Finding Text
Finding 2024-001: U.S. Department of the Treasury
Federal Financial Assistance Listing 21.027
COVID-19 Coronavirus State and Local Fiscal Recovery Funds
Compliance Requirement: Reporting
Type of Finding: Significant Deficiency in Internal Controls over Compliance
Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain
effective internal control over the federal award that provides assurance that
the entity is managing the federal award in compliance with federal statutes,
regulations, and conditions of the federal award.
Condition: The County’s reports submitted to the Department of Treasury were not
reviewed and approved by a separate individual outside of the preparer.
Cause: Originally, the County did not have an internal control process in place to ensure
a secondary review and approval of the reports submitted to the Department of
Treasury were performed by someone other than the preparer of the report. An
updated secondary review process was put in place in early 2024.
Effect: Without a secondary review and approval, there is a possibility that the report
may not be accurately completed.
Questioned Costs: None.
Context / Sampling: For the Coronavirus State and Local Fiscal Recovery Funds, a nonstatistical
sample of 2 out of 4 reports were tested.
Repeat Finding from Prior Year: Yes, prior year finding 2023-001
Recommendation: We recommend the County implement a control process which includes a
secondary review and approval of the required reports to be submitted to the
federal agency.
Views of Responsible Officials: Management agrees with the noted finding. Refer to Corrective Action Plan.