Finding 1075265 (2022-004)

2022-004 Reporting Prior Year Finding Number: N/A Repeat Finding Since: N/A Type of Finding: Internal Control Over Compliance and Compliance Severity of Deficiency: Significant Deficiency and Other Matter Federal Agency: U.S. Department of Treasury Program: 21.027 COVID-19 – Coronavirus State and Local Fiscal Recovery Funds Award Number and Year: SLT 4867, 2022 Pass-Through Agency: N/A – Direct Criteria: Title 2 U.S. Code of Federal Regulations § 200.303 states that the auditee must maintain internal control over federal programs that provides reasonable assurance that the auditee is managing federal awards in compliance with federal statutes, regulations, and the terms and conditions of the federal awards. The U.S. Department of the Treasury requires an annual Project and Expenditure Report submitted for Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) that include current period expenditures. The Annual Project and Expenditure Report is required to be submitted to the U.S. Treasury by April 30 of each year. Condition: The County incorrectly reported no current period expenditures on the Annual Project and Expenditure report submitted to the U.S. Treasury for 2022 when they should have reported $32,671. Questioned Costs: None Context: The $32,671 was included with expenditures reported on the March 31, 2023, report. Effect: The U.S. Treasury Department did not receive accurate current period expenditures for the Annual Project and Expenditure Reports. Cause: County staff responsible for completing and submitting the March 2022 Annual Project and Expenditure Report misinterpreted the guidance for reporting. Recommendation: We recommend that the County reviews its Annual Project and Expenditure report to ensure that the amounts reported are complete and accurate. View of Responsible Official: Concur