Finding 47720 (2022-001)

- Repeat Finding
Requirement
J
Questioned Costs
-
Year
2022
Accepted
2023-05-31

AI Summary

  • Core Issue: The City’s financial management system is not accurately reflecting community development rehabilitation loans due to discrepancies between the subsidiary ledger and the general ledger.
  • Impacted Requirements: This violates 2 CFR section 200.302(b)(2), which mandates accurate financial disclosure for federal awards.
  • Recommended Follow-Up: The City should reconcile its loan management software with the general ledger to ensure accurate financial reporting.

Finding Text

2022-001 U.S. Department of Housing and Urban Development CDBG ? Entitlement Grants Cluster ? CFDA 14.218 Criteria: Per 2 CFR section 200.302(b)(2), the City?s financial management system must provide for the accurate, current and complete disclosure of the financial results of each Federal award or program. Condition: The subsidiary ledger for community development rehabilitation loans maintained by the Department did not agree to the City?s general ledger. Cause: The subsidiary loans receivable ledger has not been reconciled to the City?s general ledger. Effect: The subsidiary ledger used to monitor community development rehabilitation loans was not properly stated. Questioned Costs: None Repeat Finding from Prior Year: Prior year finding 2021-002 Recommendation: The City should reconcile its loan management software program to the City?s general ledger. Views of Responsible Official: Management agrees with the finding.

Corrective Action Plan

Condition: The subsidiary ledger for community development rehabilitation loans maintained by the Department did not agree to the City?s general ledger. Corrective Action Planned: A thorough review of the Grants Division?s loan files was conducted by the City?s Fiscal Analyst in 2018/2019. Corrections and notations from that analysis will be included when the loan data is imported into the current grant management software. Once the import has been completed, the Grants Division will provide the relevant City Offices with the most current loan data. Ideally, loan balances will also be managed using the accounts receivable module in MUNIS. Anticipated Completion Date: June 2023 Contact: Jaimie Corliss, Grants Administrator

Categories

Matching / Level of Effort / Earmarking

Other Findings in this Audit

Programs in Audit

ALN Program Name Expenditures
97.044 Assistance to Firefighters Grant $691,402
14.218 Community Development Block Grants/entitlement Grants $278,731
93.243 Substance Abuse and Mental Health Services_projects of Regional and National Significance $238,170
10.553 School Breakfast Program $168,021
93.959 Block Grants for Prevention and Treatment of Substance Abuse $99,291
93.777 State Survey and Certification of Health Care Providers and Suppliers (title Xviii) Medicare $95,334
10.555 National School Lunch Program $83,124
84.287 Twenty-First Century Community Learning Centers $78,209
84.367 Improving Teacher Quality State Grants $75,299
14.239 Home Investment Partnerships Program $68,925
21.027 Coronavirus State and Local Fiscal Recovery Funds $55,600
84.173 Special Education_preschool Grants $25,625
16.922 Equitable Sharing Program $24,984
16.607 Bulletproof Vest Partnership Program $20,747
93.758 Preventive Health and Health Services Block Grant Funded Solely with Prevention and Public Health Funds (pphf) $17,225
84.048 Career and Technical Education -- Basic Grants to States $13,731
84.424 Student Support and Academic Enrichment Program $9,158
45.310 Grants to States $7,500
84.010 Title I Grants to Local Educational Agencies $6,500
84.027 Special Education_grants to States $5,987
10.649 Pandemic Ebt Administrative Costs $4,912
20.600 State and Community Highway Safety $4,513
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $3,927
84.425 Education Stabilization Fund $3,323
84.365 English Language Acquisition State Grants $2,000
21.019 Coronavirus Relief Fund $1,580
15.900 Enhc Visitor Center Grant $1,353
11.417 Sea Grant Support $1,250
84.196 Education for Homeless Children and Youth $853