Finding Text
Major Program Department of Housing and Urban Development Community Development Block Grants/ State?s Program and Non-Entitlement Grants in Hawaii Pass-through: Texas General Land Office (GLO) Mitigation Harvey Round 1 State Most Impacted and Distressed Competition Award ALN: 14.228 Criteria Per Section 3 of the Housing and Urban Development Act of 1968, ?Recipients must document actions taken to comply with the employment, training and contracting requirements of Section 3, the results of actions taken, and impediments encountered (if any). Recipients should maintain records of job vacancies, solicitation of bids or proposals, selection materials and contracting documents (including scope of work and contract amount), in accordance with Federal and State procurement laws and regulations. The documentation should demonstrate efforts taken towards the achievement of the Section 3 numerical goals.? These reports are due 10 days after the end of each quarter. Statement of Condition The City was late in the submission of the quarterly report covering the period of December 2021 through February 2022. Statement of Cause The City had thought that it had submitted the report for the period of December 2021 through February 2022 within the 10 day time frame, but when submitting the March 2022 through May 2022 report it was discovered that the December/February report was not included in the Texas Integrated Grant Reporting System. The City immediately resubmitted the December/February report on June 8, 2022. It is thought that the original report was not retained in the Texas Integrated Grant Reporting System due to a technical error in this system. However, the City did not have sufficient documentation to support the timing of the original submission or the existence of an error in the system. Statement of Effect or Potential Effect This significant deficiency in the City?s internal control could result in a compliance issue associated with receiving reimbursements for grant expenditures. Questioned Costs No questioned costs were identified in association with this finding. Perspective Information This finding appears to be an isolated incident and does not appear to be a systemic issue. Identification of Repeat Findings N/A Recommendation The City should continue to work with its Grant Administrators to manage reporting requirements, and should verify submissions to the Texas Integrated Grant Reporting system to ensure that all submissions go through successfully and are timely in nature.