Finding 366491 (2023-004)

Material Weakness

Requirement

Questioned Costs

Year

2023

Accepted

2024-02-07

Audit: 16120

Organization: City of Baxter (TN)

Auditor: Denning & Cantrell CPAS PLLC

AI Summary

Issue: Grant receivables and revenues were not recorded correctly at year-end.
Impact: The City Recorder was unaware that expenditures should be recorded as receivables.
Follow-up: MTAS will train the City Recorder on proper grant entry procedures.

Finding Text

Grant receivables were not recorded correctly at year end. The City Recorder was unaware expenditures should be recorded as a receivable at year end. Grant revenues were not correctly recorded. At year end grant expenditures should be calculated, and grant receivables should be recorded. MTAS has been contacted for the City's financial advisor to train the City Recorder on grant entries

Corrective Action Plan

Grant Funds are being recorded when application for reimbursement is made. The City's financial advisor from MTAS has been contacted and will be at the City in February to train the City Recorder on this entry and all grant entries.

Other Findings in this Audit

366492 2023-004

Material Weakness
942933 2023-004

Material Weakness
942934 2023-004

Material Weakness

Programs in Audit

ALN	Program Name	Expenditures
11.300	Investments for Public Works and Economic Development Facilities	$1.12M
21.027	Coronavirus State and Local Fiscal Recovery Funds	$246,962
14.228	Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii	$159,896
97.044	Assistance to Firefighters Grant	$49,031
10.766	Community Facilities Loans and Grants	$34,600
23.006	Appalachian Regional Development (see Individual Appalachian Programs)	$19,163