Finding Text
Finding Reference Number: SA2024-001 - Federal Funding Accountability and Transparency Act
(FFATA) Reporting
Assistance Listing Number: 14.218
Assistance Listing Title: Community Development Block Grant – Entitlement Grant
COVID-19 - Community Development Block Grants/
Entitlement Grants-CV
Name of Federal Agency: Department of Housing and Urban Development
Federal Award Identification Number: B-23-MC-06-0009
COVID-19 – B-20-MW-06-0009
Criteria: Under the requirements of the Federal Funding Accountability and Transparency Act (FFATA) (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252 that are codified in 2 CFR Part 170, direct recipients of grants are required to report first-tier subawards of $30,000 or more to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). Subawards that are entered into the FSRS System should be maintained so that any amendments to the subawards are also reflected in the system.
Condition: We noted that the City had two subawards during fiscal year 2024 that were larger than $30,000. For the subaward under B-23-MC-06-0009, we noted the subgrant agreement in the amount of $505,417 was reported incorrectly as $305,417 in the FSRS. For the subaward in the subaward under COVID-19 – B-20-MW-06-0009, the agreement in April 2020 in the amount of $378,780 was amended in August 2023 to increase the contract to $689,352, but City staff was not able to provide documentation that the original or amended subaward was reported in the FSRS.
Cause: We understand that the error was a typo that went unnoticed. For the failure to report for the CDBG-CV program, we understand City staff thought the reporting was not required, since the subgrant was originally executed in fiscal year 2020.
Effect: The City is not in compliance with the FFATA reporting requirements.
Identification as a repeat finding: Yes, since 2022
Recommendation: The City should review all first-tier subaward agreements of $30,000 or more to ensure that FFATA reporting is completed. In addition, the City should develop procedures to ensure that FFATA reporting is accurate at all times and reflects any contract amendments and final subaward funding amounts.
View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the City.