Finding 2025-003: Local Assistance and Tribal Consistency Fund, Assistance Listing No. 21.032, U.S. Department of Treasury Compliance Requirement: Reporting Grant No.: Not applicable Type of Finding: Internal Control (material weakness) and Compliance (material noncompliance) Recommendation: The County should continue to strengthen its internal controls over federal reporting, including reconciliation and review procedures, to ensure LATCF reports are submitted timely and accurately in accordance with LATCF Reporting requirements. Action Taken: Saguache County has taken corrective action to strengthen internal controls over federal grant reporting and specifically address the reporting requirements associated with the Local Assistance and Tribal Consistency Fund (LATCF). The County has implemented procedures requiring federal grant activity to be reconciled to the County's financial records prior to the preparation and submission of required federal reports. Grant expenditures, revenues, supporting documentation, and applicable reporting requirements will be reviewed to ensure that information reported to the federal awarding agency is complete and accurate. The County has also strengthened its review process by requiring appropriate County personnel to review federal grant reports for accuracy, completeness, and compliance with applicable reporting requirements prior to submission. Reporting deadlines will be monitored to ensure required reports are submitted within the established federal reporting periods. Administration, Finance, and the applicable Grant Manager or Department Head will coordinate responsibility for monitoring federal grant requirements and maintain documentation supporting reconciliations, reviews, and report submissions. The County has also implemented cross-training procedures to provide continuity in grant administration and reporting responsibilities when the primary employee responsible for a grant is unavailable. These corrective measures are intended to ensure that federal grant reports are properly reconciled, independently reviewed, accurately reported, and submitted within required deadlines, thereby strengthening the County's compliance with federal grant requirements.