FAC Explorer

Finding 15946 (2022-003)

Significant Deficiency
Requirement
B
Questioned Costs
-
Year
2022
Accepted
2023-01-16
Audit: 19560
Organization: City of Potosi, Missouri (MO)
Auditor: Croghan and Croghan PC

AI Summary

  • Core Issue: The City lacks required written policies and procedures for managing federal awards as mandated by OMB's Uniform Guidance.
  • Impacted Requirements: All federal awards are affected due to the absence of these necessary controls.
  • Recommended Follow-Up: The City should develop and adopt the required policies to ensure compliance with the Uniform Guidance.

Finding Text

2022-3 Criteria: The Office of Management and Budget?s (OMB) Uniform Guidance requires a non-federal entity to have certain written policies and procedures in place surrounding the management of their federal awards. Condition: The City has not adopted written policies and procedures related to federal awards as required by the Uniform Guidance. Context: The lack of written controls pertains to all federal awards. Cause: This condition appears to be the result of a time lag in identifying the requirement and developing a plan for compliance. Effect: As a result of this condition, the City may not fully comply with the Uniform Guidance applicable to certain federal awards. Questioned Costs: No costs have been questioned as a result of this finding. Recommendation: We recommend the City adopt the required written policies and procedures required by the Uniform Guidance. Views of Responsible Officials and Planned Corrective Actions: The City understands the concern. The City will review and update the City of Potosi?s procurement policy to add the federal guidelines to comply with Uniform Guidance.

Corrective Action Plan

FEDERAL AWARD FINDINGS AND QUESTIONED COSTS FEDERAL SIGNIFICANT DEFICIENCY 2022-3 The City has not adopted written policies and procedures related to federal awards as required by Uniform Guidance. Recommendation: We recommend the City adopt the required written policies and procedures required by Uniform Guidance. City?s Response: The City understands the concern. The City will review and update the City of Potosi?s procurement policy to add the federal guidelines to comply with Uniform Guidance. Planned Completion Date for the Corrective Action Plan: The City plans to have its accounting procedures and controls documented by May 1, 2023.

Categories

Procurement, Suspension & Debarment Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 15947 2022-003
    Significant Deficiency
  • 592388 2022-003
    Significant Deficiency
  • 592389 2022-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
11.300 Investments for Public Works and Economic Development Facilities $1.35M
11.307 Economic Adjustment Assistance $323,449
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $229,655
20.205 Highway Planning and Construction $166,367
90.201 Delta Area Economic Development $159,633
21.027 Coronavirus State and Local Fiscal Recovery Funds $51,571
16.710 Public Safety Partnership and Community Policing Grants $15,560
66.458 Capitalization Grants for Clean Water State Revolving Funds $13,500
15.916 Outdoor Recreation_acquisition, Development and Planning $3,708
20.600 State and Community Highway Safety $3,355
20.607 Alcohol Open Container Requirements $997
20.616 National Priority Safety Programs $487