FAC Explorer

Finding 406014 (2023-004)

Material Weakness
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-07-02
Audit: 311580
Organization: Oakland County, Michigan (MI)
Auditor: Plante & Moran PLLC

AI Summary

  • Core Issue: The County lacks controls to ensure timely receipt and review of certified payrolls from contractors, which is required for compliance with labor standards.
  • Impacted Requirements: Compliance with 24 CFR section 570.603 and 2 CFR section 200.303 regarding labor standards and internal controls over Federal awards.
  • Recommended Follow-up: Implement a control process to ensure certified payrolls are consistently received and reviewed by two staff members.

Finding Text

Assistance Listing, Federal Agency, and Program Name - ALN 14.218, U.S. Department of Housing and Urban Development, Entitlement Grants Cluster (CDBG), Community Development Block Grants/Entitlement Grants Federal Award Identification Number and Year - All grants listed on SEFA Pass-through Entity - Not applicable Finding Type - Material weakness Repeat Finding - No Criteria - Per 24 CFR section 570.603 - Grantees must adhere to the labor standards applicable to non-volunteer labor per 42 USC 53110 when rehabilitating residential property that contains no fewer than eight units, which includes ensuring prevailing wage rates are being used. Additionally, per 2 CFR section 200.303 - Grantees must establish and maintain effective internal control over the Federal award that provides reasonable assurance that the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. These internal controls should be in compliance with guidance in Standards for Internal Control in the Federal Government issued by the Comptroller General of the United States or the Internal Control Integrated Framework, issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Condition - The County did not have controls in place, during the year under audit, to ensure that the required certified payrolls were received and reviewed by the County. Questioned Costs - None Identification of How Questioned Costs Were Computed - Not applicable Context - The County has a process in place to receive and review weekly payroll certifications from contractors and subcontractors. However, there is not a control in place to ensure that all weekly payroll certifications have been received and reviewed. Cause and Effect - The County did not have controls in place ensure that the required certified payrolls were received and reviewed. For the sample selected for testing, the County was still in compliance with the applicable laws and regulations. Recommendation - We recommend that the County implement a control to ensure that the required certified payrolls from contractors and subcontractors are received and reviewed timely. Views of Responsible Officials and Corrective Action Plan - A process will be put into place to ensure certified payrolls are received and reviewed by two staff employees.

Categories

Subrecipient Monitoring Material Weakness Reporting Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Other Findings in this Audit

