Finding 1152100 (2024-003)

Department of Treasury Federal Financial Assistance Listing No. 21.027 COVID-19 Coronavirus State and Local Fiscal Recovery Funds Reporting Material Weakness in Internal Control over Compliance and Material Noncompliance Criteria – A good system of internal accounting control contemplates an adequate system for ensuring that all reports are completed accurately by the City. Condition – During the course of our engagement, we noted that the annual project and expenditure report submitted for the year ended December 31, 2024, had amounts reported that did not agree to the general ledger system of the City. Cause – The City does not have an internal control system designed to ensure that the project and expenditure report is submitted accurately. Effect – The control deficiency could result in the City’s project and expenditure report is not being completed accurately. Questioned Costs – None reported Context/Sampling – The entirety of the annual reporting requirement was tested. Repeat Finding from Prior Years – Yes Recommendation – Management should put procedures in place to ensure that all quarterly construction reports are accurate and submitted by the required due dates. View of responsible officials – Management is in agreement with the finding.