Finding 1084335 (2024-002)

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Requirement
P
Questioned Costs
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Year
2024
Accepted
2024-11-14

AI Summary

  • Core Issue: A single audit was not conducted for a major program despite exceeding $750,000 in federal expenditures for the fiscal year ending June 30, 2023.
  • Impacted Requirements: The Uniform Guidance mandates a single audit for high-risk programs when federal spending surpasses $750,000.
  • Recommended Follow-Up: Management should actively monitor compliance with federal award requirements to ensure audits are performed as needed each year.

Finding Text

2024-002 –Single Audit Performance (66.468 Environmental Protection Agency) Condition: A single audit was not performed for a major program for the fiscal year ended June 30, 2023. Criteria: A single audit in accordance with the requirements set forth in the Uniform Guidance is required if total federal expenditures exceed $750,000 in a fiscal year. Federal expenditures exceeded $750,000 and the major program was a high-risk Type A program for the year ended June 30, 2023. Cause: The program required revolving loan fund drawdowns, which did not occur within the fiscal year funds were expended. Effect: The identified Type A high risk program was not tested as major. Questioned Costs: N/A Recommendation: Ensure management considers federal award compliance requirement and ensures that such requirements are satisfied each year. Views of Responsible Officials: Management will monitor major programs and ensure that they are tested when necessary. The grant in question was tested during 2024.

Categories

Cash Management Matching / Level of Effort / Earmarking

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $6.11M
66.468 Drinking Water State Revolving Fund $2.53M