Finding 1095807 (2024-005)

Significant Deficiencies in Internal Control over Compliance 2024-005 - Reporting Program: Coronavirus State and Local Fiscal Recovery Funds Federal Assistance Listing No: 21.027 Federal Agency: U.S. Department of Treasury Federal Award Identification Number: None Year: 2023 Direct Criteria or Specific Requirement Coronavirus State and Local Fiscal Recovery Funds require that grantees must submit an annual performance report with data on obligations and expenditures, and capital expenditures. Reporting compliance requirements state that required reports for federal awards should be supported by applicable accounting or performance records. Condition Internal controls for the retention of documentation supporting data on required report submitted to the U.S. Department of Treasury were not followed. Additionally, the reports were not submitted timely. Cause The County’s management and grant personnel prepared the report in collaboration with several individuals to assure understanding of the information required and accuracy of the information. After preparation of the report, supporting documentation was not retained and the report was submitted late. Effect or Potential Effect Without full compliance with the requirements for reporting, the County could be required to repay all amounts expended for these purchases. Questioned Costs None identified. Context The County did not file the report timely, nor was supporting documentation retained for the data included in the annual report submitted to the Department of Treasury. Identification of a Repeat Finding No Recommendation We recommend the County review its policies and procedures regarding submission of reports to granting agencies to assure the documentation supporting the reported data reported is retained and the reports are filed timely. Views of Responsible Officials • Grants Administrator will ensure that login access is maintained in the U.S. Department of Treasury portal. This includes signing up for email notification of pending due dates and communications released through the portal. • Grants Administrator will create a separate folder containing all projects and contracts that fall under ARPA funding. This folder will be updated monthly or as needed to ensure all documents are available for the annual audit. • Grants Administrator will coordinate with departments being awarded additional ARPA funding to ensure reporting requirements are met and completed within assigned timelines.