Finding 1205652 (2025-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-04-01
Audit: 397324
Organization: Manatee County, Florida (FL)

AI Summary

  • Core Issue: Lack of internal controls for reviewing and approving reports before submission, leading to potential inaccuracies and delays.
  • Impacted Requirements: Non-compliance with 2 CFR section 200.303, affecting the management of Federal awards.
  • Recommended Follow-Up: Establish a review process for reports and create a tracking system for all grant reports to ensure timely and accurate submissions.

Finding Text

Department of Housing and Urban Development - Direct Project - Community Development Block Grant- ALN 14.218- Program Year 2025 (B-20-UC-11-0018 FY 2021, B-20-UW-12-0018 FY 2020, B-22-UC-12-0018 FY 2022, B23-UC-12-0018 FY 2023, B-24-UC-12-0018 FY 2024, FR-6512-N-01 FY 2024) Criteria — 2 CFR section 200.303 – Internal Controls of the Uniform Guidance states that the non‐federal entity must: (a) Establish and maintain effective internal controls over Federal award that provides reasonable assurance that the non‐Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition — There was no evidence of the controls in place to review and approve reports prior to submission. The lack of internal control is a systemic issue over reporting. Cause/Effect—There is no evidence of the internal control requiring review and approval prior to submission of the cash on hand quarterly report and the FFATA reports prior to submission. If the internal controls are not in place the reports might not be accurately and timely filed, which could cause a delay in payment or loss of funding. Questioned Costs– None noted. Reported finding is for noncompliance in the reporting compliance requirement that does not affect the amount expended or received from the Federal award. Auditor’s Recommendation – Develop an internal control process with evidence of a review of reports prior to submission. CRI also recommends that the County develop a process to track all grant reports required by ALN#/CSFA# and by contract. This system would provide a repository of all the required reporting which the county could use to verify reports are filed timely and accurately. Management Response – See Corrective Action Plan Letter.

Corrective Action Plan

The Manatee Clerk of the Circuit Court and Comptroller’s Corrective Action Plan for the conditions identified on the Schedule of Findings and Questioned Costs – Federal Programs and State Projects is provided below. Please note that Manatee County has provided separate responses in the letter that follows. 2025-001- Significant Deficiency- Internal Controls over Reporting- Condition- There was no evidence of the controls in place to review and approve reports prior to submission. Response- The Manatee County Clerk of the Circuit Court and Comptroller's Office is implementing an enhance tracking procedure in order to ensure the completeness and timeliness of all reporting. The county departments will submit all grant information including but not limited to progress reports and reimbursement requests to the Clerk's Office for our approval before they are submitted to the granting agency. The following are Manatee County's management responses to the internal control findings: 2025-001 Significant Deficincy - Internal Controls over Reporting Finding: There is no evidence of the internal control requiring review and approval prior to submission of the cash on hand quarterly report and the FFATA reports prior to submission. Manatee County has updated our procedures for reporting to clarify both separation of preparation and approvals of reports as well as timeliness of submission. In regard to internal controls for approvals, we have updated our procedures to clarify that signatures are required by both preparers and approvers of the report pre-submission. In regard to timing, for cash on hand quarterly reports, these reports are due no later than the 30th of the month following the quarter being reported (e.g., if the reporting period is October, November, and December, the report must be submitted by January 30th). The Grants Division Manager will be responsible for ensuring that this process is followed, and coordinate with the Fiscal team and CFO for all necessary reports. FFATA reports are due in the sam.gov system no later than the 30th of the month following the month in which the subaward was obligated (e.g., if obligated in November, the report must be submitted by December 30th of that same year). The Grants Division Manager will be responsible for ensuring that this process is followed. The Grants Division plans to perform trainings Spring 2026 for all Manatee County employees who touch grants to ensure awareness across all grants.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1205647 2025-001
    Material Weakness Repeat
  • 1205648 2025-001
    Material Weakness Repeat
  • 1205649 2025-001
    Material Weakness Repeat
  • 1205650 2025-001
    Material Weakness Repeat
  • 1205651 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
11.473 OFFICE FOR COASTAL MANAGEMENT $5.00M
20.507 FEDERAL TRANSIT FORMULA GRANTS $1.17M
20.205 HIGHWAY PLANNING AND CONSTRUCTION $1.03M
14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $817,890
20.513 ENHANCED MOBILITY OF SENIORS AND INDIVIDUALS WITH DISABILITIES $492,032
97.036 DISASTER GRANTS - PUBLIC ASSISTANCE (PRESIDENTIALLY DECLARED DISASTERS) $470,319
93.563 CHILD SUPPORT SERVICES $462,267
93.243 SUBSTANCE ABUSE AND MENTAL HEALTH SERVICES PROJECTS OF REGIONAL AND NATIONAL SIGNIFICANCE $452,321
87.052 GULF COAST ECOSYSTEM RESTORATION COUNCIL OIL SPILL IMPACT PROGRAM $315,222
20.507 COVID19 FEDERAL TRANSIT FORMULA GRANTS $240,009
14.218 COVID19 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $221,712
20.939 SAFE STREETS AND ROADS FOR ALL $214,436
20.526 BUSES AND BUS FACILITIES FORMULA, COMPETITIVE, AND LOW OR NO EMISSIONS PROGRAMS $206,646
16.575 CRIME VICTIM ASSISTANCE $204,705
16.606 STATE CRIMINAL ALIEN ASSISTANCE PROGRAM $179,808
14.239 HOME INVESTMENT PARTNERSHIPS PROGRAM $177,661
21.015 RESOURCES AND ECOSYSTEMS SUSTAINABILITY, TOURIST OPPORTUNITIES, AND REVIVED ECONOMIES OF THE GULF COAST STATES $177,636
16.753 Byrne Discretionary Grants Program $149,057
97.042 EMERGENCY MANAGEMENT PERFORMANCE GRANTS $104,368
93.568 LOW-INCOME HOME ENERGY ASSISTANCE $100,306
97.056 PORT SECURITY GRANT PROGRAM $84,244
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $72,650
15.605 SPORT FISH RESTORATION $60,000
15.634 STATE WILDLIFE GRANTS $33,323
14.251 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $31,008
21.027 COVID19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $19,226
97.039 HAZARD MITIGATION GRANT $13,540
21.032 COVID19 Local Assistance and Tribal Consistency Fund $4,922
14.231 EMERGENCY SOLUTIONS GRANT PROGRAM $3,861