Finding 1120574 (2024-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2024
Accepted
2025-03-31
Audit: 350915
Organization: City of Orange (CA)
Auditor: Lsl LLP

AI Summary

  • Core Issue: The City of Orange failed to submit the Cash on Hand Quarterly reports for quarters 1, 2, and 4 on time.
  • Impacted Requirements: Reports must be submitted within 30 days after each quarter ends to remain compliant with HUD regulations.
  • Recommended Follow-Up: Implement a process to ensure timely submissions, including assigning responsibility and setting calendar reminders.

Finding Text

Evaluation of Finding Significant Deficiency/Noncompliance Criteria Entitlement communities are required to complete the Cash on Hand Quarterly report and submit it to the grantee’s HUD local field office through IDIS. The Quarterly Cash on Hand report must be submitted to the respective field office within 30 days after the end of the reporting period. The following federal fiscal year quarter reporting periods are used for quarterly reports. Reporting Period Due Date of Report Quarter 1: 10/1 – 12/31 1/30 Quarter 2: 1/1 – 3/31 4/30 Quarter 3: 4/1 – 6/30 7/30 Quarter 4: 7/1 – 9/30 10/30 Condition The Cash on Hand Quarterly reports for quarters 1, 2 and 4 were not filed by the due date. Cause of Condition The City of Orange did not submit the Cash on Hand Quarterly reports for quarters 1, 2 and 4 by the due date of the reports. Effect or Potential Effect of Condition The City is out of compliance. Questioned Costs None Context We reviewed all four required reports and determined that all reports were filed late. Recommendation We recommend that the City implement a process to ensure that the report is submitted in a timely manner each year. Client Response The Community Development Department has implemented the following steps for FY 2025. 1. Updated the City’s policy to identify the Housing Manager or designee as the responsible reporting party to submit the reports by the submission deadline. 2. Added to the policy administrative support staff to set calendar reminders in outlook for follow up. 3. Finance will add to the yearend checklist to ensure timely reporting.

Categories

HUD Housing Programs Reporting Significant Deficiency

Other Findings in this Audit

  • 544132 2024-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.239 Home Investment Partnerships Program $1.15M
14.218 Community Development Block Grants/entitlement Grants $784,834
20.205 Highway Planning and Construction $713,522
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $328,056
16.922 Equitable Sharing Program $283,082
21.027 Coronavirus State and Local Fiscal Recovery Funds $64,652
81.128 Energy Efficiency and Conservation Block Grant Program (eecbg) $47,536
21.016 Equitable Sharing $32,618
45.310 Grants to States $13,084
16.738 Edward Byrne Memorial Justice Assistance Grant Program $11,963
97.039 Hazard Mitigation Grant $3,637
47.076 Stem Education (formerly Education and Human Resources) $921
14.251 Economic Development Initiative, Community Project Funding, and Miscellaneous Grants $65
97.042 Emergency Management Performance Grants $9