Finding 1156031 (2023-010)

Material Weakness Repeat Finding
Requirement
ABH
Questioned Costs
$1
Year
2023
Accepted
2025-09-29
Audit: 368535
Organization: City of Stamford, Connecticut (CT)
Auditor: Rsm US LLP

AI Summary

  • Core Issue: The City failed to provide necessary documentation for claimed costs related to COVID-19 disaster grants, leading to a material weakness in compliance.
  • Impacted Requirements: Noncompliance with 2 CFR section 200.302 and the Public Assistance Program guidelines, particularly regarding documentation of allowable costs and adherence to the performance period.
  • Recommended Follow-Up: Establish clear processes for tracking labor and maintaining supporting documentation for all expenditures to ensure compliance with federal requirements.

Finding Text

Finding 2023-010 – Material Weakness and Material Noncompliance, Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Period of Performance Assistance Listing Program Title and Number- Disaster Grants- Public Assistance (Presidentially Declared Disasters) 97.036 Federal Agency- Department of Homeland Security Pass-through Entity- N/A Award year: 2023 Criteria or specific requirement: Recipients must follow 2 CFR section 200.302 and the Public Assistance Program and Policy Guide which require documentation must be maintained for all costs claimed by the recipient regarding internal controls, allowable activities and eligible costs and recipients must incur such costs by the period of performance deadline of May 11, 2023. Condition: The City could not provide records related to the claimed costs within the force account labor and materials populations for the COVID-19 program portion of ALN 97.036. Cause: There has been turnover in grants department personnel and lack of policies and procedures to ensure the required level of documentation was maintained. Additionally, there was a change in general ledger systems during the fiscal year that attributed to a disconnect in the audit trail. Effect: The City can not demonstrate they complied with federal grant requirements over activities allowed or unallowed, allowable costs/cost principles and period of performance. Lack of support could result in actions taken by oversight agencies to claw back funding, or to reduce future funding. Context: The City could not provide support for 36 out of 40 force account labor selections, totaling $54,767 and $56,963, respectively. The City could not provide complete support for six out of 40 materials selections, totaling $53,421 and $186,993, respectively. Total Force Account Labor and Materials expenditures for this ALN were $1,840,561 out of the total expenditures of $4,208,353 reported on the SEFA. The samples were not statistically valid samples. Questioned Costs: Known questioned costs totaling $108,188 based on 36 unsupported payroll items within a sample size of 40 and 6 unsupported invoices with a sample size of 40 in the Force Account labor and materials populations, respectively. Repeating Finding: No. Recommendation We recommend that the City develop processes and procedures to ensure proper tracking of force account labor at the employee level as well as maintain copies of all supporting invoices or other support for non-payroll expenditures as required. Views of Responsible Officials: Management agrees with the finding.

Corrective Action Plan

2023-010 – Material Weakness & Noncompliance, Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Period of Performance: FEMA Disaster Grants (ALN 97.036) Corrective Action: Develop an improved detailed tracking system for force account labor and materials. Require contemporaneous documentation of payroll and invoices tied to FEMA projects. Grants Officer to oversee federal disaster recovery funds. Timeline: New procedures adopted October 2025; effective for any new FEMA claims. Responsible Party: Grants Officer in coordination with relevant departments

Categories

Questioned Costs Allowable Costs / Cost Principles Internal Control / Segregation of Duties Subrecipient Monitoring Material Weakness Period of Performance Reporting

