Finding Text
2025-002: Written Policies Required by the Uniform Guidance Finding Type: Material weakness and noncompliance. Criteria: The Uniform Guidance requires a non-federal entity that has expended federal awards for a grant awarded on or after December 26, 2014 to have written policies pertaining to allowability of costs [§200.302(b)(7)], cash management payments[§200.302(b)(6)], and compensation charged to federal programs [§200.430-431], Conflict of Interest Policy [§200.318(c)], procurement procedures [§200.319(c)], conducting technical evaluations of proposals and selecting participants [§200.320(d)D(3)], and travel policy [§200.474(b)]. Condition: Formal written policies for the compliance areas identified above have not been prepared in accordance with the Uniform Guidance. Cause: This condition appears to be the result of a time lag in identifying the requirement and developing a plan for compliance. Effect: As a result of this condition, Economic Development Alliance of St. Clair County did not fully comply with the Uniform Guidance. Recommendation: We recommend the Economic Development Alliance of St. Clair County ensures these policies are updated to conform with the Uniform Guidance as soon as practical, but no later than the end of fiscal year 2026. View of Responsible Officials and Planned Corrective Action: Management agrees with the finding. See corrective action plan.