Finding 1226090 (2025-003)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-08-07
Audit: 408741
Organization: Town of Clarksville (IN)

AI Summary

  • Core Issue: The Fire Department submitted two monthly reports late and lacked a formal review process, risking inaccurate data reporting.
  • Impacted Requirements: Compliance with 2 CFR 200.303 and 2 CFR 200.329(c)(1) regarding timely and accurate reporting of federal funds.
  • Recommended Follow-Up: Implement a formal oversight process, improve workflow coordination, and establish a tracking system for report deadlines to enhance accuracy and timeliness.

Finding Text

FINDING 2025-003 Subject: COVID-19 - Coronavirus State and Local Fiscal Recovery Funds - Reporting Federal Agency: Department of the Treasury Federal Program: COVID-19 - Coronavirus State and Local Fiscal Recovery Funds Assistance Listings Number: 21.027 Federal Award Number and Year (or Other Identifying Number): 72270 Pass-Through Entity: Indiana Department of Health Compliance Requirement: Reporting Audit Findings: Material Weakness, Other Matters Condition and Context The Town's Fire Department (Fire Department) was awarded the Health Issues and Challenges Grant through the Indiana Department of Health (IDOH), financed through the COVID-19 - Coronavirus State and Local Fiscal Recovery Funds. The grant was funded through the American Rescue Plan Act that focused on community paramedicine. Metrics and Evaluation of Funded Activities Report The Fire Department was required to submit program specific metrics and funded activities report to the IDOH through the RedCap software on a monthly basis, due 15 days after month end. The Fire Department Office Manager (Office Manager) was responsible for tracking and compiling the necessary information for the monthly reports. Of the 12 reports tested, two reports were submitted 41 and 12 days late. In addition, the monthly reports were submitted by the Office Manager via the RedCap software without a documented oversight, review, or approval process to ensure timely submission. Annual Report on Program Activities The Fire Department was required to submit an annual report on program activities to the IDOH through an infographic report. The Office Manager was responsible for tracking and compiling the necessary information for the annual report on program activities. The annual report on program activities was submitted by the Office Manager, without a documented oversight, review, or approval process to ensure timely submission. INDIANA STATE BOARD OF ACCOUNTS 18 TOWN OF CLARKSVILLE SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Criteria 2 CFR 200.303 states in part: "The non-Federal entity must: (a) Establish and maintain effective internal control over the 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 Integrated Framework', issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). . . ." 2 CFR 200.329(c)(1) states in part: "The non-Federal entity must submit performance reports at the interval required by the Federal awarding agency or pass-through entity to best inform improvements in program outcomes and productivity. Intervals must be no less frequent than annually nor more frequent than quarterly except in unusual circumstances, for example where more frequent reporting is necessary for the effective monitoring of the Federal award or could significantly affect program outcomes. Reports submitted annually by the non-Federal entity and/or pass-through entity must be due no later than 90 calendar days after the reporting period. Reports submitted quarterly or semiannually must be due no later than 30 calendar days after the reporting period. . . ." Cause The issues with the monthly Metrics and Evaluation of Funded Activities Reports and the Annual Report on program activities reporting processes stem from the lack of a formal oversight and review procedure to ensure accuracy and timeliness. Without a structured verification process before submission, potential errors and inconsistencies could go undetected, thus increasing the likelihood of inaccurate data reporting. Additionally, the reliance on individual staff members to compile and submit reports without secondary review created inefficiencies and contributed to delays, as evidenced by the late submission of two monthly reports. Effect The lack of oversight and review of the metrics and evaluation of funded activities reports and the annual report on program activities reporting process could result in increased risk of inaccurate data being reported to the IDOH, which could compromise the integrity of the program's performance metrics. The absence of a structed verification process can also lead to inefficiencies, as error or inconsistencies may have required corrections after submission, resulting in inefficient use of time and resources. Additionally, the late submission of two monthly reports indicated a failure to meet reporting deadlines, which could negatively impact compliance with grant requirements and potentially jeopardize future funding opportunities. Questioned Costs There were no questioned costs identified. INDIANA STATE BOARD OF ACCOUNTS 19 TOWN OF CLARKSVILLE SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) Recommendation We recommended the Fire Department implement a formal oversight and review process for all data submissions to ensure accuracy and completeness before they are submitted to the IDOH. This would involve a secondary review by a designated individual or team to verify the data. Additionally, improving workflow coordination through clearly defined roles and responsibilities for each team member would help streamline the process and prevent delays. To further improve timeliness, the Fire Department should implement a tracking and reminder system for report due dates to ensure timely submissions. Providing staff with thorough training on reporting protocols and maintaining detailed documentation will help ensure consistent adherence to procedures. Finally, establishing accountability measures through clear roles, deadlines, and regular audits would enhance the efficiency and effectiveness of the reporting process. These steps will help ensure the Fire Department meets grant requirements, maintains data accuracy, and avoids potential delays or issues in future submissions. Views of Responsible Officials For the views of responsible officials, refer to the Corrective Action Plan that is part of this report.

Corrective Action Plan

FINDING 2025-003 Sherry Lockard, 812-283-1500, slockard@townofclarksville.com A. Coronavirus State and Local Fiscal Recovery Funds (IDOH fire dept grant) The Town concurs with the finding. INDIANA STATE BOARD OF ACCOUNTS 23 The Town will create a form for the Fire Department to use to have a second person review any reporting and requests for reimbursements when federal funds are involved. The form will be an attachment at the end of this document, therefore no further action is necessary.

Categories

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties Material Weakness

Other Findings in this Audit

  • 1226089 2025-002
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $1.48M
16.922 EQUITABLE SHARING PROGRAM $508,640
66.818 BROWNFIELDS MULTIPURPOSE, ASSESSMENT, REVOLVING LOAN FUND, AND CLEANUP COOPERATIVE AGREEMENTS $467,488
15.916 OUTDOOR RECREATION ACQUISITION, DEVELOPMENT AND PLANNING $31,897
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $12,135
20.205 HIGHWAY PLANNING AND CONSTRUCTION $5,155