Finding 2450 (2023-003)

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Requirement
N
Questioned Costs
-
Year
2023
Accepted
2023-11-27
Audit: 4213
Organization: City of Oelwein (IA)

AI Summary

  • Core Issue: The City lacks a policy for using airport revenue, which is required for compliance.
  • Impacted Requirements: This oversight violates Federal regulations related to airport revenue management.
  • Recommended Follow-up: The City should create and implement a policy for airport revenue usage to ensure compliance.

Finding Text

Special Tests and Provision Criteria – The basic requirement for use of airport revenue is that all revenues generated by a public airport must be expended for the capital or operating costs of the airport and the local airport system. The City should have a proper policy in regards to how airport revenue is to be spent. Condition – The City did not establish a policy for the use of airport revenue. Cause – The City’s management was not aware that they needed to have a policy in regards to airport revenue. Effect – The City is not in compliance with Federal regulations pertaining special tests and provisions as required by the Uniform Guidance. Recommendation – The City should establish a policy for the use of airport revenue. Corrective Action – The City will establish a policy for the use of airport revenue. Conclusion – Response accepted.

Corrective Action Plan

The City will establish a policy for the use of airport revenue.

Categories

Special Tests & Provisions

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $517,966
20.106 Airport Improvement Program $335,336
97.039 Hazard Mitigation Grant $27,450