Finding 33704 (2022-003)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-03-29

AI Summary

  • Core Issue: The District failed to file required Project and Expenditure Reports for CSLFRF funding.
  • Impacted Requirements: Non-compliance with the Subrecipient Agreement and Treasury reporting obligations could lead to penalties.
  • Recommended Follow-up: File the overdue report for March 2021 to March 2022 immediately and ensure future reports are submitted by April 30, 2023.

Finding Text

Finding 2022-003 ? Significant Deficiency Assistance Listing: 21.027 ? Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Federal Grantor: Department of the Treasury Compliance Requirement: Reporting Condition: The Project and Expenditure Reports were not filed. Criteria: The Subrecipient Agreement between the City of Elk Grove and the District. Section 10 states Subrecipient shall comply with any applicable reporting obligations established by the Department of the Treasury as they relate to this Agreement. Department of Treasury Compliance and Reporting Guidance for CSLFRF, Part 2, Section B outlines reporting requirements. Reports on projects funded, expenditures, and contracts and subawards equal to or greater than $50,000, and other information are required annually for recipients serving populations under 250,000 and receiving less than $10 million in CSLFRF funding. Cause: The District believed that as a subrecipient of funds the funding provider would prepare and file the required reporting. Effect: Treasury may impose additional conditions on the receipt of a subsequent tranche of future award funds, if any, or take other available remedies as set forth in 2 C.F.R. ? 200.339. Recommendation: We recommend the District file the initial Project and Expenditures Report for the period covering March 3, 2021 to March 31,2022 as soon as possible. Subsequent annual reports should be filed by the April 30, 2023 deadline. Views of Responsible Officials and Planned Corrective Actions: Management?s response and planned corrective action is included in the Corrective Action Plan included at the end of the report.

Corrective Action Plan

Finding 2022-003 ? Significant Deficiency Assistance Listing: 21.027 ? Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) Federal Grantor: Department of the Treasury Compliance Requirement: Reporting Condition: The Project and Expenditure Reports were not filed. Recommendation: We recommend the District file the initial Project and Expenditures Report for the period covering March 3, 2021 to March 31,2022 as soon as possible. Subsequent annual reports should be filed by the April 30, 2023 deadline. Management Response and Corrective Action Plan: The District has confirmed with the City of Elk Grove that as the main recipient of the grant, the City has filed the project and expenditure reports with the Treasury Department. In addition to what has already been report, the District will establish the proper authority to report the project and expenditure reports to the Treasury Department for period covering March 3, 2021 to March 31, 2022. The District will ensure that going forward projects and expenditures are reported in accordance with the schedule set forth by the guidance issued by the Treasury.

Categories

Subrecipient Monitoring Reporting Significant Deficiency

Other Findings in this Audit

  • 33703 2022-002
    Significant Deficiency Repeat
  • 33705 2022-004
    Significant Deficiency
  • 610145 2022-002
    Significant Deficiency Repeat
  • 610146 2022-003
    Significant Deficiency
  • 610147 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
97.083 Staffing for Adequate Fire and Emergency Response (safer) $2.56M
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.46M
97.044 Assistance to Firefighters Grant $289,749