Finding Text
Disaster Grants – Public Assistance (Presidentially Declared Disasters) Assistance Listing No. 97.036 US Department of Homeland Security Federal Award Year: 2023 Criteria - In accordance with 2 CFR § 200.403 and 2 CFR § 200.309, costs charged to a federal award must be incurred during the approved period of performance unless otherwise authorized by the awarding agency Condition - During our testing of period of performance, we noted that one transaction occurred prior to the period of performance beginning Cause - Proper accounting policies and procedures were not in place related to review of documentation related to the period of performance Effect or Potential Effect - Federal funds may be used to reimburse expenditures that are not eligible under the terms and conditions of the award, resulting in noncompliance with federal requirements Questioned Costs - $7,727 Context - One of the seventeen payroll transactions tested (6%) was determined to be outside the period of performance. This represents $456 of the $29,919 sampled costs. The sampling methodology used is not, and is not intended to be, statistically valid. Identification as a repeat finding - No Recommendation - The City should incorporate internal controls over compliance with period of performance compliance requirements Views of Responsible Officials and Planned Corrective Actions - Management concurs with the finding and is updating their internal controls around period of performance