Finding Text
2023-001 – Subrecipient Monitoring Criteria: Subrecipient monitoring is required on federal monies passed through to external entities. The requirement for the grant subrecipient monitoring of the expenditures of the grant funds has to be documented for all grant expenditures.
Condition: The funds submitted to any external agency or entity must be monitored to ensure that the grant funds are handled and expended according to the grant requirements.
Context/Cause: During the course of our test work, we noted that the funds remitted to an external agency / entity was not monitored to meet the requirements of the grant agreement.
Effects: The effect on the grant funds remitted to the subrecipient was the oversight required by City personal was not done. The funds could have been expended in a manner not consistent with the grant requirements.
Recommendation: We recommend the City review their internal controls and make adjustment to prevent future noncompliance issues.
Auditee’s Response: The City of Jacksonville acknowledges this finding. Our policies have been updated to include subrecipient monitoring when required by grants in accordance to the Uniform Code.