Finding Text
2022-002 Program: Community Development Block Grants / Entitlement Grants Federal Financial Assistance Listing Number: 14.218 Grant Identification Number: B-21-MC-06-0004 and related program income Federal Grantor: U.S. Department of Housing and Urban Development Passthrough Entity: State Department of Housing and Community Development Compliance Requirements: Reporting Type of Finding: Significant deficiency in Internal Control over Compliance and Compliance Other Matters Criteria: The grant requires that SF-425, Federal Financial Report ? Quarterly Federal Financial Report (?FFR?) are filed no later than 30 days after the end of the quarter. Condition: During our audit, we noted that the City did not file the FFR timely for two of the four quarters during the year ended June 30, 2022. The late submission is summarized as follows: Cause: The City was in the process of hiring a consultant to assist with the implementation of corrective action plan. The quarterly reports were finally caught up in the 3rd quarter of the fiscal year. Effect: The delay in filing the report resulted in noncompliance with program requirements. Questioned Costs: None. Context/Sampling: See condition above for context of the finding. Repeat Findings from Prior Years: Repeat finding, see 2021-003 in the Prior Year Current Findings and Questioned Costs Section. Recommendation: We recommend that the City follows its comprehensive policies and procedures and specify the deadlines for all required reporting for all City employees to follow. Views of Responsible Officials: Management concurrs with the finding and will ensure that the reports are filed timely.