Finding 1225513 (2025-004)

Material Weakness Repeat Finding
Requirement
H
Questioned Costs
-
Year
2025
Accepted
2026-08-03
Audit: 408395
Organization: Montgomery County, Il (IL)
Auditor: SCHEFFEL BOYLE

AI Summary

  • Core Issue: The County missed the deadline to obligate ARPA funds for generator purchases, leading to non-compliance.
  • Impacted Requirements: Funds must be obligated by December 31, 2024, and spent by December 31, 2026; the ordinance approval alone does not meet the obligation criteria.
  • Recommended Follow-Up: County employees and board members should review compliance requirements for grant periods to prevent future oversights.

Finding Text

Criteria: All American Rescue Plan Act (ARPA) funds had to be obligated by December 31, 2024 and actually spent by December 31, 2026. Condition: The County approved to purchase generators for the Village of Taylor Springs on June 11, 2024 with Ordinance 2024-12. However, due to unavailability, these generators were not purchased until June 2025. Approving an ordinance does not fall under the definition of obligating funds under ARPA. Cause: Due to unavailability of the generator, the County did not enter into a contract, place an order, or create a subaward by the obligating deadline of December 31, 2024. The County did approve the ordinance for the purchase by the obligating deadline. Effect: Since the expenditure was not obligated by the deadline, $50,160.50 did not follow the period of performance compliance requirement. Questioned Cost: $50,160.50 Recommendation: We recommend that applicable County employees and board members research all period of performance compliance requirements when grants are received. Response: Due to the generator not being available at the time of ordinance, it was an oversight that the actual obligation was incurred after the period of performance. The County did try in good faith to order the generator before the deadline.

Corrective Action Plan

Condition: The County approved to purchase generators for the Village of Taylor Springs on June 11, 2024 with Ordinance 2024-12. However, due to unavailability, these generators were not purchased until June 2025. Approving an ordinance does not fall under the definition of obligating funds under ARPA. Plan: We recommend that applicable County employees and board members research all procurement compliance requirements when grants are received. Name of Contact Person: Nikki Lohman, Treasurer Management Response: Due to the generator not being available at the time of ordinance, it was an oversight that the actual obligation was incurred after the period of performance. The County did try in good faith to order the generator before the deadline. Anticipated Date of Completion: March 2026, anticipated date of ARPA funds being fully expensed.

Categories

Procurement, Suspension & Debarment Subrecipient Monitoring Period of Performance Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1225512 2025-003
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $1.10M
10.557 WIC SPECIAL SUPPLEMENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS, AND CHILDREN $223,752
93.898 CANCER PREVENTION AND CONTROL PROGRAMS FOR STATE, TERRITORIAL AND TRIBAL ORGANIZATIONS $197,066
93.959 BLOCK GRANTS FOR PREVENTION AND TREATMENT OF SUBSTANCE ABUSE $93,871
93.958 BLOCK GRANTS FOR COMMUNITY MENTAL HEALTH SERVICES $88,930
93.667 SOCIAL SERVICES BLOCK GRANT $86,320
93.967 CENTERS FOR DISEASE CONTROL AND PREVENTION COLLABORATION WITH ACADEMIA TO STRENGTHEN PUBLIC HEALTH $77,778
93.323 EPIDEMIOLOGY AND LABORATORY CAPACITY FOR INFECTIOUS DISEASES (ELC) $64,705
93.069 PUBLIC HEALTH EMERGENCY PREPAREDNESS $44,754
93.103 FOOD AND DRUG ADMINISTRATION RESEARCH $18,172
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $12,119
93.436 WELL-INTEGRATED SCREENING AND EVALUATION FOR WOMEN ACROSS THE NATION (WISEWOMAN) $6,522
93.052 NATIONAL FAMILY CAREGIVER SUPPORT, TITLE III, PART E $6,047
93.044 SPECIAL PROGRAMS FOR THE AGING, TITLE III, PART B, GRANTS FOR SUPPORTIVE SERVICES AND SENIOR CENTERS $5,211
90.404 HAVA ELECTION SECURITY GRANTS $2,698
93.268 IMMUNIZATION COOPERATIVE AGREEMENTS $823
66.605 PERFORMANCE PARTNERSHIP GRANTS $125