Finding Text
2023‐007 (2021‐009) – Financial Reporting (Material Weakness in Internal Controls over Compliance)
(repeated/modified)
Federal Program Information
Federal Award Title and ALN: Airport Improvement Program, 20.106
Federal Awarding Agency: Department of Transportation, Federal Aviation Administration
Federal Award ID Number: SAF‐SWG‐3‐35‐0037‐051‐2020; SAF‐SWG‐3‐35‐0037‐052‐2020;
SAF‐SWG‐3‐35‐0037‐054‐2021; SAF‐SWG‐3‐35‐0037‐057‐2021
Federal Award Year: 2023
Condition: During review of reports, the City submitted 10 financial reports that did not include supporting
backup documentation to substantiate the information reported.
Management’s Progress on Repeat Findings: Some progress made from prior year.
Criteria: Per Title 2 US Code of Federal Regulations Part 200.303a, non‐federal entities must establish and
maintain effective internal control over the Federal award that provides reasonable assurance that the
non‐Federal entities 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).
Per Title 2 US Code of Federal Regulations Part 200.508(d), the Auditee must provide the auditor with
access to books, records, supporting documentation, and other information as needed for the auditor to
perform the audit required by grant agreements and part 200.306(b), for all federal awards, any matching
funds, must be accepted as part of the non‐Federal entities matching when the following criteria is met
(1) Are verifiable from the non‐Federal entities records.
Cause: The City does not have sufficient controls in place to ensure documentation is retained to support
accuracy of the report.
Questioned Cost: None
Effect: Lack of proper support for accuracy of reports can result in improper reporting which could lead
to disallowed costs. However, our audit disclosed no instances of unallowable costs.