Finding 29182 (2022-002)

2022-002 Department of the Treasury CFDA # 21.023 and 21.027 COVID-19 Emergency Rental Assistance Program COVID-19 Coronavirus State and Local Fiscal Recovery Funds Applicable Federal Award Number and Year ? ERA2 and SLT-1183 Reporting Significant Deficiency in Internal Control Over Compliance Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal award. Condition: The County?s reports submitted to the Department of Treasury were not reviewed and approved by a separate individual outside of the preparer. Cause: The County did not have an internal control process in place to ensure a secondary review and approval of the reports submitted to the Department of Treasury were performed by someone other than the preparer of the report. Effect: Without a secondary review and approval, there is a possibility that the report may not be accurately completed. Questioned Costs: None reported. Context: For the Emergency Rental Assistance Program, a nonstatistical sample of 4 out of 14 reports were tested. For the Coronavirus State and Local Fiscal Recovery Funds, a nonstatistical sample of 2 out of 4 reports were tested. Repeat Finding from Prior Years: No Recommendation: We recommend the County implement a control process which includes a secondary review and approval of the of required reports to be submitted to the federal agency. Views of Responsible Officials: Moving forward, the Senior Accountant will prepare the reports and the Finance Director will approve the final page of each report with a signature and date prior to submission by the Senior Accountant.