FAC Explorer

Finding 388298 (2023-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-03-28
Audit: 300090
Organization: City of San Buenaventura (CA)
Auditor: Cliftonlarsonallen LLP

AI Summary

  • Core Issue: The City failed to submit monthly activity reports from March to June 2023, violating the grant agreement with the State HCD.
  • Impacted Requirements: The City must maintain internal controls to ensure compliance with reporting obligations throughout the grant period.
  • Recommended Follow-Up: Implement procedures to enhance monitoring and ensure timely submission of all required reports to meet grant compliance.

Finding Text

Criteria or Specific Requirement: The grant agreement between the City and the State HCD requires the City to submit monthly activity reports and must continue through the receipt and approval by HCD of the Project Completion Report. The City should have internal controls designed to ensure compliance with this provision. Condition: The City did not submit monthly activity reports for the months of March 2023 to June 2023. Questioned Costs: None. Context: Only three of twelve monthly activity reports were not properly submitted for the fiscal year. The sample was a statically valid sample. Cause: Lack of adequate controls in place to effectively monitor grant compliance as a subrecipient of the State. Effect: The City did not comply with the reporting requirements of the grant agreement. Recommendation: We recommend the City implement procedures to ensure compliance with the reporting requirements of the State HCD grant agreement. View of Responsible Officials: There is no disagreement with the audit finding.

Corrective Action Plan

The City program leads responsible for specific grants will read the compliance requirements related to those grants prior to commencement. They will then work with Finance and Accounting to determine what the compliance requirements are along with the related deadlines. Additionally, they will also determine who is responsible for each compliance requirement and monitor the grant from commencement to completion to ensure each of those requirements are being complied with by the responsible parties and by the related deadlines.

Categories

Subrecipient Monitoring Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 964740 2023-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $4.12M
15.504 Title Xvi Water Reclamation and Reuse Program $413,477
20.205 Highway Planning and Construction $369,834
97.044 Assistance to Firefighters Grant $154,635
20.600 State and Community Highway Safety $140,547
20.616 National Priority Safety Programs $116,910
14.218 Community Development Block Grants/entitlement Grants $108,742
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $81,822
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $79,339
10.558 Child and Adult Care Food Program $55,985
14.239 Home Investment Partnerships Program $51,054
16.738 Edward Byrne Memorial Justice Assistance Grant Program $21,811
97.067 Homeland Security Grant Program $20,000