Finding 390827 (2023-003)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-04-01
Audit: 301557
Organization: County of Solano (CA)
Auditor: Eide Bailly LLP

AI Summary

  • Core Issue: There is a significant weakness in internal controls over compliance, specifically related to FFATA reporting for housing vouchers.
  • Impacted Requirements: Noncompliance with 2 CFR Part 170, including failure to report subawards accurately and timely.
  • Recommended Follow-Up: Management should enhance processes for FFATA reporting and implement a documented review by a separate individual before submission.

Finding Text

Program: Housing Voucher Cluster Federal Financial Assistance Listing No.: 14.871, 14.879 Federal Agency: U.S. Department of Housing and Urban Development Passed-through: n/a – direct award Award Number and Year: CA131, 2022/2023 Compliance Requirement: Reporting Type of Finding: Material Weakness in Internal Control over Compliance, Material Noncompliance Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. 2 CFR Part 170 establishes requirements for recipients’ reporting of information on subawards as required by the Federal Funding Accountability and Transparency Act of 2006 (FFATA). Condition: We identified that the FFATA reporting was not completed as required by 2 CFR Part 170 for the following instances: Transactions Tested Subaward Not Reported Report Not Timely Subaward Amount Incorrect Subaward Missing Key Elements 1 1 1 1 1 Dollar Amount of Tested Transactions Subaward Not Reported Report Not Timely Subaward Amount Incorrect Subaward Missing Key Elements $3,125,897 $3,125,897 $3,125,897 $3,125,897 $3,125,897 Cause: Management asserted that the County’s award is not available in the FFATA portal; therefore, they are unable to submit the FFATA reports for the subrecipient of this grant. Effect: Ineffective controls over this area of compliance could result in reports that are inaccurate, or incomplete being submitted to the federal agency. Questioned Costs: None reported. Context/Sampling: We tested 100% of all subrecipients. Repeat Finding from Prior Year(s): Yes, prior year finding 2022-004. Recommendation: We recommend that management strengthen their processes and procedures related to the submission of the required FFATA reports to ensure compliance with the program requirements. We also recommend that management establish documented review of the required FFATA reports by an individual other than the preparer prior to submission and retain record of the review and submission. Views of Responsible Officials: Management agrees with the finding. See separate corrective action plan.

Corrective Action Plan

Federal Agency: U.S. Department of Housing and Urban Development Program/Cluster: Housing Voucher Cluster Federal Assistance Listing Number: 14.871, 14.879 Pass‐through: n/a – direct award Award No. and Year: CA131, 2022/2023 Compliance Requirement: Reporting Type of Finding: Material Weakness in Internal Control over Compliance, Material Noncompliance Views of Responsible Officials and Corrective Action Plan: The County spent many months contacting multiple agencies trying to report through the FSRS system on the multiple Housing Voucher awards, with no success. The County’s assigned Housing and Urban Development (HUD) office is the San Francisco regional office. Per their director, “These are systems that we don’t work with in HUD PIH so I won’t be able to be of assistance relative to this.” The County is unable to complete FFATA reporting for reasons outside of the County’s control. Responsible Individual(s): James Bezek, Director of Resources Management Anticipated Completion Date: Because the corrective action is outside of the County’s control, we cannot determine an anticipated completion date.

Categories

Subrecipient Monitoring Reporting Material Weakness

Other Findings in this Audit

  • 390825 2023-002
    Material Weakness Repeat
  • 390826 2023-002
    Material Weakness Repeat
  • 390828 2023-003
    Material Weakness Repeat
  • 390829 2023-004
    - Repeat
  • 390830 2023-004
    - Repeat
  • 390831 2023-004
    - Repeat
  • 390832 2023-005
    Material Weakness Repeat
  • 390833 2023-005
    Material Weakness Repeat
  • 390834 2023-005
    Material Weakness Repeat
  • 390835 2023-006
    - Repeat
  • 390836 2023-006
    - Repeat
  • 390837 2023-006
    - Repeat
  • 390838 2023-007
    Material Weakness
  • 390839 2023-008
    Material Weakness
  • 390840 2023-008
    Material Weakness
  • 390841 2023-008
    Material Weakness
  • 967267 2023-002
    Material Weakness Repeat
  • 967268 2023-002
    Material Weakness Repeat
  • 967269 2023-003
    Material Weakness Repeat
  • 967270 2023-003
    Material Weakness Repeat
  • 967271 2023-004
    - Repeat
  • 967272 2023-004
    - Repeat
  • 967273 2023-004
    - Repeat
  • 967274 2023-005
    Material Weakness Repeat
  • 967275 2023-005
    Material Weakness Repeat
  • 967276 2023-005
    Material Weakness Repeat
  • 967277 2023-006
    - Repeat
  • 967278 2023-006
    - Repeat
  • 967279 2023-006
    - Repeat
  • 967280 2023-007
    Material Weakness
  • 967281 2023-008
    Material Weakness
  • 967282 2023-008
    Material Weakness
  • 967283 2023-008
    Material Weakness

