Finding Text
Finding 2023-001: Late Reporting and Noncompliance with Reporting Requirements
Federal Agency: U.S. Department of the Treasury
Pass through agency: State of Alaska Department of Commerce Community and Economic Development
Federal Programs: Coronavirus State and Local Fiscal Recovery Funds and Local Government Lost Revenue ALN 21.027
Grant Numbers: AK0031 and 22-LGLR-07
Award Period: 2022
Type of Finding: Material Weakness in internal control over compliance/Material Noncompliance
Condition and context: The City did not adhere to the Uniform Guidance requirement of submitting the reporting package within the earlier of 30 days after receipt of the audit report, or nine months plus any extensions after the end of the audit period, (i.e. the FAC Report was not submitted timely.)
Criteria: The Uniform Guidance requires that the reporting package be submitted within the earlier of nine months plus any extensions after year end or 30 days after the report issuance in accordance with the provisions of 2 CFR part 200, subpart F, section 200.512.
Cause: Due to staff turnover the City was unable to access their annual audit completed with the required timeframe, and subsequently were also late in submission of the FAC report.
Effect: The City is not in compliance with Uniform Guidance requirements.
Questioned Costs: None.
Repeat finding: This is a repeat finding of 2022-001 and appears to be a systematic problem.
Recommendation: The City needs to work on getting financial information more timely (i.e. submit the reporting package with the guidelines of Uniform Guidance).
Management Response: Management concurs with this finding. See Corrective Action Plan.