Finding Text
Condition: During our review of the Federal Financial Reports (SF-425) prepared for the Emergency Management Performance Grant (EMPG) program years 2020 and 2021, we identified significant deficiencies affecting all six (6) reports examined. Specifically, we noted the following: Timeliness - The timeliness of submission could not be verified because no evidence of submission (such as ND Grants confirmations, FEMA acknowledgments, or submission dates) was maintained. Federal Funds Authorized - The Federal funds authorized reported on each SF-425 differed from the amount authorized in the corresponding FEMA Award Letter. Accounting Records - The cumulative Federal share of expenditures reported on the SF-425 reports did not agree with the Bureau's accounting records maintained in PRIFAS. No reconciliation schedules or supporting documentation were available to explain the differences. Additionally, the reported Federal share of unliquidated obligations could not be traced to the accounting records. Recipient Share (Matching) - Although each report disclosed the required recipient share (matching) section and reflected the total required non-Federal cost share, none of the reports reported recipient share expenditures, despite the FEMA awards requiring a 50 percent non-Federal cost share. These deficiencies were identified in every SF-425 report tested and demonstrate that the Bureau's federal financial reporting process is not operating effectively.