Other Findings in this Audit

  • 1156017 2023-009
    Material Weakness Repeat
  • 1156018 2023-009
    Material Weakness Repeat
  • 1156019 2023-009
    Material Weakness Repeat
  • 1156020 2023-009
    Material Weakness Repeat
  • 1156021 2023-009
    Material Weakness Repeat
  • 1156022 2023-009
    Material Weakness Repeat
  • 1156023 2023-009
    Material Weakness Repeat
  • 1156024 2023-009
    Material Weakness Repeat
  • 1156025 2023-009
    Material Weakness Repeat
  • 1156026 2023-009
    Material Weakness Repeat
  • 1156027 2023-009
    Material Weakness Repeat
  • 1156028 2023-009
    Material Weakness Repeat
  • 1156029 2023-010
    Material Weakness Repeat
  • 1156030 2023-010
    Material Weakness Repeat
  • 1156032 2023-011
    Material Weakness Repeat
  • 1156033 2023-011
    Material Weakness Repeat
  • 1156034 2023-011
    Material Weakness Repeat
  • 1156035 2023-011
    Material Weakness Repeat
  • 1156036 2023-011
    Material Weakness Repeat
  • 1156037 2023-011
    Material Weakness Repeat
  • 1156038 2023-011
    Material Weakness Repeat
  • 1156039 2023-011
    Material Weakness Repeat
  • 1156040 2023-011
    Material Weakness Repeat
  • 1156041 2023-011
    Material Weakness Repeat
  • 1156042 2023-011
    Material Weakness Repeat
  • 1156043 2023-011
    Material Weakness Repeat
  • 1156044 2023-011
    Material Weakness Repeat
  • 1156045 2023-011
    Material Weakness Repeat
  • 1156046 2023-011
    Material Weakness Repeat
  • 1156047 2023-011
    Material Weakness Repeat
  • 1156048 2023-011
    Material Weakness Repeat
  • 1156049 2023-011
    Material Weakness Repeat
  • 1156050 2023-011
    Material Weakness Repeat
  • 1156051 2023-011
    Material Weakness Repeat
  • 1156052 2023-011
    Material Weakness Repeat
  • 1156053 2023-011
    Material Weakness Repeat
  • 1156054 2023-011
    Material Weakness Repeat
  • 1156055 2023-011
    Material Weakness Repeat
  • 1156056 2023-011
    Material Weakness Repeat
  • 1156057 2023-011
    Material Weakness Repeat
  • 1156058 2023-011
    Material Weakness Repeat
  • 1156059 2023-011
    Material Weakness Repeat
  • 1156060 2023-011
    Material Weakness Repeat
  • 1156061 2023-011
    Material Weakness Repeat
  • 1156062 2023-011
    Material Weakness Repeat
  • 1156063 2023-011
    Material Weakness Repeat
  • 1156064 2023-011
    Material Weakness Repeat
  • 1156065 2023-011
    Material Weakness Repeat
  • 1156066 2023-011
    Material Weakness Repeat
  • 1156067 2023-011
    Material Weakness Repeat
  • 1156068 2023-011
    Material Weakness Repeat
  • 1156069 2023-011
    Material Weakness Repeat
  • 1156070 2023-011
    Material Weakness Repeat
  • 1156071 2023-011
    Material Weakness Repeat
  • 1156072 2023-011
    Material Weakness Repeat
  • 1156073 2023-011
    Material Weakness Repeat
  • 1156074 2023-011
    Material Weakness Repeat
  • 1156075 2023-011
    Material Weakness Repeat
  • 1156076 2023-011
    Material Weakness Repeat
  • 1156077 2023-011
    Material Weakness Repeat
  • 1156078 2023-011
    Material Weakness Repeat
  • 1156079 2023-011
    Material Weakness Repeat
  • 1156080 2023-011
    Material Weakness Repeat
  • 1156081 2023-011
    Material Weakness Repeat
  • 1156082 2023-011
    Material Weakness Repeat
  • 1156083 2023-011
    Material Weakness Repeat
  • 1156084 2023-011
    Material Weakness Repeat
  • 1156085 2023-011
    Material Weakness Repeat
  • 1156086 2023-011
    Material Weakness Repeat
  • 1156087 2023-011
    Material Weakness Repeat
  • 1156088 2023-011
    Material Weakness Repeat
  • 1156089 2023-011
    Material Weakness Repeat
  • 1156090 2023-011
    Material Weakness Repeat
  • 1156091 2023-011
    Material Weakness Repeat
  • 1156092 2023-011
    Material Weakness Repeat
  • 1156093 2023-011
    Material Weakness Repeat
  • 1156094 2023-011
    Material Weakness Repeat
  • 1156095 2023-011
    Material Weakness Repeat
