Finding 1156372 (2024-002)

Finding 2024-002: Significant Deficiency - Reporting Repeat of Prior Year Finding 2023-002 Program: COVID-19 - Coronavirus State and Local Fiscal Recovery Funds Assistance Listing Number: 21.027 Federal Agency: U.S. Department of the Treasury Federal Award Identification Number: N/A Federal Award Year: December 31, 2024 Criteria: Based on 42 USC 802 and 803 as implemented by the Treasury's Interim Final Rule and Final Rule at 31 CFR Part 35, recipients of the Coronavirus State and Local Fiscal Recovery Funds are required to submit special reporting on an annual basis. The annual report must be submitted by April 30th of each year and reviewed and approved by knowledgeable supervisors, which includes comparing to source documentation and performing reconciliations needed between source data and final reporting when needed. Condition/Context: The annual report was submitted on May 9, 2024, which is after the required due date, and it did not have evidence of review. Additionally, the amounts reported under the categories of expenditures did not correspond to the general ledger. The sample was not a statistically valid sample. Effect: Amounts included on the annual report could be unavailable, inaccurate or misleading. Cause: There is a lack of controls around the process for review and submission of the annual report. Questioned Costs: Not applicable. Recommendation: We recommend that the County implement proper review procedures over the annual reporting process to ensure reports are filed timely and accurately. Someone other than the preparer of the report should provide adequate review prior to finalizing the report. This review should include verification that reported expenditure totals agree to the underlying general ledger detail as of the report date. These procedures should be documented and retained. Views of Responsible Officials: Trempealeau County, being a small county, has limited resources in personnel to accomplish a multi-verification in the reporting process. We will use additional current employees in-house to do the verification to make sure the reporting is accurate before submitting.