Finding Text
Criteria or Specific Requirement: 2 CFR Part 200 Uniform Administrative Requirements, Post Federal Award Requirements requires that the financial management system of a non-Federal entity provide for accurate, current, and complete disclosure of the financial results of each Federal award or program in accordance with reporting requirements. Condition: During our testing, we noted the City?s submitted Project and Expenditure Report for the quarter ended December 31, 2021, included inaccurate information. Questioned Costs: None. Context: The report indicated that $9,083,054 of expenditures had been incurred during the period, under the revenue loss provisions of the award. This amount was indicated as this was the City?s full award amount and the City had elected the $10 million standard allowance for revenue loss. While the amounts had been obligated, the City had not expended the full award amount. Cause: Reporting parameters were not understood at the time the report was submitted. Effect: The Project and Expenditure Report submitted included inaccurate information. Recommendation: We recommend that the City review its procedures for the preparation and review of reporting for Federal grants, whereby amounts included on reports are reconciled to the City's accounting records.