  • 406012 2023-004
    Material Weakness
  • 406013 2023-004
    Material Weakness
  • 406015 2023-006
    Material Weakness Repeat
  • 406016 2023-004
    Material Weakness
  • 406017 2023-006
    Material Weakness Repeat
  • 406018 2023-004
    Material Weakness
  • 406019 2023-004
    Material Weakness
  • 406020 2023-006
    Material Weakness Repeat
  • 406021 2023-004
    Material Weakness
  • 406022 2023-006
    Material Weakness Repeat
  • 406023 2023-004
    Material Weakness
  • 406024 2023-004
    Material Weakness
  • 406025 2023-004
    Material Weakness
  • 406026 2023-004
    Material Weakness
  • 406027 2023-004
    Material Weakness
  • 406028 2023-006
    Material Weakness Repeat
  • 406029 2023-004
    Material Weakness
  • 406030 2023-005
    Material Weakness Repeat
  • 406031 2023-005
    Material Weakness Repeat
  • 406032 2023-005
    Material Weakness Repeat
  • 406033 2023-005
    Material Weakness Repeat
  • 982454 2023-004
    Material Weakness
  • 982455 2023-004
    Material Weakness
  • 982456 2023-004
    Material Weakness
  • 982457 2023-006
    Material Weakness Repeat
  • 982458 2023-004
    Material Weakness
  • 982459 2023-006
    Material Weakness Repeat
  • 982460 2023-004
    Material Weakness
  • 982461 2023-004
    Material Weakness
  • 982462 2023-006
    Material Weakness Repeat
  • 982463 2023-004
    Material Weakness
  • 982464 2023-006
    Material Weakness Repeat
  • 982465 2023-004
    Material Weakness
  • 982466 2023-004
    Material Weakness
  • 982467 2023-004
    Material Weakness
  • 982468 2023-004
    Material Weakness
  • 982469 2023-004
    Material Weakness
  • 982470 2023-006
    Material Weakness Repeat
  • 982471 2023-004
    Material Weakness
  • 982472 2023-005
    Material Weakness Repeat
  • 982473 2023-005
    Material Weakness Repeat
  • 982474 2023-005
    Material Weakness Repeat
  • 982475 2023-005
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.563 Child Support Enforcement $11.48M
14.218 Covid-19 - Community Development Block Grants/entitlement Grants $833,676
21.019 Covid-19 - Coronavirus Relief Fund $762,853
93.870 Maternal, Infant and Early Childhood Home Visiting Grant $690,370
84.425 Education Stabilization Fund $571,342
16.741 Dna Backlog Reduction Program $417,131
17.268 H-1b Job Training Grants $410,096
93.940 Hiv Prevention Activities_health Department Based $404,905
16.838 Comprehensive Opioid Abuse Site-Based Program $381,098
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $374,698
16.710 Public Safety Partnership and Community Policing Grants $340,058
93.994 Maternal and Child Health Services Block Grant to the States $321,457
66.818 Brownfields Assessment and Cleanup Cooperative Agreements $298,046
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $263,702
93.658 Foster Care_title IV-E $251,140
14.239 Home Investment Partnerships Program $248,301
14.231 Emergency Solutions Grant Program $236,918
93.889 National Bioterrorism Hospital Preparedness Program $227,953
17.245 Trade Adjustment Assistance $220,195
16.738 Edward Byrne Memorial Justice Assistance Grant Program $195,372
97.042 Emergency Management Performance Grants $163,754
97.036 Covid-19 - Disaster Grants - Public Assistance (presidentially Declared Disasters) $157,197
97.012 Boating Safety Financial Assistance $119,100
17.259 Wia Youth Activities $118,724
97.047 Pre-Disaster Mitigation $110,438
16.742 Paul Coverdell Forensic Sciences Improvement Grant Program $100,305
95.001 High Intensity Drug Trafficking Areas Program $96,355
11.307 Covid-19 - Economic Adjustment Assistance $82,000
97.067 Homeland Security Grant Program $58,713
21.027 Covid-19 - Coronavirus State and Local Fiscal Recovery Funds $56,654
93.977 Preventive Health Services_sexually Transmitted Diseases Control Grants $54,929
93.069 Public Health Emergency Preparedness $54,243
16.582 Crime Victim Assistance/discretionary Grants $52,667
16.824 Emergency Law Enforcement Assistance Grant $40,006
93.597 Grants to States for Access and Visitation Programs $37,000
17.278 Wia Dislocated Worker Formula Grants $36,780
10.331 Food Insecurity Nutrition Incentive Grants Program $31,070
17.207 Employment Service/wagner-Peyser Funded Activities $28,404
93.558 Temporary Assistance for Needy Families $23,835
16.753 Congressionally Recommended Awards $23,832
17.285 Apprenticeship USA Grants $22,875
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $18,280
93.991 Preventive Health and Health Services Block Grant $15,000
93.959 Block Grants for Prevention and Treatment of Substance Abuse $14,456
20.616 National Priority Safety Programs $14,388
17.225 Unemployment Insurance $14,017
93.354 Covid-19 - Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $13,865
14.169 Covid-19 - Housing Counseling Assistance Program $12,310
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $10,000
97.039 Hazard Mitigation Grant $9,793
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $8,611
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $7,016
10.555 National School Lunch Program $6,006
66.468 Capitalization Grants for Drinking Water State Revolving Funds $5,025
17.801 Jobs for Veterans State Grants $4,986
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $3,807
93.268 Immunization Cooperative Agreements $2,679
17.258 Wia Adult Program $2,039
16.609 Project Safe Neighborhoods $1,423
14.239 Covid-19 - Home Investment Partnerships Program $965
14.218 Community Development Block Grants/entitlement Grants $540
93.778 Medical Assistance Program $426
14.169 Housing Counseling Assistance Program $234
20.703 Interagency Hazardous Materials Public Sector Training and Planning Grants $-6,803