Finding Text
Federal Agency: U.S. Department of Homeland Security Federal Financial Assistance Listing: 97.056 Applicable Federal Award Number: EMW-2019-PU-00447 & EMW-2020-PU-00288 Program Name: Port Security Grants Program Compliance Requirement: Reporting Type of Finding: Significant Deficiency Criteria: Per 2 CFR 200.303, the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. This includes internal controls over maintaining records of the preparer and approver of required reports. Condition: We identified 2 instances in which the District did not retain evidence to document the individual preparing the District?s required performance reports. Cause: The District?s procedures did not include documentation to evidence the individual that prepared the reports. Effect: The District did not comply with the requirements of 2 CFR 200.303. Questioned Costs: None reported. Context/Sampling: A non-statistical sample of 2 semi-annual performance reports out of a population of 4 semi-annual performance reports were selected for testing. Repeat Finding from Prior Year(s): No. Recommendation: We recommend that the District revise its procedures to include documenting the individual that prepared the semi-annual performance reports. Views of Responsible Officials: Management Agrees. See separate corrective action plan.