Finding 1204969 (2025-005)

Material Weakness Repeat Finding
Requirement
N
Questioned Costs
-
Year
2025
Accepted
2026-03-30
Audit: 396634
Organization: City of Manteca (CA)

AI Summary

  • Core Issue: The City started work on the Navigation Center without obtaining the required environmental review certification, violating federal regulations.
  • Impacted Requirements: Compliance with CFR Chapter 24, Section 58.22, which mandates approval of environmental assessments before project initiation.
  • Recommended Follow-Up: Ensure all environmental assessments are completed and approved before starting any projects to maintain compliance.

Finding Text

Finding #SA2025-005 Timely Completion of Environmental Reviews Assistance Listing Number: 14.218 Assistance Listing Title: Community Development Block Grants/Entitlement Grants Name of Federal Agency: Department of Housing and Urban Development Pass Through Entity: San Joaquin County Community Development Department Federal Award Identification Number: A-93-916 Criteria: Code of Federal Regulations (CFR) Chapter 24 Section 58.22 states, “Neither a recipient nor any participant in the development process, including public or private nonprofit or for-profit entities or any of their contractors, may commit HUD assistance on an activity or project until HUD or the state has approved the recipient’s Request for Release of Funds (RROF) and the related environmental certification from the responsible entity.” Condition: The City did not obtain the environmental review certification for the Navigation Center until November 16, 2025 which is after work began on the project. Effect: The City is not in compliance with the requirements of CFR Chapter 24, Section 58.22. Cause: City staff stated that there was a prior environmental assessment completed for the Navigation Center, however it was for a different location in the City. Subsequent to that environmental assessment, the City moved where the Navigation Center would be located to a different location. Due to this the new site required a new environmental assessment that was not completed until November 2025 after the work had started on the project. Recommendation: The City should ensure that all environmental assessments are completed prior to the start of any projects to ensure they are in compliance with the requirements of 24 CFR, Section 58.22. View of Responsible Officials and Planned Corrective Actions: Please see Corrective Action Plan separately prepared by the City

Corrective Action Plan

Finding #SA2025-005 Timely Completion of Environmental Reviews Assistance Listing Number: 14.218 Assistance Listing Title: Community Development Block Grants/Entitlement Grants Name of Federal Agency: Department of Housing and Urban Development Pass Through Entity: San Joaquin County Community Development Department Federal Award Identification Number: A-93-916 • Name(s) of the contact person: Melissa Munoz, Interim Assistant Finance Director • Corrective Action Plan: The City will work with the department to establish a procedure for completion of environmental reviews in compliance with grant requirements. • Anticipated Completion Date: 06/30/2026

Categories

HUD Housing Programs

Other Findings in this Audit

  • 1204961 2025-001
    Material Weakness Repeat
  • 1204962 2025-001
    Material Weakness Repeat
  • 1204963 2025-001
    Material Weakness Repeat
  • 1204964 2025-002
    Material Weakness Repeat
  • 1204965 2025-002
    Material Weakness Repeat
  • 1204966 2025-002
    Material Weakness Repeat
  • 1204967 2025-003
    Material Weakness Repeat
  • 1204968 2025-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $4.33M
20.526 BUSES AND BUS FACILITIES FORMULA, COMPETITIVE, AND LOW OR NO EMISSIONS PROGRAMS $640,000
20.507 FEDERAL TRANSIT FORMULA GRANTS $608,850
14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $331,659
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $93,399
16.710 PUBLIC SAFETY PARTNERSHIP AND COMMUNITY POLICING GRANTS $84,650
20.205 HIGHWAY PLANNING AND CONSTRUCTION $76,287
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $54,607
20.608 MINIMUM PENALTIES FOR REPEAT OFFENDERS FOR DRIVING WHILE INTOXICATED $39,210