Core Issue: The Town lacks written policies for managing federal awards, violating Uniform Guidance requirements.
Impacted Requirements: Policies needed include cash management, allowable costs, employee travel, procurement, and subrecipient monitoring.
Recommended Follow-Up: The Town should create and document procedures for all required federal awards policies.
Finding Text
2025-002 U.S. Department of Treasury COVID-19 – Coronavirus State and Local Fiscal Recovery Funds – ALN 21.027 Significant Deficiency in Internal Controls Over Compliance and Other Matter Criteria: The Uniform Guidance requires written policies regarding cash management, determination of allowable costs, employee travel, procurement and subrecipient monitoring. Condition: The Town has not documented in writing its policies regarding federal awards. Cause: Lack of documentation of policies and procedures. Effect: The Town is not in compliance with the Uniform Guidance requirements. Questioned Costs: None Repeat Finding from Prior Year: No Recommendation: The Town should implement procedures to properly document all federal awards policies required by the Uniform Guidance. Views of Responsible Official: Management agrees with the finding.
Corrective Action Plan
Condition: The Town has not documented in writing its policies regarding federal awards. Corrective Action Planned: The Town is currently working on the policy. Anticipated Completion Date: Fiscal year 2027 Contact: Fred Aponte, Town Accountant