Finding 28608 (2022-002)

Condition and Context: During our testing of reporting requirements, we noted the City did not properly report all subawards to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS) for the fiscal year 2022 subawards. The City has seven (7) subawards of over $30,000 which were not reported on the FSRS and in total amount to $577,528. Cause: Per review of the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS), the City?s CDBG Program was not reporting any subrecipients for the program of award B-21-MC-01-0005 and B-20-MW-01-0001. This was due to oversight by the program management for the CDBG program. Effects: The City was not in compliance with the reporting requirements. Questioned Costs: None. Recommendation: We recommend the City take necessary steps in the future to ensure that those responsible for the program are aware of reporting requirements and have a process in place to ensure that all reports and submissions are completed and submitted timely. We recommend that reporting responsibilities be clearly communicated and delegated to one or two individuals. Auditee?s Response: We concur with the finding. We will implement policies and procedures to ensure grant activity is reported in accordance with the grant requirements.