Finding Text
Finding 2022-001 (Significant Deficiency) - Reporting (Repeat Finding) AL# 14.218: CDBG - Entitlement Grants Cluster, U.S. Department of Housing and Urban Development, all open grants and years Condition: There were three instances where Federal Funding Accountability and Transparency Act (FFATA) reporting was not completed timely. Criteria: 2 CFR Appendix A to Part 170 a.2.ii. states that subaward information is to be reported no later than the end of the month following the month in which the obligation was made. Questioned Costs: None Context: Out of three subaward/contracts tested, three were not submitted timely to the Federal Funding Accountability and Transparency Act Subaward Reporting System (FSRS). See table below: See Schedule of Findings and Questioned Costs for chart/table The sample size was determined based upon the guidelines provided by the AICPA which is not a statistically valid sample. Cause: New subaward/contracts were not being tracked for FFATA reporting in a timely manner. Effect: Not tracking new subaward/contracts may cause untimely filling to the FSRS or missing subaward/contracts not being reported at all. Recommendation: We recommend the City implement a process to track new subaward/contracts and reporting requirements for submission to the FSRS. Views of Responsible officials (Unaudited): Staff requested access to the FFATA documents through the General Services Administration's Federal Service Desk, which would have been submitted by a former staff member. The General Services Administration was not willing to release the information to current staff and staff were not able to find the files internally or determine if they were submitted. In addition, staff administering the program continue to train together to allow for redundancy in instances where staff capacity is limited. Staff submitted FFATA documentation; however, it was beyond the timeline outlined in the regulation.