FAC Explorer

Finding 1241714 (2025-003)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2025
Accepted
2026-11-06
Audit: 415738
Organization: City of Atlanta (GA)
Auditor: MAULDIN & JENKINS LLC

AI Summary

  • Core Issue: The City failed to submit required quarterly reports for CDBG-CV funding under Section 15011 of the CARES Act.
  • Impacted Requirements: The City did not comply with reporting obligations, including detailing funds received, expenditures, and project descriptions.
  • Recommended Follow-Up: Enhance internal controls to ensure timely compliance with CARES Act reporting requirements.

Finding Text

Criteria: Section 15011 of the Coronavirus Aid, Relief, and Economic Security (CARES) Act requires recipients of federal CDBG-CV grants ($150,000 or more) to submit a report containing information regarding the amount of funds received; the amount of funds obligated or expended for each project or activity; a detailed list of all such projects or activities, including a description of the project or activity; and detailed information on any subcontracts or subgrants awarded by the recipient within 10 days of the end of each calendar quarter. Condition: Internal controls should be in place to ensure the City is in compliance with all requirements of the federal award program. The City did not submit this report during the fiscal year. Context/Cause: The City did not have adequate internal controls to ensure compliance with Section 15011 of the CARES Act reporting requirements for the CDBG-CV funding. The City was awarded $7,913,409 of CDBG-CV funding and would be required to complete the Section 15011 of the CARES act reporting. It was determined that none of the quarterly required reports were filed for the CDBG-CV grant funding. Effects: Noncompliance for quarterly reporting for Section 15011 of the CARES Act occurred and was not detected by the City. Questioned Costs: None Recommendation: We recommend the City enhance internal controls to ensure compliance with Section 15011 of the CARES Act reporting requirements. Auditee’s Response: Management will implement a process to ensure that reporting of CDBG-CV funds are being completed timely.

