Finding 479485 (2023-002)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-07-26

AI Summary

  • Core Issue: The City failed to implement necessary controls for accurate Project and Expenditure Reports, leading to potential undetected errors.
  • Impacted Requirements: Compliance with the American Rescue Plan Act requires timely and accurate reporting, which was not met due to lack of independent review.
  • Recommended Follow-Up: The City should establish robust controls to ensure compliance with reporting requirements and prevent future issues.

Finding Text

Federal Agency: U.S. Department of the Treasury Federal Program Name: COVID-19 Coronavirus State and Local Fiscal Recovery Funds Federal Award Identification Number: SLFRP0128 Grant Year: 2021 Assistance Listing Number: 21.027 Pass-Through Agency: State of Connecticut Office of Policy and Management Pass-Through Number(s): 12060-OPM20600-29669 Award Period: June 7, 2021, through December 31, 2026 Type of Finding: Significant Deficiency in Internal Control over Compliance Other Matters Criteria or Specific Requirement: The American Rescue Plan Act Local Fiscal Recovery requires that a Tier 2, NEU submit a Project and expenditure Report on April 30, 2022, and quarterly thereafter. Condition: Controls over Project and Expenditure Reports did not exist to ensure accuracy of submitted data. Questioned Costs: None Context: The City submitted Project and Expenditure Reports with no independent review of this report. Cause: Due to staff shortages and timeliness of reporting, the City did not obtain and document an independent review of the Project and Expenditure Reports prior to submission Effect: Errors could be present and not detected by the City. Repeat Finding: Yes, 2022-003 Recommendation: We recommend that the City establish controls to ensure compliance with reporting requirements. Views of Responsible Officials: Management agrees with the auditors’ recommendations.

Corrective Action Plan

Finding 2023-002 - Reporting (COVID-19 American Rescue Plan Act Local Fiscal Recovery) Significant Deficiency – Internal Control over Compliance Other Matters (Noncompliance) Description of Finding - Controls over Project and Expenditure Reports did not exist to ensure accuracy of submitted data. Statement of Concurrence or NonConcurrence - Management agrees with the finding. Corrective Action - The City has implemented additional processes and controls related to the review of treasury reporting. However, these were not in place for all of the current year. Name of Contact Person - John Monks, Comptroller Projected Completion Date - June 30, 2024

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 479486 2023-002
    Significant Deficiency Repeat
  • 479487 2023-002
    Significant Deficiency Repeat
  • 479488 2023-002
    Significant Deficiency Repeat
  • 479489 2023-003
    Significant Deficiency Repeat
  • 479490 2023-003
    Significant Deficiency Repeat
  • 479491 2023-003
    Significant Deficiency Repeat
  • 479492 2023-003
    Significant Deficiency Repeat
  • 1055927 2023-002
    Significant Deficiency Repeat
  • 1055928 2023-002
    Significant Deficiency Repeat
  • 1055929 2023-002
    Significant Deficiency Repeat
  • 1055930 2023-002
    Significant Deficiency Repeat
  • 1055931 2023-003
    Significant Deficiency Repeat
  • 1055932 2023-003
    Significant Deficiency Repeat
  • 1055933 2023-003
    Significant Deficiency Repeat
  • 1055934 2023-003
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $2.47M
10.555 National School Lunch Program $2.05M
10.766 Community Facilities Loans and Grants $1.10M
10.553 School Breakfast Program $648,076
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $539,139
84.010 Title I Grants to Local Educational Agencies $328,688
84.027 Special Education_grants to States $314,281
10.560 State Administrative Expenses for Child Nutrition $103,695
84.048 Career and Technical Education -- Basic Grants to States $73,705
84.367 Improving Teacher Quality State Grants $73,609
93.053 Nutrition Services Incentive Program $69,556
15.954 National Park Service Conservation, Protection, Outreach, and Education $61,433
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $54,853
84.002 Adult Education - Basic Grants to States $50,000
20.607 Alcohol Open Container Requirements $45,377
84.365 English Language Acquisition State Grants $35,589
16.738 Edward Byrne Memorial Justice Assistance Grant Program $33,550
84.424 Student Support and Academic Enrichment Program $18,492
93.788 Opioid Str $9,715
90.401 Help America Vote Act Requirements Payments $7,249
84.425 Education Stabilization Fund $6,339
10.649 Pandemic Ebt Administrative Costs $6,275
20.616 National Priority Safety Programs $5,586
20.600 State and Community Highway Safety $935
84.173 Special Education_preschool Grants $221