Finding 20480 (2022-001)

Significant Deficiency Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-07-09
Audit: 28327
Organization: City of Eveleth (MN)

AI Summary

  • Core Issue: There is a significant deficiency due to a lack of segregation of duties in managing the COVID-19 grant.
  • Impacted Requirements: This deficiency affects compliance with grant management standards and internal controls.
  • Recommended Follow-Up: The City Administrator should continue to monitor transactions and adjust personnel duties to improve segregation within current staffing and funding limits.

Finding Text

COVID-19 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUND. COVID-19 Coronavirus State and Local Fiscal Recovery Funds - Assistance Listing No. 21.027- Grant Period - Year ended December 31, 2022 - Direct Award The significant deficiency of lack o f segregation of duties, as discussed in Section 11, finding 2022-001, also applies to this grant. Finding: 2022-001 Name of Contact Person: Jackie Monahan-Junek Corrective Action: The City Administrator will attempt to monitor transactions and structure the duties of office personnel to help ensure as much segregation of duties as possible within the City's staffing limitations and funding constraints. Proposed Completion Date: The City Administrator has been monitoring transactions and reviewing the duties of office personnel on an ongoing basis.

Corrective Action Plan

REPRESENTATION OF THE CITY OF EVELETH, MINNESOTA CORRECTIVE ACTION PLAN Year Ended December 31, 2022 Finding Number: 2022-001 Finding Title: SEGREGATION OF DUTIES Name of Contact Person Responsible for Corrective Action Jackie Monahan-Junek, City Administrator Corrective Action Planned The City Administrator will attempt to monitor transactions and structure the duties of office personnel to help ensure as much segregation of duties as possible within the City's staffing limitations and funding constraints. Anticipated Completion Date Ongoing. Finding Number: 2022.002 Finding Title: LACK OF CONTROL OVER FINANCIAL REPORTING PROCESS Name of Contact Person Responsible for Corrective Action Jackie Monahan-Junek, City Administrator Corrective Action Planned Management has determined that the cost and training involved to review or prepare the City's financial statements exceeds the benefit that would result. Anticipated Completion Date Ongoing. Jackie Monahan.Junek, City Administrator

Categories

Subrecipient Monitoring Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 596922 2022-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $390,028
66.468 Capitalization Grants for Drinking Water State Revolving Funds $140,849
66.458 Capitalization Grants for Clean Water State Revolving Funds $121,961
14.850 Public and Indian Housing $106,718
14.218 Community Development Block Grants/entitlement Grants $100,000
14.872 Public Housing Capital Fund $27,474