Core Issue: The Town lacks written policies for managing federal awards, which is a requirement under the Uniform Guidance.
Impacted Requirements: This deficiency affects compliance with cash management, allowable costs, employee travel, procurement, and subrecipient monitoring policies.
Recommended Follow-Up: The Town should create and implement documented procedures for all required federal awards policies.
Finding Text
2024-001 U.S. Department of Treasury
COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – AL# 21.027
Significant Deficiency in Internal Controls over Compliance and Other Matter Finding
Criteria: The Uniform Guidance requires written policies regarding cash management, determination of allowable costs, employee travel, procurement and subrecipient monitoring.
Condition: The Town has not documented in writing its policies regarding federal awards.
Cause: Lack of documentation of policies and procedures.
Effect: The Town is not in compliance with the Uniform Guidance requirements.
Questioned Costs: None
Repeat Finding from Prior Year: No.
Recommendation: The Town should implement procedures to properly document all federal awards policies required by the Uniform Guidance.
Views of Responsible Official: Management agrees with the finding.