Finding 388518 (2023-001)

2023-001 U.S. Treasury, Assistance Listing #21.027 Coronavirus State and Local Fiscal Recovery Funds (ARPA) for the period July 1, 2022 through June 30, 2023 Criteria: In order to promote transparency, 5th Tier Communities, as Ranked by the Treasury, are required to submit Project and Expenditure Reports annually that include all projects funded by ARPA. The Town is also required to implement controls that ensure the accuracy and completeness of the reports. Condition: The Town did not include all projects that were funded by ARPA. Cause: Although the Town reported all of the ARPA expenditures in the aggregate, not all projects were included in the description of the projects. The Town lacked sufficient controls to ensure the accuracy and completeness of the reports. Effect: Information reported to Treasury and subsequently to the public was incomplete. Questioned Costs: None Recommendation: Management should review final grant expenditures to ensure all uses of funds are included in the final reports. In addition, the Town should develop procedures, such as secondary review, to ensure the accuracy and completeness of reports.