Finding Text
Criteria: Per the grant requirements, the Grantee is required to submit one completed progress report quarterly (totaling four annually), in the form/format provided by the Federal Railroad Administration (FRA). For the duration of the Project Performance Period, the Grantee must report for the periods of: January 1 - March 31; April 1 - June 30; July 1 - September 30; and October 1 - December 31. The Grantee should furnish one copy of the completed progress report to the assigned FRA Grant Manager on or before the thirtieth (30th) calendar day of the month following the end of the quarter for which the report is submitted. Condition: During our audit, we noted two instances of non-compliance regarding the timeliness of required quarterly reporting for the Federal-State Partnership for Intercity Passenger Rail Program grant. The instances of non-compliance are as follows: Quarter 3 Report - Due April 30, 2024, submitted May 1, 2024; Quarter 4 Report - Due July 30, 2024, submitted August 31, 2024. Questioned Costs: No questioned costs were identifed as a result of our procedures. Effect: As a result of the untimely submission of required quarterly reports for the Federal-State Partnership for Intercity Passenger Rail Program grant, compliance with federal grant reporting requirements were not met. Cause: The delays in reporting were due to weaknesses in SANDAG's internal controls for tracking and ensuring timely submission of grant-related reports. The existing system did not sufficiently flag the required reporting deadlines, leading to missed timelines. Recommendation: We recommend SANDAG enhance the system of internal controls for tracking reporting requirements to ensure timely reporting as required by the grant agreements.