecipients to have an active registration in the System for Award Management (SAM.gov) and obtain a Unique Entity Identifier and AEDC verifying the accuracy of this information before issuing a subaward. • If funding is awarded, completed FFATA Reporting Form is included in the grant agreement packet, prepared by the Grants Manager and approved by the Division Director. A Grant Review Form checklist includes a check that this form is included. • Once a Grant Agreement is executed and the packet returned to the Grants Coordinator for processing, the Grants Coordinator will use the FFATA Reporting Form and information from the Grant Agreement to enter the subaward in SAM.gov, as a subaward associated with the applicable Prime Award (annual allocation). Also included in the packet is a copy of the subawardee’s active Registration and UEI, as well as a Data Collection Sheet which includes a space for the Grants Coordinator to write the date the subaward was entered in SAM.gov. • A timely submission procedure ensures that subaward information is entered into the FSRS at SAM.gov no later than the end of the month following the month in which the subaward obligation was made. To ensure AEDC meets this timely submission requirement, subawards are entered upon return of the AEDC executed grant agreement from the Deputy Director to the Grants Coordinator, who enters the date of the Deputy Director’s signature as the Award Date. • In the ACEDP Grant Agreement the subawardee agrees to comply with The Federal Funding Accountability and Transparency Act, and related federal requirements. • Project closeout procedures include a File Composition Checklist which lists the FFATA Form and the Data Collection Sheet (with subaward reporting date). By the Anticipated Completion Date, the Grants Coordinator and/or the Division Director will ensure each previously awarded subaward has been reported to SAM.gov, and will follow the above controls going forward to ensure compliance. Anticipated Completion Date: 06/30/2026 Contact Person: Name: Jean Noble Title: Director, Grants Division Agency: Arkansas Economic Development Commission Address: 1 Commerce Way, Ste. 601 City, State, Zip: Little Rock, AR 72201 Phone Number: (501) 682-7389 Email Address: jnoble@arkansasedc.com