Finding Text
Criteria: Per the Compliance and Reporting Guidance for Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) assistance listing number (AL#) 21.027, all recipients are required to submit Project and Expenditure Reports. Annual reports are required for cities below 250,000 residents that are allocated less than $10 million in CSLFRF funding and must be submitted to the Department of Treasury by April 30. In addition, per the Airport Improvement Program (AIP) handbook for AL# 20.106, grant recipients must submit timely and accurate SF-425 financial reports annually, by December 31, to summarize expenditures and status of project funds. Condition: The City’s internal controls over reporting compliance requirements were not thoroughly monitored and were not timely, and reports were not accurately submitted. Questioned Costs: $0 Cause and Effect: Due to the City not having a centralized reporting requirement schedule, the required annual report for CSLFRF funding was submitted by April 30 deadline however the reported amount $0 did not agree to the amount reported on the SEFA of $297,394. As it relates to the AIP, as of the end of audit field work, the SF-425 report was still pending submission to the Department of Transportation. Recommendation: We recommend the City centrally track its required grant reporting and related deadlines with specific individuals identified by grant program to ensure timely and accurate reporting is achieved. Management Response: We have reviewed current procedures regarding report preparation and have implemented necessary changes to ensure accuracy. We have also established procedures to ensure a timely reconciliation of federal revenues and expenses.