Finding Text
31 CFR § 35.4(c) requires, in part, recipients, during the period of performance, to provide the Secretary of the U.S. Department of Treasury periodic reports providing detailed accounting of the uses of funds, modifications to a State or Territory's tax revenue sources, and such other information as the Secretary may require for the administration of this section. In the Coronavirus State and Local Fiscal Recovery Funds Final Rule, Treasury stated that it clarified reporting deadlines in their Compliance and Reporting Guidance. Treasury’s Compliance and Reporting guidance states that metropolitan cities and counties with a population below 250,000 residents that are allocated less than $10 million in SLFRF funding and non-entitlement units that are allocated less than $10 million in SLFRF funding are required to submit annual Project and Expenditure Reports. It further states that the initial Project and Expenditure Report covering March 3, 2021 to March 31, 2022 was required to be submitted to Treasury by April 30, 2022, and subsequent annual reports will cover one calendar year and must be submitted to Treasury by April 30. The County was required to summit a Project and Expenditure Report by April 30, 2023, to the U.S. Department of the Treasury through the Treasury’s Portal. The County submitted the required Project and Expenditure Report, however, the County 2023 revenue loss current period obligations were overstated by $1,431,250, current period expenditures were over stated by $2,023,063, and cumulative expenditures were over stated by $2,017,832.
Failure to have proper controls in place to ensure the timely and accurate submission of the Project and Expenditure Reports could result in Treasury taking action against the County for failure to comply with programmatic requirements.
The County should implement controls to ensure the Project and Expenditure Report is accurate, supporting by appropriate documentation, and filed by the required due date.