FAC Explorer

Finding 387837 (2023-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-03-28
Audit: 299877
Organization: Carroll County Commissioners (MD)
Auditor: Cliftonlarsonallen

AI Summary

  • Core Issue: Federal expenditures were reported incorrectly on the SEFA, with $140,000 misclassified due to timing errors in recording expenses.
  • Impacted Requirements: Compliance with 2 CFR 200 Section 510(b) and effective internal controls as per 2 CFR 200.303(a) were not maintained, leading to inaccurate reporting.
  • Recommended Follow-Up: Enhance the SEFA compilation process to ensure expenditures are reported based on when they were incurred, and provide training for staff on federal requirements.

Finding Text

Criteria or Specific Requirement: Compliance: Per 2 CFR 200 Section 510(b), the auditee must prepare a schedule of expenditures of Federal awards for the period covered by the auditee’s financial statements which must include the total Federal awards expended as determined in accordance with Section 200.502. The schedule must list individual Federal programs by Federal agency and provide total Federal awards expended for each individual Federal program and the Assistance Listings Number or other identifying number when the Assistance Listings information is not available. It must also include the total amount provided to subrecipients from each Federal program. Per Section 502(g), Federal non-cash assistance, such as free rent, food commodities, donated property, or donated surplus property, must be valued at fair market value at the time of receipt or the assessed value provided by the Federal agency. Control: Per 2 CFR section 200.303(a), a 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. These internal controls should comply with guidance in “Standards for Internal Control in the Federal Government” issued by the Comptroller General of the United States or the “Internal Control Integrated Framework”, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition: Expenditures were recorded on the Schedule of Expenditures of Federal Awards (SEFA) submitted to the auditors in the year when reimbursement was received and not in the year in which the expenditure was incurred. Cause: Turnover in the grant accountant position resulted in an inexperienced accountant completing the schedule of expenditures of federal awards and management was unaware of the federal requirements for preparation of the SEFA. Effect: Federal expenditures were incorrectly reported on the SEFA submitted to the auditors by $140,000, effecting the initial determination of Type A and Type B programs and our program coverage. Questioned Costs: Undetermined Recommendation: We recommend that the County improve its SEFA compilation process to ensure that program expenditures reported on the County’s SEFA are complete and accurate based on when the expenditure was incurred. Views of Responsible Officials: The County agrees with this finding. See separate Correction Action Plan related to this finding.

Categories

Reporting Subrecipient Monitoring Cash Management Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 387827 2023-001
    Significant Deficiency
  • 387828 2023-001
    Significant Deficiency
  • 387829 2023-001
    Significant Deficiency
  • 387830 2023-001
    Significant Deficiency
  • 387831 2023-001
    Significant Deficiency
  • 387832 2023-001
    Significant Deficiency
  • 387833 2023-001
    Significant Deficiency
  • 387834 2023-001
    Significant Deficiency
  • 387835 2023-001
    Significant Deficiency
  • 387836 2023-001
    Significant Deficiency
  • 387838 2023-001
    Significant Deficiency
  • 387839 2023-001
    Significant Deficiency
  • 387840 2023-001
    Significant Deficiency
  • 387841 2023-001
    Significant Deficiency
  • 387842 2023-001
    Significant Deficiency
  • 387843 2023-001
    Significant Deficiency
  • 387844 2023-001
    Significant Deficiency
  • 387845 2023-001
    Significant Deficiency
  • 387846 2023-001
    Significant Deficiency
  • 964269 2023-001
    Significant Deficiency
  • 964270 2023-001
    Significant Deficiency
  • 964271 2023-001
    Significant Deficiency
  • 964272 2023-001
    Significant Deficiency
  • 964273 2023-001
    Significant Deficiency
  • 964274 2023-001
    Significant Deficiency
  • 964275 2023-001
    Significant Deficiency
  • 964276 2023-001
    Significant Deficiency
  • 964277 2023-001
    Significant Deficiency
  • 964278 2023-001
    Significant Deficiency
  • 964279 2023-001
    Significant Deficiency
  • 964280 2023-001
    Significant Deficiency
  • 964281 2023-001
    Significant Deficiency
  • 964282 2023-001
    Significant Deficiency
  • 964283 2023-001
    Significant Deficiency
  • 964284 2023-001
    Significant Deficiency
  • 964285 2023-001
    Significant Deficiency
  • 964286 2023-001
    Significant Deficiency
  • 964287 2023-001
    Significant Deficiency
  • 964288 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.871 Section 8 Housing Choice Vouchers $6.56M
20.205 Highway Planning and Construction $1.75M
20.106 Airport Improvement Program $1.29M
97.044 Assistance to Firefighters Grant $797,227
14.879 Mainstream Vouchers $773,702
21.027 Coronavirus State and Local Fiscal Recovery Funds $627,692
21.023 Emergency Rental Assistance Program $472,569
93.558 Temporary Assistance for Needy Families $395,830
20.507 Federal Transit_formula Grants $325,827
17.259 Wia Youth Activities $166,466
17.278 Wia Dislocated Worker Formula Grants $127,381
93.556 Promoting Safe and Stable Families $125,824
93.778 Medical Assistance Program $119,665
20.509 Formula Grants for Rural Areas and Tribal Transit Program $100,119
14.896 Family Self-Sufficiency Program $88,667
17.258 Wia Adult Program $83,099
14.231 Emergency Solutions Grant Program $80,000
93.052 National Family Caregiver Support, Title Iii, Part E $68,351
16.588 Violence Against Women Formula Grants $65,157
16.738 Edward Byrne Memorial Justice Assistance Grant Program $45,900
95.001 High Intensity Drug Trafficking Areas Program $38,318
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $32,800
16.922 Equitable Sharing Program $28,866
66.466 Chesapeake Bay Program $28,076
14.241 Housing Opportunities for Persons with Aids $25,264
97.042 Emergency Management Performance Grants $20,695
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $18,437
20.703 Interagency Hazardous Materials Public Sector Training and Planning Grants $17,850
20.218 National Motor Carrier Safety $15,641
93.563 Child Support Enforcement $14,039
16.111 Joint Law Enforcement Operations (jleo) $11,870
20.505 Metropolitan Transportation Planning and State and Non-Metropolitan Planning and Research $11,824
14.267 Continuum of Care Program $11,613
93.499 Low Income Household Water Assistance Program $8,817
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $6,890
93.071 Medicare Enrollment Assistance Program $6,429
93.048 Special Programs for the Aging_title Iv_and Title Ii_discretionary Projects $5,797
93.042 Special Programs for the Aging_title Vii, Chapter 2_long Term Care Ombudsman Services for Older Individuals $4,404
97.067 Homeland Security Grant Program $3,271
64.044 Vha Home Care $2,545
20.616 National Priority Safety Programs $2,326
93.324 State Health Insurance Assistance Program $2,263
20.600 State and Community Highway Safety $1,778
93.043 Special Programs for the Aging_title Iii, Part D_disease Prevention and Health Promotion Services $58
93.041 Special Programs for the Aging_title Vii, Chapter 3_programs for Prevention of Elder Abuse, Neglect, and Exploitation $22