Programs in Audit

ALN Program Name Expenditures
93.563 Child Support Enforcement $7.68M
20.205 Highway Planning and Construction $3.38M
14.871 Section 8 Housing Choice Vouchers $3.13M
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $2.71M
93.778 Medical Assistance Program $2.36M
93.224 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $1.73M
93.224 Covid-19 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $1.31M
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $826,610
21.027 Covid-19 Coronavirus State and Local Fiscal Recovery Funds $596,260
16.575 Crime Victim Assistance $593,209
93.659 Adoption Assistance $553,181
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $505,023
93.498 Covid-19 Provider Relief Fund $463,799
93.994 Maternal and Child Health Services Block Grant to the States $388,673
16.738 Edward Byrne Memorial Justice Assistance Grant Program $349,914
93.918 Grants to Provide Outpatient Early Intervention Services with Respect to Hiv Disease $341,429
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $334,090
93.667 Social Services Block Grant $329,728
93.658 Foster Care_title IV-E $312,354
93.556 Promoting Safe and Stable Families $301,061
16.606 State Criminal Alien Assistance Program $298,259
93.052 National Family Caregiver Support, Title Iii, Part E $291,617
97.067 Homeland Security Grant Program $251,279
93.889 National Bioterrorism Hospital Preparedness Program $240,451
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $226,463
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $217,908
93.526 Covid-19 Affordable Care Act (aca) Grants for Capital Development in Health Centers $211,510
93.069 Public Health Emergency Preparedness $208,837
93.053 Nutrition Services Incentive Program $207,308
93.268 Immunization Cooperative Agreements $182,180
93.354 Covid-19 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $161,633
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $148,008
17.258 Wia Adult Program $139,508
93.645 Stephanie Tubbs Jones Child Welfare Services Program $134,957
20.616 National Priority Safety Programs $127,440
93.958 Covid-19 Block Grants for Community Mental Health Services $120,486
17.278 Wia Dislocated Worker Formula Grants $113,074
93.958 Block Grants for Community Mental Health Services $106,592
59.037 Small Business Development Centers $104,192
16.034 Covid-19 Coronavirus Emergency Supplemental Funding Program $97,487
93.090 Guardianship Assistance $85,194
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $85,050
93.940 Hiv Prevention Activities_health Department Based $82,288
93.747 Elder Abuse Prevention Interventions Program $72,639
93.042 Special Programs for the Aging_title Vii, Chapter 2_long Term Care Ombudsman Services for Older Individuals $72,071
93.558 Temporary Assistance for Needy Families $71,379
14.879 Mainstream Vouchers $66,358
14.896 Family Self-Sufficiency Program $60,668
16.742 Paul Coverdell Forensic Sciences Improvement Grant Program $49,554
93.043 Special Programs for the Aging_title Iii, Part D_disease Prevention and Health Promotion Services $47,877
97.042 Emergency Management Performance Grants $46,060
15.605 Sport Fish Restoration Program $45,942
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $43,042
17.277 Workforce Investment Act (wia) National Emergency Grants $42,869
93.590 Community-Based Child Abuse Prevention Grants $35,923
93.150 Projects for Assistance in Transition From Homelessness (path) $35,911
93.044 Covid-19 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $25,037
17.259 Wia Youth Activities $25,003
93.917 Hiv Care Formula Grants $22,479
93.197 Childhood Lead Poisoning Prevention Projects_state and Local Childhood Lead Poisoning Prevention and Surveillance of Blood Lead Levels in Children $19,857
93.959 Block Grants for Prevention and Treatment of Substance Abuse $19,601
16.U02 Safe Streets Violent Crimes Initiative $17,387
16.U03 2022 Domestic Cannabis Eradication Suppression Program $15,381
10.025 Plant and Animal Disease, Pest Control, and Animal Care $15,079
93.323 Covid-19 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $6,795
93.603 Adoption Incentive Payments $6,196
93.052 Covid-19 National Family Caregiver Support, Title Iii, Part E $4,169
93.041 Special Programs for the Aging_title Vii, Chapter 3_programs for Prevention of Elder Abuse, Neglect, and Exploitation $3,144
93.747 Covid-19 Elder Abuse Prevention Interventions Program $2,171
93.042 Covid-19 Special Programs for the Aging_title Vii, Chapter 2_long Term Care Ombudsman Services for Older Individuals $1,562
16.U04 2023 Domestic Cannabis Eradication Suppression Program $1,435
20.106 Covid-19 Airport Improvement Program $527
93.566 Refugee and Entrant Assistance_state Administered Programs $195
93.045 Covid-19 Special Programs for the Aging_title Iii, Part C_nutrition Services $105