Corrective Action Plan

As part of the closeout process for the City's remaining CARES Act grants, the Department of Grants and Community Development (DGCD) will work with HUD to ensure that Section 15011 reporting obligations are met and submitted prior to grant closeout. Additionally, DGCD has implemented amended internal controls that include Section 15011 requirements. To prevent similar issues from occurring with future federal awards, DGCD Program and Fiscal Operations managers will track reporting deadlines and maintain documentation evidencing submission, while the Compliance Division managers will perform periodic reviews to verify compliance with any nonstandard federal reporting requirements. These corrective actions will strengthen oversight of federal reporting requirements and ensure future grants are administered in accordance with all applicable federal regulations and award conditions.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1241679 2025-001
    Material Weakness Repeat
  • 1241680 2025-001
    Material Weakness Repeat
  • 1241681 2025-001
    Material Weakness Repeat
  • 1241682 2025-001
    Material Weakness Repeat
  • 1241683 2025-001
    Material Weakness Repeat
  • 1241684 2025-001
    Material Weakness Repeat
  • 1241685 2025-001
    Material Weakness Repeat
  • 1241686 2025-001
    Material Weakness Repeat
  • 1241687 2025-001
    Material Weakness Repeat
  • 1241688 2025-001
    Material Weakness Repeat
  • 1241689 2025-002
    Material Weakness Repeat
  • 1241690 2025-002
    Material Weakness Repeat
  • 1241691 2025-002
    Material Weakness Repeat
  • 1241692 2025-002
    Material Weakness Repeat
  • 1241693 2025-002
    Material Weakness Repeat
  • 1241694 2025-002
    Material Weakness Repeat
  • 1241695 2025-002
    Material Weakness Repeat
  • 1241696 2025-002
    Material Weakness Repeat
  • 1241697 2025-002
    Material Weakness Repeat
  • 1241698 2025-002
    Material Weakness Repeat
  • 1241699 2025-002
    Material Weakness Repeat
  • 1241700 2025-002
    Material Weakness Repeat
  • 1241701 2025-002
    Material Weakness Repeat
  • 1241702 2025-002
    Material Weakness Repeat
  • 1241703 2025-002
    Material Weakness Repeat
  • 1241704 2025-002
    Material Weakness Repeat
  • 1241705 2025-003
    Material Weakness Repeat
  • 1241706 2025-003
    Material Weakness Repeat
  • 1241707 2025-003
    Material Weakness Repeat
  • 1241708 2025-003
    Material Weakness Repeat
  • 1241709 2025-003
    Material Weakness Repeat
  • 1241710 2025-003
    Material Weakness Repeat
  • 1241711 2025-003
    Material Weakness Repeat
  • 1241712 2025-003
    Material Weakness Repeat
  • 1241713 2025-003
    Material Weakness Repeat
  • 1241715 2025-004
    Material Weakness Repeat
  • 1241716 2025-004
    Material Weakness Repeat
  • 1241717 2025-004
    Material Weakness Repeat
  • 1241718 2025-004
    Material Weakness Repeat
  • 1241719 2025-004
    Material Weakness Repeat
  • 1241720 2025-005
    Material Weakness Repeat
  • 1241721 2025-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
97.024 EMERGENCY FOOD AND SHELTER NATIONAL BOARD PROGRAM $5.26M
97.106 SECURING THE CITIES PROGRAM $3.58M
20.205 HIGHWAY PLANNING AND CONSTRUCTION $2.65M
66.458 CLEAN WATER STATE REVOLVING FUND $2.56M
20.106 AIRPORT IMPROVEMENT PROGRAM, INFRASTRUCTURE INVESTMENT AND JOBS ACT PROGRAMS, AND COVID-19 AIRPORTS PROGRAMS $1.66M
20.507 FEDERAL TRANSIT FORMULA GRANTS $1.43M
16.753 CONGRESSIONALLY RECOMMENDED AWARDS $1.35M
14.241 HOUSING OPPORTUNITIES FOR PERSONS WITH AIDS $1.05M
20.933 NATIONAL INFRASTRUCTURE INVESTMENTS $907,638
66.460 NONPOINT SOURCE IMPLEMENTATION GRANTS $360,948
14.231 EMERGENCY SOLUTIONS GRANT PROGRAM $331,751
66.818 BROWNFIELDS MULTIPURPOSE, ASSESSMENT, REVOLVING LOAN FUND, AND CLEANUP COOPERATIVE AGREEMENTS $315,547
16.833 EQUITABLE SHARING PROGRAM $311,575
17.277 WIOA NATIONAL DISLOCATED WORKER GRANTS / WIA NATIONAL EMERGENCY GRANTS $233,374
10.559 SUMMER FOOD SERVICE PROGRAM FOR CHILDREN $220,948
97.039 HAZARD MITIGATION GRANT $215,556
14.856 LOWER INCOME HOUSING ASSISTANCE PROGRAM SECTION 8 MODERATE REHABILITATION $189,834
97.141 SHELTER AND SERVICES PROGRAM $173,421
10.558 CHILD AND ADULT CARE FOOD PROGRAM $169,469
16.822 NATIONAL SEXUAL ASSAULT KIT INITIATIVE $163,839
20.600 STATE AND COMMUNITY HIGHWAY SAFETY $139,187
20.616 NATIONAL PRIORITY SAFETY PROGRAMS $138,838
16.575 CRIME VICTIM ASSISTANCE $82,840
17.278 WIOA DISLOCATED WORKER FORMULA GRANTS $73,922
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $73,513
10.675 URBAN AND COMMUNITY FORESTRY PROGRAM $64,246
14.889 CHOICE NEIGHBORHOODS IMPLEMENTATION GRANTS $45,268
17.258 WIOA ADULT PROGRAM $41,415
16.738 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT PROGRAM $28,859
14.239 HOME INVESTMENT PARTNERSHIPS PROGRAM $19,031
14.218 COMMUNITY DEVELOPMENT BLOCK GRANTS/ENTITLEMENT GRANTS $16,613
17.259 WIOA YOUTH ACTIVITIES $11,926
14.913 HEALTHY HOMES PRODUCTION PROGRAM $2,553
14.900 LEAD HAZARD REDUCTION GRANT PROGRAM $770
97.044 ASSISTANCE TO FIREFIGHTERS GRANT $144