  • 1156096 2023-011
    Material Weakness Repeat
  • 1156097 2023-011
    Material Weakness Repeat
  • 1156098 2023-011
    Material Weakness Repeat
  • 1156099 2023-011
    Material Weakness Repeat
  • 1156100 2023-011
    Material Weakness Repeat
  • 1156101 2023-011
    Material Weakness Repeat
  • 1156102 2023-011
    Material Weakness Repeat
  • 1156103 2023-011
    Material Weakness Repeat
  • 1156104 2023-011
    Material Weakness Repeat
  • 1156105 2023-011
    Material Weakness Repeat
  • 1156106 2023-011
    Material Weakness Repeat
  • 1156107 2023-011
    Material Weakness Repeat
  • 1156108 2023-011
    Material Weakness Repeat
  • 1156109 2023-011
    Material Weakness Repeat
  • 1156110 2023-011
    Material Weakness Repeat
  • 1156111 2023-011
    Material Weakness Repeat
  • 1156112 2023-011
    Material Weakness Repeat
  • 1156113 2023-011
    Material Weakness Repeat
  • 1156114 2023-009
    Material Weakness Repeat
  • 1156115 2023-009
    Material Weakness Repeat
  • 1156116 2023-009
    Material Weakness Repeat
  • 1156117 2023-009
    Material Weakness Repeat
  • 1156118 2023-009
    Material Weakness Repeat
  • 1156119 2023-009
    Material Weakness Repeat
  • 1156120 2023-009
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
84.425 Education Stabilization Fund $5.52M
84.010 Title I Grants to Local Educational Agencies $2.49M
10.553 School Breakfast Program $1.71M
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $1.29M
84.027 Special Education Grants to States $648,048
97.067 Homeland Security Grant Program $569,643
16.839 Stop School Violence $499,717
10.560 State Administrative Expenses for Child Nutrition $390,135
84.367 Supporting Effective Instruction State Grants (formerly Improving Teacher Quality State Grants) $364,400
84.287 Twenty-First Century Community Learning Centers $333,631
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $310,616
84.048 Career and Technical Education -- Basic Grants to States $296,680
10.555 National School Lunch Program $284,075
14.218 Community Development Block Grants/entitlement Grants $263,040
14.239 Home Investment Partnerships Program $260,000
84.002 Adult Education - Basic Grants to States $211,169
16.034 Coronavirus Emergency Supplemental Funding Program $124,994
20.205 Highway Planning and Construction $123,129
10.582 Fresh Fruit and Vegetable Program $78,663
84.047 Trio Upward Bound $78,645
16.835 Body Worn Camera Policy and Implementation $75,000
93.008 Medical Reserve Corps Small Grant Program $67,500
97.042 Emergency Management Performance Grants $65,412
20.513 Enhanced Mobility of Seniors and Individuals with Disabilities $60,035
84.173 Special Education Preschool Grants $54,467
93.991 Preventive Health and Health Services Block Grant $52,269
93.977 Sexually Transmitted Diseases (std) Prevention and Control Grants $52,207
10.935 Urban Agriculture and Innovative Production $44,650
16.710 Public Safety Partnership and Community Policing Grants $34,999
90.401 Help America Vote Act Requirements Payments $34,751
93.069 Public Health Emergency Preparedness $33,079
21.027 Coronavirus State and Local Fiscal Recovery Funds $27,919
10.558 Child and Adult Care Food Program $27,882
10.559 Summer Food Service Program for Children $25,391
20.616 National Priority Safety Programs $23,224
10.649 Pandemic Ebt Administrative Costs $18,830
84.365 English Language Acquisition State Grants $14,130
16.745 Criminal and Juvenile Justice and Mental Health Collaboration Program $11,451
20.600 State and Community Highway Safety $11,250
93.959 Block Grants for Prevention and Treatment of Substance Abuse $11,064
15.904 Historic Preservation Fund Grants-in-Aid $8,822
84.424 Student Support and Academic Enrichment Program $6,247
20.607 Alcohol Open Container Requirements $5,263
16.738 Edward Byrne Memorial Justice Assistance Grant Program $5,224
45.025 Promotion of the Arts Partnership Agreements $2,189