Finding Text
LACK OF REQUIRED WRITTEN POLICIES Condition: The Organization does not have several written policies required by Uniform Guidance, including procurement, cash management and allowable costs. Criteria: Uniform Guidance (2 CFR 200) requires non-federal entities to maintain written procedures for key compliance areas to ensure proper oversight of federal awards. Cause: The City was unaware of the requirement to have written policies and procedures related to federal awards. Effect: Without required written policies, the City is at increased risk of noncompliance and inconsistent administration of federal awards. Questioned Costs: None Recommendation: We recommend that the City develop, approve, and implement written policies and procedures that fully comply with Uniform Guidance requirements. Management should ensure staff are trained on the new policies and that the policies are consistently applied. Management Response: Management agrees with the finding. The City will develop and approve written Uniform Guidance-compliant policies by September 30, 2026.