Finding 20455 (2022-001)

-
Requirement
L
Questioned Costs
$1
Year
2022
Accepted
2023-06-28
Audit: 20625
Organization: City of Gonzales, Texas (TX)
Auditor: Abip

AI Summary

  • Core Issue: $89,150 in expenditures from March 3, 2021, to March 31, 2022, were not reported as required.
  • Impacted Requirements: Federal program expenditures must be reported in the Project and Expenditure Report per grant agreement.
  • Recommended Follow-Up: Implement procedures to identify and report CSLFR-funded invoices; Finance Director will oversee compliance.

Finding Text

2022-001 ? Reporting Type of Finding ? Other ALN No. 21.027 Coronavirus State and Local Fiscal Recovery Funds (CSLFR) Questioned Costs - $89,150 Criteria: Federal program expenditures incurred from March 3, 2021 through March 31, 2022 must be reported through the Project and Expenditure Report as outlined in the federal program?s grant agreement. Condition: Expenditures totaling $89,150 were incurred during the period March 3, 2021 through March 31, 2022 were not reported in the Project and Expenditure Report submission. Cause: Expenditure invoices were incurred with CSLFR funds were not properly identified by management and subject to the reporting compliance requirement. Recommendation: We recommend that the City implement procedures to identify invoices to be funded by CSLFR funds and report them in the Project and Expenditure Report submission. Planned Correction Action Response: The City of Gonzales recognizes and agrees with the recommendation to implement procedures. Our Finance Director will review invoices funded by CSLFR funds and ensure the Project and Expenditure Report includes all expenditures incurred in the appropriate reporting period. Responsible Persons: Laura Zella, Finance Director

Corrective Action Plan

City of Gonzales, Texas Summary Schedule of Audit Findings Year ended September 30, 2022 2022-001 ? Reporting Type of Finding ? Other ALN No. 21.027 Coronavirus State and Local Fiscal Recovery Funds (CSLFR) Questioned Costs - $89,150 Criteria: Federal program expenditures incurred from March 3, 2021 through March 31, 2022 must be reported through the Project and Expenditure Report as outlined in the federal program?s grant agreement. Condition: Expenditures totaling $89,150 were incurred during the period March 3, 2021 through March 31, 2022 were not reported in the Project and Expenditure Report submission. Cause: Expenditure invoices were incurred with CSLFR funds were not properly identified by management and subject to the reporting compliance requirement. Recommendation: We recommend that the City implement procedures to identify invoices to be funded by CSLFR funds and report them in the Project and Expenditure Report submission. Planned Correction Action Response: The City of Gonzales recognizes and agrees with the recommendation to implement procedures. Our Finance Director will review invoices funded by CSLFR funds and ensure the Project and Expenditure Report includes all expenditures incurred in the appropriate reporting period. Responsible Persons: Laura Zella, Finance Director

Categories

Questioned Costs Reporting

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $609,691
97.067 Homeland Security Grant Program $37,679
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $23,849
15.904 Historic Preservation Fund Grants-in-Aid $14,222